Blade Air Mobility currently holds roughly 269.06
M in cash with (33.52
M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 3.8.
One of the ways to look at asset utilization of Blade is to check how much profit was generated for every dollar of assets it reports. Blade Air Mobility shows a negative utilization of assets of -8.25 percent, losing $0.0825 for each dollar of assets held by the firm. Unsuccessful asset utilization signifies that the company is being less effective with each dollar of assets it shows. Put another way, asset utilization of Blade Air Mobility shows how unproductive it operates for each dollar spent on its assets.
Investing in Blade Air, 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 Blade Air 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, anticipate that the market will even out over time. This tendency of Blade Air'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 note, it is not enough to conduct a financial or market analysis of a single entity such as Blade Air. Your research has to be compared to or analyzed against Blade Air's peers to derive any actionable benefits. When done correctly, Blade Air's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Blade Air Mobility.
How important is Blade Air's Liquidity
Blade Air
financial leverage refers to using borrowed capital as a funding source to finance Blade Air Mobility ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Blade Air 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. Financial leverage can amplify the potential profits to Blade Air's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Blade Air's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Blade Air's total debt and its cash.
Blade Air Gross Profit
Blade Air Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Blade Air 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 Blade Air Gross Profit growth over the last 10 years. Please check Blade Air's
gross profit and other
fundamental indicators for more details.
Blade Air Correlation with Peers
Investors in Blade can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Blade Air Mobility. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Blade Air and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Blade 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 Blade for more details
Is Blade Air valued correctly by the market?
Blade Air Mobility secures Sharpe Ratio (or Efficiency) of -0.12, which signifies that the company had -0.12% of return per unit of standard deviation over the last 3 months. Macroaxis philosophy in foreseeing the risk of any stock is to look at both systematic and unsystematic factors of the business, including all available market data and
technical indicators. Blade Air Mobility exposes twenty-eight different
technical indicators, which can help you to evaluate volatility that cannot be
diversified away. Please be advised to confirm Blade Air Mobility
risk adjusted performance of
(0.033063), and Mean Deviation of 3.16 to double-check the risk estimate we provide.
Blade Air has 95 percent likelihood to hit $4.28 in October
Latest Risk Adjusted Performance is up to -0.03. Price may dip again. Blade Air Mobility exhibits very low volatility with skewness of 0.02 and kurtosis of -0.57. However, we advise investors to further study Blade Air Mobility technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Blade Air'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 Blade Air'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 stocks as prices fall.
Our Final Take On Blade Air
Although some other companies in the airports & air services industry are either recovering or due for a correction, Blade may not be as strong as the others in terms of longer-term growth potentials. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither purchase nor exit any shares of Blade Air at this time. The Blade Air Mobility risk-reward trade off is not appealing enough to do any trading. 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 Blade Air.
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Gabriel Shpitalnik is a Member of Macroaxis Editorial Board. Gabriel is a young entrepreneur and writes predominantly on the business, technology, and finance sector. He likes to analyze different equity instruments across a wide range of industries focusing primarily on consumer products and evolving technologies.
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 Gabriel Shpitalnik do not own shares of Blade Air Mobility. Please refer to our
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