Spark Stock Buy Hold or Sell Recommendation

LOV -  USA Stock  

USD 3.31  0.15  4.34%

Considering the 90-day investment horizon and your above-average risk tolerance, our recommendation regarding Spark Networks is 'Hold'. Macroaxis provides Spark Networks buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LOV positions. The advice algorithm takes into account all of Spark Networks' available fundamental, technical, and predictive indicators you will find on this site.

Spark Advice 

 
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The advice is provided from Spark Networks' buy-and-hold perspective. Additionally, see Spark Networks Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Spark and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Spark Networks.

Execute Spark Networks Buy or Sell Advice

The Spark recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Spark Networks. Macroaxis does not own or have any residual interests in Spark Networks or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Spark Networks' advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Spark NetworksBuy Spark Networks
Hold

Volatility

UnstableDetails

Hype Condition

Over hypedDetails

Current Valuation

UndervaluedDetails

Odds of Distress

LowDetails

Economic Sensitivity

Follows the market closelyDetails

Analyst Consensus

Strong BuyDetails

Financial Strenth (F Score)

HealthyDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Spark Networks has a Risk Adjusted Performance of 0.055, Jensen Alpha of 0.2377, Total Risk Alpha of (0.09), Sortino Ratio of 0.0494 and Treynor Ratio of 0.4127
We provide advice to complement the current expert consensus on Spark Networks. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the firm's potential to grow using all technical and fundamental data available at the time. To make sure Spark Networks is not overpriced, please validate all Spark Networks fundamentals, including its shares owned by institutions, debt to equity, working capital, as well as the relationship between the gross profit and price to earnings to growth . Given that Spark Networks has a number of shares shorted of 224.48 K, we advise you to double-check Spark Networks market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your current risk tolerance and investing horizon.

Spark Networks Trading Alerts and Improvement Suggestions

Spark Networks has very high historical volatility over the last 90 days
Spark Networks was previously known as Spark Networks SE and was traded on NYSEMKT Exchange under the symbol LOV.
The company has 101.81 M in debt with debt to equity (D/E) ratio of 2.47, meaning that the company heavily relies on borrowing funds for operations. Spark Networks has a current ratio of 0.26, suggesting that it has not enough short term capital to pay financial commitments when the payables are due.
The entity reported the last year's revenue of 223 M. Reported Net Loss for the year was (103.36 M) with profit before taxes, overhead, and interest of 90.58 M.
About 13.0% of Spark Networks outstanding shares are owned by corporate insiders
Latest headline from www.morningstar.com: EUROPEAN MIDDAY BRIEFING - Stocks Higher as Powell Calms Nerves - Morningstar.com

Spark Networks current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Spark analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Spark analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price6.00
Target Median Price6.00
Target High Price6.00
Recommendation Mean2.00
Number Of Analyst Opinions1
Target Low Price6.00
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Spark Networks Returns Distribution Density

The distribution of Spark Networks' historical returns is an attempt to chart the future uncertainty of Spark Networks' future price movements. The chart of the probability distribution of Spark Networks stock daily returns describes the distribution of returns around its average expected value. We use Spark Networks price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Spark Networks returns is essential to provide solid investment advice for Spark Networks stock.
Mean Return0.29Value At Risk-6.8
Potential Upside8.85Standard Deviation5.00
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Spark Networks historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Spark Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Spark Networks is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Spark Networks backward and forwards among themselves. Spark Networks' institutional investor refers to the entity that pools money to purchase Spark Networks' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Security TypeSharesValue
Osmium Partners LlcCommon Shares3.7 M13 M
Osmium Partners LlcCall Options1.2 M4.4 M
First Manhattan CoCommon Shares606.3 K2.1 M
Engine Capital Management LpCommon Shares599 K2.1 M
Harbourvest Partners LlcCommon Shares501 K1.8 M
Susquehanna International Group LlpCommon Shares351.9 K1.2 M
Simplex Trading LlcCommon Shares186.5 K968 K
Roumell Asset Management LlcCommon Shares240.8 K845 K
Simplex Trading LlcPut Options85 K441 K
Note, although Spark Networks' institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Spark Networks Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(1.99 M)(4.17 M)(3.53 M)(3.96 M)(3.57 M)(3.85 M)
Depreciation Amortization and Accretion1.28 M3.08 M3.56 M7.7 M8.85 M9.55 M
Net Cash Flow or Change in Cash and Cash Equivalents5.08 M323 K2.62 M4.23 M4.87 M4.1 M
Net Cash Flow from Investing(7.62 M)2.39 M(3.53 M)(85.01 M)(76.51 M)(78.53 M)
Net Cash Flow from Operations6.97 M(671 K)8.9 M14.98 M17.23 M18.59 M
Share Based Compensation991 K488 K4.09 M2.33 M2.69 M2.4 M

