We provide trade advice to complement the prevailing
expert consensus on Composecure. Our dynamic recommendation engine uses a multidimensional algorithm to analyze the company's potential to grow using all technical and fundamental data available at the time.
The firm dividends can provide a clue to the current value of the stock. The entity is not expected to issue dividends this year as it is trying to preserve or re-invest any of the funds available for distribution to stakeholders.
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 CompoSecure income statement, its balance sheet, and the statement of cash flows. Potential CompoSecure investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although CompoSecure investors may use each financial statement separately, they are all related. The changes in CompoSecure's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on CompoSecure'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 CompoSecure
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of CompoSecure performance into the future periods or doing a reasonable stock valuation. The intrinsic value of CompoSecure shares is the value that is considered the true value of the share. If
the intrinsic value of CompoSecure 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 CompoSecure. Please read more on our
fundamental analysis page.
How effective is CompoSecure in utilizing its assets?
CompoSecure reports assets on its Balance Sheet. It represents the amount of CompoSecure resources that either has an existing economic value or will provide some form of benefits in the future. By effectively utilizing its assets, CompoSecure aims to generate revenue, control costs, drive operational efficiency, and enhance profitability. Optimizing asset utilization helps maximize shareholder value and maintain a competitive position in the Industrial Machinery & Supplies & Components space. To get a better handle on how balance sheet or income statements item affect CompoSecure volatility, please check the breakdown of all its
fundamentals.
Are CompoSecure Earnings Expected to grow?
The
future earnings power of CompoSecure involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of CompoSecure factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. CompoSecure
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 CompoSecure
expected earnings.
CompoSecure Gross Profit
CompoSecure Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing CompoSecure 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 CompoSecure Gross Profit growth over the last 10 years. Please check CompoSecure's
gross profit and other
fundamental indicators for more details.
Going after CompoSecure Financials
Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Composecure is not uncomon. There are few distinct groups of Composecure stakehholders that the SEC considers insiders. Investors usually gain information through their work as corporate directors, officers, or employees. If these individuals share the information with a friend, family, or business partner and the person who receives the information exchanges stock in the company, he or shie is also an insider. Let's take a look at how the ownership of Composecure is distributed among investors.
Ownership Allocation
Composecure holds a total of fifteen million twenty thousand
outstanding shares. The majority of Composecure
outstanding shares are owned by
other corporate entities. These outside corporations are usually referred to as non-private investors looking to acquire positions in Composecure to benefit from reduced commissions. Consequently, institutional investors are subject to a different set of regulations than regular investors in Composecure. Please pay attention to any change in the institutional holdings of Composecure as this could imply that something significant has changed or about to change at the company. Also note that nearly four million fifty-five thousand four hundred invesors are currently shorting Composecure expressing very little confidence in its
future performance.
| Insiders25.02% | Institutions102.13% |
| Retail Investors | -27.15 |
| Insiders | 25.02 |
| Institutions | 102.13 |
| 2019 | 2020 | 2021 | 2022 (projected) |
Cost of Revenue | 115.43 M | 127.96 M | 147.15 M | 139.12 M | Consolidated Income | 81.47 M | 77.82 M | 89.49 M | 87.87 M |
Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The latest return on assets of Composecure suggests not a very effective usage of assets in March.
| Current Assets50.3 M | Assets Non Current25.5 M |
| Current Assets | 50.31 Million | 66.4 |
| Assets Non Current | 25.46 Million | 33.6 |
Composecure implied volatility may change after the rise
Latest potential upside is at 7.9. Composecure exhibits very low volatility with skewness of -0.37 and kurtosis of 2.02. However, we advise investors to further study Composecure technical indicators to make sure 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 Composecure's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Composecure'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.
Composecure Implied Volatility
Composecure's implied volatility exposes the market's sentiment of Composecure stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Composecure's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Composecure stock will not fluctuate a lot when Composecure's options are near their expiration.
Our Final Take On Composecure
Whereas other entities within the metal fabrication industry are still a little expensive, even after the recent corrections, Composecure may offer a potential longer-term growth to institutional investors. To conclude, as of the 12th of March 2022, our up-to-date 90 days 'Buy-vs-Sell' recommendation on the company is
Strong Sell. However, we believe Composecure is
undervalued with
above average probability of distress for the next two years.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
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 Vlad Skutelnik do not own shares of CompoSecure. Please refer to our
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