Vertex Stock Buy Hold or Sell Recommendation

VERX Stock  USD 54.64  0.39  0.72%   
Given the investment horizon of 90 days and your way above-average risk tolerance, our recommendation regarding Vertex is 'Strong Buy'. A buy or sell recommendation is an automated directive regarding whether to purchase or sell Vertex given historical horizon and risk tolerance. When we issue a 'buy' or 'sell' recommendation for Vertex, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Vertex 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.
For more information on how to buy Vertex Stock please use our How to Invest in Vertex guide.
In addition, we conduct extensive research on individual companies such as Vertex and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Vertex. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.

Execute Vertex Buy or Sell Advice

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

Time Horizon

Risk Tolerance

Execute Advice
Sell VertexBuy Vertex
Strong Buy

Market Performance

SolidDetails

Volatility

Very steadyDetails

Hype Condition

Over hypedDetails

Current Valuation

OvervaluedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Actively responds to the marketDetails

Investor Sentiment

AlarmedDetails

Analyst Consensus

Strong BuyDetails

Financial Strenth (F Score)

StrongDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Vertex has a Risk Adjusted Performance of 0.1815, Jensen Alpha of 0.3553, Total Risk Alpha of 0.194, Sortino Ratio of 0.1986 and Treynor Ratio of 0.2939
Our recommendation module provides unbiased trade recommendation that can be used to complement current average analyst sentiment on Vertex. Our recommendation engine provides an advice for the company potential to grow from the perspective of an investor's risk tolerance and investing horizon. To make sure Vertex is not overpriced, please validate all Vertex fundamentals, including its cash and equivalents, as well as the relationship between the cash flow from operations and beta . Given that Vertex has a number of shares shorted of 5.12 M, we advise you to double-check Vertex 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.

Vertex Trading Alerts and Improvement Suggestions

Vertex currently holds 66.97 M in liabilities with Debt to Equity (D/E) ratio of 0.36, which is about average as compared to similar companies. Vertex has a current ratio of 0.6, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Vertex's use of debt, we should always consider it together with its cash and equity.
The entity reported the previous year's revenue of 572.39 M. Net Loss for the year was (13.09 M) with profit before overhead, payroll, taxes, and interest of 298.49 M.
Vertex has a strong financial position based on the latest SEC filings
Over 90.0% of Vertex outstanding shares are owned by institutional investors
Latest headline from zacks.com: Vertex is an Incredible Growth Stock 3 Reasons Why

Vertex Returns Distribution Density

The distribution of Vertex's historical returns is an attempt to chart the uncertainty of Vertex's future price movements. The chart of the probability distribution of Vertex daily returns describes the distribution of returns around its average expected value. We use Vertex price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Vertex returns is essential to provide solid investment advice for Vertex.
Mean Return
0.59
Value At Risk
-3.13
Potential Upside
3.69
Standard Deviation
2.59
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Vertex 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.

Vertex Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument, such as Vertex, soars without any apparent reason? This usually happens because many institutional investors are aggressively trading Vertex back and forth among themselves.
Shares
Loomis, Sayles & Company Lp2024-09-30
1.6 M
Geneva Capital Management2024-09-30
1.5 M
State Street Corp2024-09-30
1.4 M
Geode Capital Management, Llc2024-09-30
1.3 M
Fuller & Thaler Asset Management Inc2024-09-30
1.2 M
Palisade Capital Management Llc2024-09-30
1.1 M
T. Rowe Price Investment Management,inc.2024-09-30
1.1 M
Driehaus Capital Management Llc2024-09-30
M
Ameriprise Financial Inc2024-09-30
977.6 K
Vanguard Group Inc2024-09-30
6.7 M
Blackrock Inc2024-06-30
4.7 M
Note, although Vertex's 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.

