Company Profile is a thinkorswim feature based on Trefis data* that gives you an insight into what drives a certain stock’s value and enables you to create your own forecast of the stock’s price based on various parameters. These parameters are business-specific and based on both internal and external factors: the set of parameters is almost never the same for different companies. Available for a number of symbols, Company Profile provides you with essential information on the corresponding company and allows you to simulate different hypothetical scenarios.
The Company Profile feature is available from the following interfaces:
- Trade -> All Products. Click Company Profile in the header.
- Use the News gadget. Click on a symbol and then click Company Profile in the gadget header.
- Live news gadget. Type in a symbol and then click Company Profile.
- Watchlists. Right-click on a symbol and choose More info on -> Company Profile.
- Analyze -> Fundamentals. Type in a symbol to view company’s essential information and details provided by Trefis. Forecasting functionality is not available in this interface.
Note: not all symbols can be viewed in Company Profile. You can view a watchlist of all symbols for which the Company Profile is available: to do so, choose Company Profile in the watchlist selector.
The Company Profile window is divided into two parts: What Drives the Stock and Company Overview. Company Overview is a Trefis report that covers subjects like Valuation Highlights, Potential Upside and Downside to Trefis Price, Business Summary, Sources of Value, and Key Trends. The data in this overview will help you develop hypothetical scenarios that can be simulated in the What Drives the Stock section.
The first thing you see in What Drives the Stock is an interactive diagram of business divisions of the company whose stock you are researching. Each division is represented by default as percent of market capitalization and their block sizes are proportional to this percentage. To view it as estimated values, choose the corresponding option from the Show dropdown above. The whole diagram is accompanied by a Trefis price estimate and its difference from the current market price. A large difference between the Trefis estimate and the market price might suggest that the stock is somewhat mispriced by the market.
Click on a division to view available forecasts related to it. For example, clicking on the division responsible for cellphone production will provide you with forecasts of phone pricing or the number of phones sold. Note that some of the divisions have sub-divisions, for example, computer production may also suggest software and services or peripherals. In this case, the forecasts are displayed separately for each sub-division.
Clicking on a forecast will display a plot of the value being analyzed: its timespan normally includes five years before and seven years after the current date. Each forecast can be modified: drag the handles and watch the forecast change. By default, smooth editing is enabled (dragging any handle will move other handles along with it). To turn off the smooth editing so that the handles may be moved independently, click on the "graph" icon above the forecast.
Modifying the forecasts may affect the division diagram and the estimated price. If any of the forecasts is modified, the system will display Your estimated price which may be different from the Trefis estimate and/or current market price. To reset the modified forecast, click the "revert" icon above the forecast.
*Trefis information provided by Insight Guru, a separate, unaffiliated firm. Stock prices are impacted by numerous factors and estimates of prices in the future are not guaranteed.