Bar Harbor Story

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BHB -- USA Stock  

USD 22.91  0.65  2.76%

It appears Bar Harbor may not recover as fast as we have hopped for as its price went down 1.22% today. The company's current daily volatility is 2.3 percent, with a beta of 0.15 and an alpha of -0.02 over DOW. As many millenniums are trying to avoid the current volatility, we are going to go over Bar Harbor Bankshares a little further to understand its historical price patterns. We will evaluate if Bar Harbor shares are reasonably priced going into November.
Published over three months ago
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Is Bar Harbor (NYSEMKT:BHB) stock way too aggressive for baby boomers?
Bar Harbor Bankshares has roughly 52.84 M in cash with 40.12 M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 3.5. Our investment recommendation module complements current analysts and expert consensus on Bar Harbor. It analyzes the firm potential to grow using all fundamental, technical, and market related data available at the time.
Investing in Bar Harbor, 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 Bar Harbor 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 Bar Harbor's stock 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 Bar Harbor 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 Bar Harbor. Your research has to be compared to or analyzed against Bar Harbor's peers to derive any actionable benefits. When done correctly, Bar Harbor'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 Bar Harbor Bankshares.

How important is Bar Harbor's Liquidity

Bar Harbor financial leverage refers to using borrowed capital as a funding source to finance Bar Harbor Bankshares ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Bar Harbor 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 Bar Harbor's total debt and its cash.

How Bar Harbor utilizes its cash?

To perform a cash flow analysis of Bar Harbor, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Bar Harbor is receiving and how much cash it distributes out in a given period. The Bar Harbor cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Bar Harbor Net Cash Flow from Operations is projected to increase significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at 41.86 Million

Bar Harbor Correlation with Peers

Investors in Bar Harbor can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Bar Harbor Bankshares. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Bar Harbor and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Bar Harbor 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 Bar Harbor for more details

Exercise or conversion by Josephine Iannelli of 931 shares of Bar Harbor subject to Rule 16b-3

Legal trades by Bar Harbor 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:
Bar Harbor insider trading alert for exercise of restricted stock units (rsus)- acquisition by Josephine Iannelli, EVP CFO & TREASURER, on 23rd of October 2020. This event was filed by Bar Harbor Bankshares with SEC on 2020-08-05. Statement of changes in beneficial ownership - SEC Form 4. Josephine Iannelli currently serves as chief financial officer, executive vice president, treasurer of Bar Harbor Bankshares [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.

What is the case for Bar Harbor Investors

We consider Bar Harbor very steady. Bar Harbor Bankshares secures Sharpe Ratio (or Efficiency) of 0.0329, which signifies that the company had 0.0329% 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 Bar Harbor Bankshares, which you can use to evaluate future volatility of the firm. Please confirm Bar Harbor Bankshares Mean Deviation of 1.7, risk adjusted performance of 0.0074, and Downside Deviation of 2.74 to double-check if the risk estimate we provide is consistent with the expected return of 0.0755%.
Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Will Bar Harbor investors exit after the slip?

Current coefficient of variation is at 61346.04. Bar Harbor Bankshares currently demonstrates below-verage downside deviation. It has Information Ratio of -0.04 and Jensen Alpha of -0.02. However, we do advice investors to further question Bar Harbor Bankshares expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Our Conclusion on Bar Harbor

Whereas other companies in the banks?regional industry are either recovering or due for a correction, Bar Harbor may not be as strong as the others in terms of longer-term growth potentials. The inconsistency in the assessment between current Bar Harbor valuation and our trade advice on Bar Harbor is due to the recent market swings and your selection of investing horizon. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Bar Harbor.

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 Bar Harbor Bankshares. Please refer to our Terms of Use for any information regarding our disclosure principles.

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