Aspen Story

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AZPN -- USA Stock  

USD 134.99  2.03  1.53%

Aspen Technology Enterprise Value is quite stable at the moment as compared to the past year. The company's current Enterprise Value is estimated at 10.83 Billion. Invested Capital is expected to rise to about 767.3 M this year, although the value of Revenue Per Employee will most likely fall to about 291.1 K. Aspen Technology is scheduled to announce its earnings today. The upcoming quarterly report is expected on the 4th of November 2020. As some conservatives are trying to avoid technology space, we'll outline Aspen Technology a little further and explain its current market possibilities. We will evaluate why recent Aspen Technology price moves suggest a bounce in November. The company moves indifferently to market moves. We can now inspect Aspen as a potential investment option for your portfolios.
Published over a month ago
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Does Aspen Technology (NASDAQ:AZPN) have persistent basic indicators based on the latest rise?
Macroaxis provides advice on Aspen Technology to complement and cross-verify current analyst consensus on Aspen Technology. Our investment recommendation engine determines the company's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Aspen Technology income statement, its balance sheet, and the statement of cash flows. Potential Aspen Technology investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Aspen Technology investors may use each financial statement separately, they are all related. The changes in Aspen Technology's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Aspen Technology's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages. The goal of Aspen Technology fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Aspen Technology performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Aspen Technology shares is the value that is considered the true value of the share. If the intrinsic value Aspen is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Aspen Technology. Please read more on our fundamental analysis page.

What is Aspen Asset Breakdown?

Aspen Technology reports assets on its Balance Sheet. It represents the amount of Aspen resources that either has an existing economic value or will provide some form of benefits in the future. To get a better handle on how balance sheet or income statements item affect Aspen volatility, please check the breakdown of all its fundamentals

Are Aspen Technology Earnings Expected to grow?

The future earnings power of Aspen Technology involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of Aspen Technology factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. Aspen Technology stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of Aspen expected earnings.

Aspen Technology Gross Profit

Aspen Technology Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Aspen Technology 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 Aspen Technology Gross Profit growth over the last 10 years. Please check Gross Profit in more details.

Payment of 187 shares by Hague John of Aspen Technology subject to Rule 16b-3

Legal trades by Aspen Technology insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Aspen insider trading alert for payment of common stock by Hague John, EVP Operations, on 2nd of October 2020. This event was filed by Aspen Technology Inc with SEC on 2020-10-02. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

Breaking it down a bit more

Institutional investor usually refers to an organization that invests money in Aspen Technology on behalf of clients or other money managers. Buying and selling of large positions of Aspen Technology stock by institutional investors can create supply and demand imbalances that result in sudden price moves of Aspen Technology stock. Let's take a look at how the ownership of Aspen is distributed among investors.

Ownership Allocation

Aspen Technology retains a total of 67.72 Million outstanding shares. The majority of Aspen Technology outstanding shares are owned by other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Aspen Technology to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Aspen Technology. Please pay attention to any change in the institutional holdings of Aspen Technology as this could imply that something significant has changed or about to change at the company. Also note that nearly one million three hundred fifty-four thousand four hundred invesors are currently shorting Aspen Technology expressing very little confidence in its future performance.

Institutions
101.29%
Retail Investors-1.63
Insiders0.34
Institutions101.29
 2017 2018 2019 2020 (projected)
Accounts Payable4.23 M5.89 M5.3 M4.32 M
Receivables21.91 M47.78 M54.95 M58.62 M

Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Aspen Technology has an asset utilization ratio of 107.63 percent. This suggests that the company is making $1.08 for each dollar of assets. An increasing asset utilization means that Aspen Technology is more efficient with each dollar of assets it utilizes for everyday operations.

Current Assets
431.6 M
Assets Non Current
588.2 M
Current Assets431.57 Million37.12
Assets Non Current588.17 Million50.59
Goodwill138.96 Million11.95
Tax Assets3.86 Million0.33

Will Aspen continue to rise?

Aspen Technology latest variance surges over 15.58. Aspen Technology has relatively low volatility with skewness of 5.87 and kurtosis of 43.33. However, we advise all investors to independently investigate Aspen Technology to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns.

The Current Takeaway on Aspen Technology Investment

Whereas some other companies under the software?application industry are still a bit expensive, Aspen Technology may offer a potential longer-term growth to institutional investors. In closing, as of the 25th of October 2020, we believe that Aspen Technology is currently overvalued with very low odds of financial distress in the next two years. Our latest 30 days buy-or-sell advice on the company is Strong Sell.

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 Raphi Shpitalnik do not own shares of Aspen Technology. Please refer to our Terms of Use for any information regarding our disclosure principles.

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