American Mutual Fund Buy Hold or Sell Recommendation

RERBX -  USA Fund  

USD 67.39  0.22  0.33%

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

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The advice is provided from American Funds' buy-and-hold perspective. Additionally, take a look at American Funds 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 funds such as American and provide practical buy, sell, or hold recommendation based on selected investing horizon and risk tolerance towards American Funds -.

Execute American Funds Buy or Sell Advice

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

Time Horizon

Risk Tolerance

Execute Advice
Sell American FundsBuy American Funds
Strong Hold

Volatility

Very steadyDetails

Hype Condition

Low keyDetails

Current Valuation

Fairly ValuedDetails

Odds of Distress

Very SmallDetails

Economic Sensitivity

Follows the market closelyDetails

Analyst Consensus

Not AvailableDetails
For the selected time horizon American Funds - has a Risk Adjusted Performance of (0.002837), Jensen Alpha of (0.042711), Total Risk Alpha of (0.06) and Treynor Ratio of (0.020803)
Macroaxis provides unbiased investment recommendation on American Funds - that should be used to complement current analysts and expert consensus on American Funds -. Our trade advice engine determines the fund's potential to grow exclusively from the perspective of an investors' current risk tolerance and investing horizon. Use American Funds - number of employees and net asset to ensure your buy or sell decision on American Funds - is adequate.

American Funds Trading Alerts and Improvement Suggestions

American Funds - generates negative expected return over the last 90 days
American Funds - is unlikely to experience financial distress in the next 2 years
On 14th of June 2021 American Funds paid $ 3.017 per share dividend to its current shareholders
The fund maintains 95.04% of its assets in stocks

American Funds Returns Distribution Density

The distribution of American Funds' historical returns is an attempt to chart the future uncertainty of American Funds' future price movements. The chart of the probability distribution of American Funds stock daily returns describes the distribution of returns around its average expected value. We use American Funds - price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of American Funds returns is essential to provide solid investment advice for American Funds stock.
Mean Return-0.0064Value At Risk-1.64
Potential Upside1.48Standard Deviation0.96
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of American Funds 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.

American Funds 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 American Funds or American Funds 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 American Funds 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 American 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
-0.04
β
Beta against DOW0.79
σ
Overall volatility
0.96
Ir
Information ratio -0.05

American Funds Volatility Alert

American Funds - exhibits very low volatility with skewness of -1.01 and kurtosis of 2.63. However, we advise investors to further study American Funds - technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure American Funds' mutual fund risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact American Funds' mutual fund 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.

American Funds Fundamentals Vs Peers

Comparing American Funds' 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 American Funds' direct or indirect competition across all of the common fundamentals between American Funds and the related equities. This way, we can detect undervalued stocks with similar characteristics as American Funds or determine the mutual funds which would be an excellent addition to an existing portfolio. Peer analysis of American Funds' fundamental indicators could also be used in its relative valuation, which is a method of valuing American Funds by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare American Funds to competition
FundamentalsAmerican FundsPeer Average
Price to Earning17.69 X6.53 X
Price to Book1.73 X0.74 X
Price to Sales1.27 X0.61 X
One Year Return3.03 %4.15 %
Three Year Return2.07 %3.60 %
Five Year Return2.26 %3.24 %
Ten Year Return5.65 %1.79 %
Net Asset196.36 B4.11 B
Minimum Initial Investment250976.16 K
Cash Position Weight4.78 %10.61 %
Equity Positions Weight95.04 %63.90 %
Bond Positions Weight0.05 %11.24 %

About American Funds Buy or Sell Advice

When is the right time to buy or sell American Funds -? Buying financial instruments such as American Mutual Fund 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 American Funds 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.

Use Investing Ideas to Build Portfolios

In addition to having American Funds 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.

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Government Theme
Funds or Etfs that invest in fixed income securities issued by national government to finance government spending or to facilitate Federal Reserve monetary policies. Government theme has 40 constituents.
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Additionally, take a look at American Funds 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 American Funds - information on this page should be used as a complementary analysis to other American Funds' 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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.

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Please note, there is a significant difference between American Funds' value and its price as these two are different measures arrived at by different means. Investors typically determine American Funds value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, American Funds' 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.