Encore Wire Stock Buy Hold or Sell Recommendation
| WIRE Stock | USD 282.41 1.19 0.42% |
Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Encore Wire is 'Strong Buy'. Macroaxis provides Encore Wire buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding WIRE positions. The advice algorithm takes into account all of Encore Wire's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Encore Wire's buy or sell advice are summarized below:
Real Value 277.5 | Target Price 238.67 | Hype Value 282.09 | Market Value 282.41 | Naive Value 281.92 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Encore Wire given historical horizon and risk tolerance towards Encore Wire. When Macroaxis issues a 'buy' or 'sell' recommendation for Encore Wire, the advice is generated through an automated system that utilizes algorithms and statistical models.
Encore |
Execute Encore Wire Buy or Sell Advice
The Encore recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Encore Wire. Macroaxis does not own or have any residual interests in Encore Wire or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Encore Wire's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Buy
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Very Low | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Hold | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Inapplicable | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Encore Wire Trading Alerts and Improvement Suggestions
| Over 93.0% of the company outstanding shares are owned by institutional investors | |
| On 19th of April 2024 Encore Wire paid $ 0.02 per share dividend to its current shareholders | |
| Latest headline from time.com: Cows Are Being Tested and Tracked for Bird Flu. Heres Why |
Encore Wire Returns Distribution Density
The distribution of Encore Wire's historical returns is an attempt to chart the uncertainty of Encore Wire's future price movements. The chart of the probability distribution of Encore Wire daily returns describes the distribution of returns around its average expected value. We use Encore Wire price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Encore Wire returns is essential to provide solid investment advice for Encore Wire.
| Mean Return | 0.42 | Value At Risk | -3.51 | Potential Upside | 3.79 | Standard Deviation | 2.52 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Encore Wire 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.
Encore Stock Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Encore Wire is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Encore Wire backward and forwards among themselves. Encore Wire's institutional investor refers to the entity that pools money to purchase Encore Wire's securities or originates 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.
| Shares | Geode Capital Management, Llc | 2023-12-31 | 346.2 K | Arrowstreet Capital Limited Partnership | 2023-12-31 | 313.9 K | American Century Companies Inc | 2023-12-31 | 310.2 K | Royce & Associates, Lp | 2023-12-31 | 302.2 K | Northern Trust Corp | 2023-12-31 | 259.8 K | Hhg Plc | 2023-12-31 | 238.7 K | Alliancebernstein L.p. | 2023-12-31 | 220.2 K | Charles Schwab Investment Management Inc | 2023-12-31 | 215.3 K | D. E. Shaw & Co Lp | 2023-09-30 | 209.8 K | Blackrock Inc | 2023-12-31 | 2.7 M | Vanguard Group Inc | 2023-12-31 | 1.7 M |
Encore Wire Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | 12.7M | (2.6M) | (8.5M) | (52.4M) | (10.5M) | (10.0M) | |
| Change In Cash | 52.6M | (47.8M) | 255.9M | 291.6M | (169.9M) | (161.4M) | |
| Free Cash Flow | 53.6M | (28.6M) | 300.2M | 540.5M | 290.6M | 305.2M | |
| Depreciation | 17.7M | 19.5M | 23.3M | 26.2M | 32.1M | 33.7M | |
| Other Non Cash Items | 754K | 470K | 5.8M | 1.8M | 4.2M | 4.4M | |
| Capital Expenditures | 52.5M | 86.1M | 118.3M | 148.4M | 164.6M | 172.8M | |
| Net Income | 58.1M | 76.1M | 541.4M | 717.8M | 372.4M | 391.0M | |
| End Period Cash Flow | 231.0M | 183.1M | 439.0M | 730.6M | 560.6M | 588.7M | |
| Dividends Paid | 1.7M | 1.7M | 1.6M | 1.5M | 1.4M | 1.3M | |
| Change To Netincome | 5.7M | 8.8M | 11.9M | 32.0M | 36.8M | 38.6M | |
| Change Receivables | 12.3M | (53.4M) | (216.8M) | (7.6M) | (6.9M) | (7.2M) | |
| Investments | (52.5M) | (86.0M) | (118.2M) | (148.4M) | (161.4M) | (153.3M) |
Encore Wire 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 Encore Wire or Electrical Equipment 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 Encore Wire'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 Encore 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 NYSE Composite | 0.34 | |
β | Beta against NYSE Composite | 0.97 | |
σ | Overall volatility | 2.59 | |
Ir | Information ratio | 0.13 |
Encore Wire Volatility Alert
Encore Wire currently demonstrates below-average downside deviation. It has Information Ratio of 0.13 and Jensen Alpha of 0.34. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Encore Wire'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 Encore Wire'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.Encore Wire Fundamentals Vs Peers
Comparing Encore Wire'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 Encore Wire's direct or indirect competition across all of the common fundamentals between Encore Wire and the related equities. This way, we can detect undervalued stocks with similar characteristics as Encore Wire or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Encore Wire's fundamental indicators could also be used in its relative valuation, which is a method of valuing Encore Wire by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Encore Wire to competition |
| Fundamentals | Encore Wire | Peer Average |
| Return On Equity | 0.17 | -0.31 |
| Return On Asset | 0.12 | -0.14 |
| Profit Margin | 0.12 % | (1.27) % |
| Operating Margin | 0.12 % | (5.51) % |
| Current Valuation | 3.83 B | 16.62 B |
| Shares Outstanding | 15.79 M | 571.82 M |
| Shares Owned By Insiders | 6.62 % | 10.09 % |
| Shares Owned By Institutions | 93.38 % | 39.21 % |
| Number Of Shares Shorted | 3 M | 4.71 M |
| Price To Earning | 31.30 X | 28.72 X |
| Price To Book | 2.36 X | 9.51 X |
| Price To Sales | 1.60 X | 11.42 X |
| Revenue | 2.57 B | 9.43 B |
| Gross Profit | 1.11 B | 27.38 B |
| EBITDA | 483.43 M | 3.9 B |
| Net Income | 372.4 M | 570.98 M |
| Cash And Equivalents | 573.58 M | 2.7 B |
| Cash Per Share | 31.34 X | 5.01 X |
| Debt To Equity | 0.17 % | 48.70 % |
| Current Ratio | 8.54 X | 2.16 X |
| Book Value Per Share | 115.20 X | 1.93 K |
| Cash Flow From Operations | 455.21 M | 971.22 M |
| Short Ratio | 9.11 X | 4.00 X |
| Earnings Per Share | 21.63 X | 3.12 X |
| Price To Earnings To Growth | 2.09 X | 4.89 X |
| Target Price | 291.67 | |
| Number Of Employees | 1.63 K | 18.84 K |
| Beta | 1.32 | -0.15 |
| Market Capitalization | 4.46 B | 19.03 B |
| Total Asset | 1.97 B | 29.47 B |
| Retained Earnings | 2.51 B | 9.33 B |
| Working Capital | 1.05 B | 1.48 B |
| Current Asset | 366.38 M | 9.34 B |
Note: Exercise or conversion by Daniel Jones of 30000 shares of Encore Wire subject to Rule 16b-3 [view details]
Encore Wire Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Encore . 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 Encore Wire Buy or Sell Advice
When is the right time to buy or sell Encore Wire? Buying financial instruments such as Encore 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.| 2023 | 2024 (projected) | Short and Long Term Debt Total | 115.5M | 121.3M | Total Assets | 2.0B | 2.1B |
Use Investing Ideas to Build Portfolios
In addition to having Encore Wire 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?
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Commodities Funds
Funds or Etfs investing in commodities such as oil, gold, corn, soy, and agricultural goods. The Commodities Funds theme has 39 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 Commodities Funds Theme or any other thematic opportunities.
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Check out Encore Wire 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 information on how to trade Encore Stock refer to our How to Trade Encore Stock guide.You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.
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When running Encore Wire's price analysis, check to measure Encore Wire'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 Encore Wire is operating at the current time. Most of Encore Wire's value examination focuses on studying past and present price action to predict the probability of Encore Wire's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Encore Wire's price. Additionally, you may evaluate how the addition of Encore Wire to your portfolios can decrease your overall portfolio volatility.
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Is Encore Wire's 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 Encore Wire. If investors know Encore 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 Encore Wire listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.40) | Dividend Share 0.08 | Earnings Share 21.63 | Revenue Per Share 155.987 | Quarterly Revenue Growth (0.04) |
The market value of Encore Wire is measured differently than its book value, which is the value of Encore that is recorded on the company's balance sheet. Investors also form their own opinion of Encore Wire's value that differs from its market value or its book value, called intrinsic value, which is Encore Wire's 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 Encore Wire's market value can be influenced by many factors that don't directly affect Encore Wire's 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 Encore Wire's value and its price as these two are different measures arrived at by different means. Investors typically determine if Encore Wire is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Encore Wire's 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.