Time Warner Buy or Sell Recommendation

Macroaxis provides Time Warner Inc buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Time Warner positions. The advice algorithm takes into account all of Time Warner Inc available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from Time Warner buy-and-hold prospective. Also please take a look at Time Warner Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with current analyst consensus

Investment Horizon

  

Risk Tolerance

  
Symbol
Execute Advice
Time Warner Inc -- USA Stock  

USD 90.71  0.34  0.38%

Considering 30-days investment horizon, and your above average risk tolerance our recommendation regarding Time Warner Inc is 'Strong Hold'.
For the selected time horizon Time Warner Inc has a risk adjusted performance of 0.0503, jensen alpha of 0.0012, total risk alpha of (0.27), sortino ratio of (0.020416) and treynor ratio of 0.1382
Macroaxis provides recommendation on Time Warner Inc to complement and cross-verify current analyst consensus on Time Warner Inc. Our buy or sell recommendation engine determines the firm potential to grow exclusively from the prospective of investors current risk tolerance and investing horizon. To make sure Time Warner Inc is not overpriced, please validate all Time Warner fundamentals including its Net Income, Book Value Per Share and the relationship between Revenue and Total Debt . Given that Time Warner Inc has Price to Earning of 16.77 times, we advise you double-check Time Warner Inc market performance and probability of bankruptcy to make sure the company can sustain itself in the current economic cycle given your current risk tolerance and investing horizon.

Returns Distribution Density

Mean Return0.12Value At Risk1.76
Potential Upside2.11Standard Deviation1.42
 Return Density 
      Distribution 

Time Warner Greeks

α
Alpha over DOW
=0.001214
βBeta against DOW=0.81
σ
Overall volatility
=0.97
 IrInformation ratio =0.02

Time Warner Volatility Alert

Time Warner Inc has relatively low volatility with skewness of 0.8 and kurtosis of 1.65. However, we advise all investors to independently investigate Time Warner Inc to ensure market all accessible information is consistent with the expectations about its upside potential and future risk-adjusted return.
    
 Better Than Average     
    
 Worse Than Average Compare Time Warner to competition
FundamentalsTime WarnerPeer Average
Return On Equity17.12 % (15.17) %
Return On Asset7.71 % (15.64) %
Profit Margin14.1 % (5.5) %
Operating Margin26.65 % (10.91) %
Current Valuation92.47 B152.14 B
Shares Outstanding778.59 M1.43 B
Shares Owned by Insiders0.15 % 6.91 %
Shares Owned by Institutions80.21 % 18.37 %
Number of Shares Shorted8.03 M3.24 M
Price to Earning16.77 times40.69 times
Price to Book2.7 times14.44 times
Price to Sales2.34 times17.81 times
Revenue30.12 B9.85 B
Gross Profit12.94 B21.75 B
EBITDA8.69 B1.41 B
Net Income4.26 B517.71 M
Cash and Equivalents1.7 B3.89 B
Cash per Share2.19 times5.17 times
Total Debt23 B7.36 B
Debt to Equity88.3 % 0.72 %
Current Ratio1.52 times3.3 times
Book Value Per Share33.44 times13.64 times
Cash Flow from Operations5.15 B1.25 B
Short Ratio2.35 times2.09 times
Earnings Per Share5.39 times2.3 times
Price to Earnings To Growth1.68 times1.22 times
Number of Employees24.8 K10.67 K
Beta1.040.34
Market Capitalization70.37 B29.78 B
Total Asset63.85 B126.86 B
Retained Earnings(73.45 B)38.24 B
Working Capital4.51 B3.58 B
Current Asset12.51 B36.8 B
SellBuy
Strong Hold

Volatility

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

   Exercise or conversion by Bewkes Jeffrey L of 147576 shares of Time Warner subject to Rule 16b-3 [view details]
Risk Adjusted Performance0.0503
Market Risk Adjusted Performance0.1482
Mean Deviation1.06
Semi Deviation1.11
Downside Deviation1.22
Coefficient Of Variation1169.16
Standard Deviation1.42
Variance2.03
Information Ratio(0.017529)
Jensen Alpha0.0012
Total Risk Alpha(0.27)
Sortino Ratio(0.020416)
Treynor Ratio0.1382
Maximum Drawdown6.41
Value At Risk(1.76)
Potential Upside2.11
Downside Variance1.49
Semi Variance1.23
Expected Short fall(1.29)
Skewness0.7967
Kurtosis1.65

Current Valuation

Time Warner Current Valuation Analysis
Time Warner Inc is currently regarded number one company in current valuation category among related companies. After adjusting for long-term liabilities, total market size of Entertainment And Broadcasting industry is at this time estimated at about 236.52 Billion. Time Warner totals roughly 92.47 Billion in current valuation claiming about 39% of equities under Entertainment And Broadcasting industry.