Vertex Cash Flow Accounts

201920202021202220232024 (projected)
Investments(37.6M)(44.4M)(296.5M)(11.2M)(80.9M)(84.9M)
Change In Cash24.3M228.8M(214.1M)8.5M(17.6M)(16.7M)
Net Borrowings(5.6M)(51.3M)(964K)48.1M55.3M58.1M
Free Cash Flow54.9M26.7M46.9M3.4M6.1M5.8M
Depreciation25.2M32.2M44.8M61.2M74.5M48.2M
Other Non Cash Items(61K)(20.8M)5.0M7.8M10.3M10.8M
Capital Expenditures37.6M32.8M45.0M73.4M49.3M49.8M
Net Income31.1M(78.9M)(1.5M)(12.3M)(13.1M)(13.7M)
End Period Cash Flow83.5M312.3M98.2M106.7M89.2M137.3M
Change To Netincome9.9M95.7M27.8M10.2M9.2M8.8M

Vertex 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 Vertex or Software 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 Vertex'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 Vertex 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 Jones
0.36
β
Beta against Dow Jones1.98
σ
Overall volatility
2.50
Ir
Information ratio 0.18

Vertex Volatility Alert

Vertex currently demonstrates below-average downside deviation. It has Information Ratio of 0.18 and Jensen Alpha of 0.36. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Vertex's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Vertex's 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 financial instruments as prices fall.

Vertex Fundamentals Vs Peers

Comparing Vertex's 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 Vertex's direct or indirect competition across all of the common fundamentals between Vertex and the related equities. This way, we can detect undervalued stocks with similar characteristics as Vertex or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Vertex's fundamental indicators could also be used in its relative valuation, which is a method of valuing Vertex by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Vertex to competition
FundamentalsVertexPeer Average
Return On Equity0.13-0.31
Return On Asset0.0112-0.14
Profit Margin0.05 %(1.27) %
Operating Margin0.04 %(5.51) %
Current Valuation8.59 B16.62 B
Shares Outstanding65.97 M571.82 M
Shares Owned By Insiders9.84 %10.09 %
Shares Owned By Institutions90.16 %39.21 %
Number Of Shares Shorted5.12 M4.71 M
Price To Book32.90 X9.51 X
Price To Sales13.25 X11.42 X
Revenue572.39 M9.43 B
Gross Profit298.49 M27.38 B
EBITDA56.95 M3.9 B
Net Income(13.09 M)570.98 M
Cash And Equivalents92.5 M2.7 B
Cash Per Share0.62 X5.01 X
Total Debt66.97 M5.32 B
Debt To Equity0.36 %48.70 %
Current Ratio0.61 X2.16 X
Book Value Per Share1.66 X1.93 K
Cash Flow From Operations74.33 M971.22 M
Short Ratio5.88 X4.00 X
Earnings Per Share0.19 X3.12 X
Price To Earnings To Growth(2.51) X4.89 X
Target Price56.27
Number Of Employees1.5 K18.84 K
Beta0.67-0.15
Market Capitalization8.52 B19.03 B
Total Asset759.93 M29.47 B
Retained Earnings(586 K)9.33 B
Working Capital(174.16 M)1.48 B
Net Asset759.93 M
Note: Disposition of 22275 shares by David DeStefano of Vertex at 49.5536 subject to Rule 16b-3 [view details]

Vertex Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Vertex . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Vertex Buy or Sell Advice

When is the right time to buy or sell Vertex? Buying financial instruments such as Vertex Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the 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. 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 Vertex 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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Broad Equity ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Broad Equity ETFs theme has 483 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Broad Equity ETFs Theme or any other thematic opportunities.
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Additional Tools for Vertex Stock Analysis

When running Vertex's price analysis, check to measure Vertex's 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 Vertex is operating at the current time. Most of Vertex's value examination focuses on studying past and present price action to predict the probability of Vertex's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Vertex's price. Additionally, you may evaluate how the addition of Vertex to your portfolios can decrease your overall portfolio volatility.