Spark Networks Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Spark Networks or Communication Services sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Spark Networks stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Spark stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.24
β
Beta against DOW0.67
σ
Overall volatility
5.07
Ir
Information ratio 0.0437

Spark Networks Volatility Alert

Spark Networks exhibits above-average semi-deviation for your current time horizon. We encourage investors to investigate Spark Networks individually to make sure intended market timing strategies and available technical indicagtors are consistent with their estimates about Spark Networks future systematic risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Spark Networks' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Spark Networks' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Spark Networks Implied Volatility

Spark Networks' implied volatility exposes the market's sentiment of Spark Networks stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Spark Networks' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Spark Networks stock will not fluctuate a lot when Spark Networks' options are near their expiration.

Spark Networks Fundamentals Vs Peers

Comparing Spark Networks' fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Spark Networks' direct or indirect competition across all of the common fundamentals between Spark Networks and the related equities. This way, we can detect undervalued stocks with similar characteristics as Spark Networks or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Spark Networks' fundamental indicators could also be used in its relative valuation, which is a method of valuing Spark Networks by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Spark Networks to competition
FundamentalsSpark NetworksPeer Average
Return On Equity(101.53) %(0.31) %
Return On Asset3.78 %(0.14) %
Profit Margin(46.35) %(1.27) %
Operating Margin7.03 %(5.51) %
Current Valuation176.71 M16.62 B
Shares Outstanding26.15 M571.82 M
Shares Owned by Insiders13.18 %10.09 %
Shares Owned by Institutions34.74 %39.21 %
Number of Shares Shorted224.48 K4.71 M
Price to Earning(3.96) X28.72 X
Price to Book2.10 X9.51 X
Price to Sales0.39 X11.42 X
Revenue223 M9.43 B
Gross Profit90.58 M27.38 B
EBITDA23.55 M3.9 B
Net Income(103.36 M)570.98 M
Cash and Equivalents12.44 M2.7 B
Cash per Share0.48 X5.01 X
Total Debt101.81 M5.32 B
Debt to Equity2.47 %48.70 %
Current Ratio0.27 X2.16 X
Book Value Per Share1.57 X1.93 K
Cash Flow from Operations15.17 M971.22 M
Short Ratio0.50 X4.00 X
Earnings Per Share(3.96) X3.12 X
Price to Earnings To Growth(0.30) X4.89 X
Number of Employees25018.84 K
Beta1.62-0.15
Market Capitalization86.55 M19.03 B
Total Asset33.08 M29.47 B
Retained Earnings(58.61 M)9.33 B
Working Capital(1.99 M)1.48 B
Current Asset9.44 M9.34 B
   Payment of 11506 shares by Eichmann Eric of Spark Networks subject to Rule 16b-3 [view details]

About Spark Networks Buy or Sell Advice

When is the right time to buy or sell Spark Networks? Buying financial instruments such as Spark Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Although Spark Networks investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2018 2019 2021 2022 (projected)
Current Assets18.07 M27.72 M31.88 M27.97 M
Total Assets63.87 M332.04 M381.85 M411.99 M

Use Investing Ideas to Build Portfolios

In addition to having Spark Networks in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Momentum Thematic Idea Now

Momentum
Momentum Theme
Large corporations operating in software, education, financial and car manufacturing industries. Momentum theme has 40 constituents.
View All  Next Launch Momentum
Additionally, see Spark Networks Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Spark Networks information on this page should be used as a complementary analysis to other Spark Networks' 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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.

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When running Spark Networks price analysis, check to measure Spark Networks' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Spark Networks is operating at the current time. Most of Spark Networks' value examination focuses on studying past and present price action to predict the probability of Spark Networks' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Spark Networks' price. Additionally, you may evaluate how the addition of Spark Networks to your portfolios can decrease your overall portfolio volatility.
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Is Spark Networks' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Spark Networks. If investors know Spark will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Spark Networks listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Spark Networks is measured differently than its book value, which is the value of Spark that is recorded on the company's balance sheet. Investors also form their own opinion of Spark Networks' value that differs from its market value or its book value, called intrinsic value, which is Spark Networks' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Spark Networks' market value can be influenced by many factors that don't directly affect Spark Networks' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Spark Networks' value and its price as these two are different measures arrived at by different means. Investors typically determine Spark Networks value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Spark Networks' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.