Alliance Data Systems Stock Working Capital
Alliance Data Systems fundamentals help investors to digest information that contributes to Alliance Data's financial success or failures. It also enables traders to predict the movement of Alliance Stock. The fundamental analysis module provides a way to measure Alliance Data's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Alliance Data stock.
Alliance |
Alliance Data Systems Company Working Capital Analysis
Alliance Data's Working Capital is a measure of company efficiency and operating liquidity. The working capital is usually calculated by subtracting Current Liabilities from Current Assets. It is an important indicator of the firm ability to continue its normal operations without additional debt obligations. .
More About Working Capital | All Equity Analysis
Working Capital | = | Current Assets | - | Current Liabilities |
Current Alliance Data Working Capital | 9.85 B |
Most of Alliance Data's fundamental indicators, such as Working Capital, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Alliance Data Systems is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Working Capital can be positive or negative, depending on how much of current debt the company is carrying on its balance sheet. In general terms, companies that have a lot of working capital will experience more growth in the near future since they can expand and improve their operations using existing resources. On the other hand, companies with small or negative working capital may lack the funds necessary for growth or future operation. Working Capital also shows if the company has sufficient liquid resources to satisfy short-term liabilities and operational expenses.
CompetitionIn accordance with the company's disclosures, Alliance Data Systems has a Working Capital of 9.85 B. This is 116.72% higher than that of the Financial Services sector and 94.44% lower than that of the Credit Services industry. The working capital for all United States stocks is significantly lower than that of the firm.
Alliance Working Capital Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Alliance Data's direct or indirect competition against its Working Capital to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Alliance Data could also be used in its relative valuation, which is a method of valuing Alliance Data by comparing valuation metrics of similar companies.Alliance Data is currently under evaluation in working capital category among related companies.
Alliance Fundamentals
| Return On Equity | 49.14 | |||
| Return On Asset | 3.83 | |||
| Profit Margin | 18.47 % | |||
| Operating Margin | 33.75 % | |||
| Current Valuation | 17.84 B | |||
| Shares Outstanding | 49.79 M | |||
| Shares Owned By Insiders | 0.44 % | |||
| Shares Owned By Institutions | 94.71 % | |||
| Number Of Shares Shorted | 3.46 M | |||
| Price To Earning | 3.54 X | |||
| Price To Book | 1.26 X | |||
| Price To Sales | 0.66 X | |||
| Revenue | 4.31 B | |||
| Gross Profit | 707.1 M | |||
| EBITDA | 1.45 B | |||
| Net Income | 876.7 M | |||
| Cash And Equivalents | 3.17 B | |||
| Cash Per Share | 63.72 X | |||
| Total Debt | 17.48 B | |||
| Debt To Equity | 7.78 % | |||
| Current Ratio | 1.50 X | |||
| Book Value Per Share | 45.09 X | |||
| Cash Flow From Operations | 1.6 B | |||
| Short Ratio | 3.95 X | |||
| Earnings Per Share | 16.04 X | |||
| Price To Earnings To Growth | 0.23 X | |||
| Number Of Employees | 8 K | |||
| Beta | 2.35 | |||
| Market Capitalization | 2.83 B | |||
| Total Asset | 22.35 B | |||
| Retained Earnings | 4.3 B | |||
| Working Capital | 9.85 B | |||
| Current Asset | 16.25 B | |||
| Current Liabilities | 6.4 B | |||
| Five Year Return | 1.66 % | |||
| Last Dividend Paid | 0.84 |
Pair Trading with Alliance Data
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Alliance Data position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Alliance Data will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to Laboratory could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Laboratory when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Laboratory - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Laboratory of to buy it.
The correlation of Laboratory is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Laboratory moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Laboratory moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Laboratory can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Trending Equities to better understand how to build diversified portfolios. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in unemployment. Note that the Alliance Data Systems information on this page should be used as a complementary analysis to other Alliance Data's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.
Other Consideration for investing in Alliance Stock
If you are still planning to invest in Alliance Data Systems check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Alliance Data's history and understand the potential risks before investing.
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |