The company currently holds 30.86
M in liabilities with Debt to Equity (D/E) ratio of 0.32, which is about average as compared to similar companies.
What is the right price you would pay to acquire a share of AudioCodes? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the
future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated. Please read more on our
stock advisor page.
What is happening with AudioCodes this year
Annual and quarterly reports issued by AudioCodes are formal
financial statements that are published yearly and quarterly and sent to AudioCodes stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the
Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.
Companies such as AudioCodes often view their annual report as an effective marketing tool to disseminate their perspective on company
future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.
AudioCodes Gross Profit
AudioCodes Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing AudioCodes previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show AudioCodes Gross Profit growth over the last 10 years. Please check AudioCodes'
gross profit and other
fundamental indicators for more details.
Is AudioCodes a risky opportunity?
Let's check the volatility. AudioCodes is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind AudioCodes (NASDAQ:AUDC) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. taking in a share of an AudioCodes stock makes you a part-owner of that company.
AudioCodes Current Consensus
Here is the current trade recommendation based on an ongoing consensus estimate among financial analysis covering AudioCodes. The AudioCodes consensus assessment is calculated by taking the average estimates from all of the analysts covering AudioCodes
| Strong Buy | 2 | 66.67 |
| Buy | 1 | 33.33 |
| Hold | 0 | 0.0 |
| Sell | 0 | 0.0 |
| Strong Sell | 0 | 0.0 |
Time to pull out of of AudioCodes?
Coefficient of variation is down to 428.43. It may suggest a possible volatility slip. AudioCodes shows above-average downside volatility for the selected time horizon. We advise investors to inspect AudioCodes further and ensure that all market timing and asset allocation strategies are consistent with the estimation of AudioCodes future alpha.
Our Final Take On AudioCodes
Whereas few other entities within the communication equipment industry are still a little expensive, even after the recent corrections, AudioCodes may offer a potential longer-term growth to investors. To sum up, as of the 28th of July 2020, our concluding 30 days Buy-Hold-Sell recommendation on the company is
Strong Hold. We believe AudioCodes is
overvalued with
very small probability of distress for the next two years.
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
View Profile 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 Rifka Kats do not own shares of AudioCodes. Please refer to our
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