ATKR Atkore stock Story

ATKR -  USA Stock  

USD 67.51  2.93  4.16%

It seems Atkore International may not recover as fast as we have hopped for as its price went down 7.47% today. Atkore International's current daily volatility is 3.14 percent, with a beta of 0.39 and an alpha of -0.24 over DOW. As many baby boomers are still indifferent towards current volatility, Atkore International Group. We will analyze why it could be a much better year for Atkore International shareholders.
Published over six months ago
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Chances of Atkore International to fall after the volatility advances
Atkore International Group currently holds roughly 237.31 M in cash with 245.53 M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 5.02. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Atkore International has an asset utilization ratio of 153.71 percent. This connotes that the company is making $1.54 for each dollar of assets. An increasing asset utilization means that Atkore International Group is more efficient with each dollar of assets it utilizes for everyday operations.
Investing in Atkore, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding Atkore along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Atkore's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Atkore in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Atkore. Your research has to be compared to or analyzed against Atkore's peers to derive any actionable benefits. When done correctly, Atkore's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Atkore Inc.

How important is Atkore's Liquidity

Atkore financial leverage refers to using borrowed capital as a funding source to finance Atkore Inc ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Atkore 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. Please check the breakdown between Atkore's total debt and its cash.

How ATKR Atkore utilizes its cash?

To perform a cash flow analysis of Atkore, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Atkore is receiving and how much cash it distributes out in a given period. The Atkore cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Atkore Net Cash Flow from Operations is relatively stable at the moment as compared to the past year. Atkore reported last year Net Cash Flow from Operations of 286.08 Million

Atkore Correlation with Peers

Investors in ATKR Atkore can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Atkore Inc. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Atkore and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities ATKR Atkore is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage.
Please check volatility of ATKR Atkore for more details

A Deeper Perspective On Atkore

We consider Atkore International not too volatile. Atkore International secures Sharpe Ratio (or Efficiency) of 0.0446, which signifies that the company had 0.0446% of return per unit of risk over the last month. Our standpoint towards foreseeing the volatility of a stock is to use all available market data together with stock specific technical indicators that cannot be diversified away. We have found twenty-eight technical indicators for Atkore International Group, which you can use to evaluate future volatility of the firm. Please confirm Atkore International risk adjusted performance of (0.08), and Mean Deviation of 2.02 to double-check if the risk estimate we provide is consistent with the expected return of 0.14%.
Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Chances of Atkore International to fall back

The value at risk is down to -4.18 as of today. Atkore International Group exhibits very low volatility with skewness of 1.36 and kurtosis of 4.32. However, we advise investors to further study Atkore International Group technical indicators to make sure all market info is available and is reliable.

The Current Takeaway on Atkore International Investment

While some firms under the specialty industrial machinery industry are still a bit expensive, Atkore International may offer a potential longer-term growth to retail investors. To conclude, as of the 19th of November 2020, we believe that Atkore International is currently overvalued with below average chance of financial distress in the next two years. Our current 30 days buy-or-sell advice on the enterprise is Hold.

About Contributor

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 Ellen Johnson do not own shares of Atkore Inc. Please refer to our Terms of Use for any information regarding our disclosure principles.

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