CSI Compressco Stock Story

CCLP
 Stock
  

USD 1.30  0.16  10.96%   

It appears that CSI Compressco may not have a good chance to recover from the recent decline as its shares fell again. CSI Compressco current daily volatility is 2.93 percent, with a beta of 0.5 and an alpha of -0.16 over DOW. While some baby boomers are getting worried growing market volatility, it is reasonable to recap CSI Compressco based on its historical price movement. Why are we still confident in our projection for a recovery.
Published over two months ago
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Will the recent CSI Compressco volatility roll up frighten insiders?

CSI Compressco currently holds roughly 23.48 M in cash with 29.84 M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.17. This firm currently holds 670.75 M in liabilities. The company has a current ratio of 0.69, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Debt can assist CSI Compressco until it has trouble settling it off, either with new capital or with free cash flow. So, CSI Compressco's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like CSI Compressco sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for CSI Compressco to invest in growth at high rates of return. When we think about CSI Compressco's use of debt, we should always consider it together with cash and equity.
Investing in CSI Compressco, 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 CSI Compressco 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 CSI Compressco'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 CSI Compressco 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 CSI Compressco. Your research has to be compared to or analyzed against CSI Compressco's peers to derive any actionable benefits. When done correctly, CSI Compressco'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 CSI Compressco.

Watch out for price decline

Please consider monitoring CSI Compressco on a daily basis if you are holding a position in it. CSI Compressco is trading at a penny-stock level, and the possibility of delisting is much higher compared to other equities. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as CSI Compressco stock to be traded above the $1 level to remain listed. If CSI Compressco stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.

How important is CSI Compressco's Liquidity

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

How does CSI Compressco utilize its cash?

To perform a cash flow analysis of CSI Compressco, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash CSI Compressco is receiving and how much cash it distributes out in a given period. The CSI Compressco cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
CSI Compressco Net Cash Flow from Operations is very stable at the moment as compared to the past year. CSI Compressco reported last year Net Cash Flow from Operations of 27.16 Million

CSI Compressco Correlation with Peers

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

An Additional Perspective On CSI Compressco

CSI Compressco secures Sharpe Ratio (or Efficiency) of -0.0851, which signifies that the company had -0.0851% of return per unit of return volatility over the last 3 months. Macroaxis approach to 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. CSI Compressco exposes twenty-one different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to confirm CSI Compressco mean deviation of 2.19, and Risk Adjusted Performance of (0.1) to double-check the risk estimate we provide.
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0.770.57-0.270.86
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0.860.760.37-0.2
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Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Chances of CSI Compressco insiders to go nuts

Recent potential upside is at 4.44. CSI Compressco exhibits very low volatility with skewness of 0.08 and kurtosis of 0.36. However, we advise investors to further study CSI Compressco technical indicators to make sure all market info is available and is reliable. CSI Compressco is a potential penny stock. Although CSI Compressco may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in CSI Compressco. We encourage investors to look for the signals such us email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on CSI Compressco instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of an artificial hype usually unable to maintain its increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.

Although many other companies in the oil & gas equipment & services industry are either recovering or due for a correction, CSI Compressco may not be performing as strong as the other in terms of long-term growth potentials. With a relatively neutral outlook on the recent economy, it is better to hold off any trading of CSI Compressco as the current risk-reward utility is not appealing enough. 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 CSI Compressco.

Editorial Staff

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 CSI Compressco. Please refer to our Terms of Use for any information regarding our disclosure principles.

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