The company is fairly valued at 2.36 per share with modest projections ahead. The company retains Market Volatility (i.e. Beta) of -0.0073, which attests that as returns on market increase, returns on owning GigaMedia are expected to decrease at a much smaller rate. During bear market, GigaMedia is likely to outperform the market. Even though it is essential to pay attention to
GigaMedia Limited current price history, it is always good to be careful when utilizing equity current price movements. Macroaxis philosophy towards determining future performance of any stock is to check both, its past performance charts as well as the business as a whole, including all available
technical indicators. GigaMedia Limited exposes twenty-eight different technical indicators, which can help you to evaluate its performance.
GigaMedia Limited has an expected return of -0.023%. Please be advised to check out GigaMedia
Jensen Alpha,
Semi Variance,
Day Typical Price, as well as the
relationship between
Maximum Drawdown and
Accumulation Distribution to decide if
GigaMedia Limited stock performance from the past will be repeated at some point in the near future.
The performance of Giga Media in the marketplace will significantly impact your decision to invest in its stock. Revenue growth, profitability, competitive positioning, management quality, and industry trends can influence Giga Media's
stock prices. When investing in Giga Media, there are several factors to consider and potential outcomes to expect. As a company performs well, its stock price may increase, allowing investors to benefit from price appreciation. However, Giga Stock can experience significant price fluctuations due to market conditions, economic factors, industry trends, or company-specific news. This is why investing in stocks such as Giga Media carries risks, including the potential for capital loss. Stock prices can decline, and investors may incur losses if they sell shares at a lower price than their initial investment.
Watch out for price decline
Please consider monitoring Giga Media on a daily basis if you are holding a position in it. Giga Media is trading at a penny-stock level, and the possibility of delisting is much higher compared to other stocks. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion.
Most exchanges require public instruments, such as Giga Media stock to be traded above the $1 level to remain listed. If Giga Media stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.
How important is Giga Media's Liquidity
Giga Media
financial leverage refers to using borrowed capital as a funding source to finance Giga Media ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Giga Media financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Giga Media's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Giga Media's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Giga Media's total debt and its cash.
Giga Media Gross Profit
Giga Media Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Giga Media previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Giga Media Gross Profit growth over the last 10 years. Please check Giga Media's
gross profit and other
fundamental indicators for more details.
What is driving Giga Media Investor Appetite?
GigaMedia Limited has return on total asset (ROA) of
(0.06) % which means that it has lost $0.06 on every $100 spent on asset. This is way below average. Similarly, it shows return on stockholders equity (ROE) of
(0.07) % meaning that it created substantial loss on money invested by shareholders. The small decline in market price for the last few months may raise some interest from investors. The Stock closed today at a share price of
2.37 on
7,455 in trading volume. The company directors and management did not add much value to GigaMedia Limited investors in
January. However, diversifying your holdings with GigaMedia Limited or similar stocks can still protect your portfolio during high-volatility market scenarios. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 2.11. The current volatility is consistent with the ongoing market swings in
January 2020 as well as with GigaMedia Limited unsystematic, company specific events. GigaMedia is selling for 2.43. This is 3.57 percent decrease. Opened at 2.43. GigaMedia Average Assets is decreasing over the last 8 years. The new value of GigaMedia Average Assets is 59,050,208. GigaMedia Earnings Before Interest Taxes and Depreciation Amortization EBITDA is increasing over the last 8 years. The previous year value of GigaMedia Earnings Before Interest Taxes and Depreciation Amortization EBITDA was 3,240,000. Furthermore, GigaMedia Average Equity is decreasing over the last 8 years.
| 2017 | 2018 | 2019 | 2020 (projected) |
Current Assets | 65.51 M | 60.59 M | 54.54 M | 82.93 M | Total Assets | 66.41 M | 61.45 M | 55.3 M | 135.33 M |
GigaMedia Limited provides digital entertainment services in Taiwan, Hong Kong, and Macau. GigaMedia Limited was founded in 1998 and is headquartered in Taipei, Taiwan. GigaMedia operates under Electronic Gaming Multimedia classification in USA and is traded on BATS Exchange. It employs 154 people.
Current AssetsTotal AssetsTo summarize, we believe that at this point GigaMedia is
fairly valued with
quite high chance of financial distress within the next 2 years. Our actual buy/sell advice on the business is
Cautious Hold.
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Rifka Kats do not own shares of Giga Media. Please refer to our
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