Core Main Stock Story

CNM

Stock

USD 24.56 0.15 0.61%

Macroaxis Story

It looks like Fastenal will be up for a correction faster as its share price went up 1.63% today to Core Main's 5.17%While some of us are excited about industrials space, we will evaluate how steady are Core Main and Fastenal fundamentals. We are going to summarize some of the competitive aspects of both Core Main and Fastenal.

Published over two months ago

View all stories for Core Main | View All Stories

Are retail investors acquiring Core Main (NYSE:CNM) or Fastenal?

By analyzing existing basic indicators between Core Main and Fastenal, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Fastenal with a short position in Core Main. Check out our pair correlation module for more information.

Let's begin by analyzing the assets.

One of the ways to look at asset utilization of Core Main is to check how much profit was generated for every dollar of assets it reports. Core Main utilizes its assets nearly 6.46 percent, earning $0.0646 for each dollar of assets held by the firm. A positive asset utilization signifies that the company is slightly more effective with each dollar of assets it shows. Put another way, asset utilization of Core Main shows how effective it operates for each dollar spent on its assets.

Are retail investors acquiring Core Main (NYSE:CNM) or Fastenal?

How important is Core Main's Liquidity

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

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.

It is good to see analyst projects for Core Main, but it might be worth checking our own buy vs. sell analysis

Breaking it down a bit more

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Revenue Breakdown

Lets now check Core Main revenue. Based on the latest financial disclosure, Core Main reported 5 B of revenue. This is 42.91% higher than that of the Industrials sector and 36.39% higher than that of the Industrial Distribution industry. The revenue for all United States stocks is 47.0% higher than that of the firm. As for Fastenal we see revenue of 6.3 B, which is 71.85% higher than that of the Industrial Distribution

	Core Main	5 Billion
	Sector	3.5 Billion
	Fastenal	6.3 Billion

5 B

Core Main

3.5 B

Sector

6.3 B

Fastenal

Core Main is getting wobbly

Core Main new mean deviation upsurges over 2.29. Core Main currently demonstrates below-average downside deviation. It has Information Ratio of 0.06 and Jensen Alpha of 0.19. However, we advise investors to further question Core Main expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Core Main'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 Core Main'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.

Core Main Implied Volatility

Core Main's implied volatility exposes the market's sentiment of Core Main stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Core Main'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 Core Main stock will not fluctuate a lot when Core Main's options are near their expiration.

Our Final Take On Core Main

When is the right time to buy or sell Core Main? Buying stocks such as Core Main isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.

To conclude, as of the 13th of June 2022, our concluding 90 days advice on the company is Strong Hold. We believe Core Main is undervalued with quite high probability of bankruptcy for the next two years.

Editorial Staff

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 Core Main. Please refer to our Terms of Use for any information regarding our disclosure principles.

Would you like to provide feedback on the content of this article?

You can get in touch with us directly or send us a quick note via email to editors@macroaxis.com

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

Feedback Blog

Made with optimal in San Francisco

2022 Macroaxis LLC