The company currently holds 717.58
M in liabilities with Debt to Equity (D/E) ratio of 1.54, which is about average as compared to similar companies. Coupa Software Incor has a current ratio of 1.99, which is within standard range for the sector. On a scale of 0 to 100, Coupa Software holds a
performance score of 9. The firm shows a Beta (market volatility) of 0.0447, which signifies not very significant fluctuations relative to the market. Let's try to break down what Coupa's beta means in this case. As returns on the market increase, Coupa Software returns are expected to increase less than the market. However, during the bear market, the loss on holding Coupa Software will be expected to be smaller as well. Although it is vital to follow
Coupa Software Incor historical returns, it is good to be conservative about what you can do with the information regarding equity current trending patterns. The philosophy towards foreseeing
future performance of any stock is to evaluate the business as a whole together with its past performance, including all
available fundamental and
technical indicators. By analyzing
Coupa Software Incor technical indicators, you can presently evaluate if the expected return of 0.42% will be sustainable into the future. Please makes use of Coupa Software Incor
variance,
value at risk, as well as the
relationship between the Value At Risk and
skewness to make a quick decision on whether Coupa Software
price patterns will revert.
We determine the current worth of Coupa Software using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Coupa Software based exclusively on its
fundamental and basic
technical indicators. By analyzing Coupa Software's
financials, quarterly and monthly indicators, and related drivers such as
dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of
Coupa Software's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Coupa Software. We calculate exposure to Coupa Software's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Coupa Software's related companies.
Coupa Software Investment Alerts
Coupa investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Coupa Software performance across your portfolios.Please check all
investment alerts for Coupa
Coupa Software Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Coupa value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Coupa Software competition to find
correlations between indicators driving the intrinsic value of Coupa.
Detailed Outlook On Coupa Software
The recent price roll up of Coupa Software Incor could raise concerns from insiders as the firm closed today at a share price of
270.69 on
2,198,304 in volume. The company executives may have good odds in positioning the firm resources to exploit market volatility in
October. The stock standard deviation of daily returns for 30 days investing horizon is currently 3.26. The above-average risk is mostly attributed to market volatility and speculations regarding some of the upcoming earning calls from Coupa Software partners.
Margins Breakdown
Coupa profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Coupa Software itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Coupa Software profit margins.
| Operating Margin | (20.33) |
| EBITDA Margin | (0.0982) |
| Gross Margin | 0.72 |
| Profit Margin | (0.25) |
Coupa Software Revenue Per Employee is very stable at the moment. Further, Coupa Software Earnings Before Interest Taxes and Depreciation Amortization EBITDA is decreasing over the last 7 years. The recent value of Coupa Software Earnings Before Interest Taxes and Depreciation Amortization EBITDA is -38,363,053.
A growth case for Coupa Software
The variance is down to 10.5 as of today. Coupa Software Incorporated shows above-average downside volatility for the selected time horizon. We advise investors to inspect Coupa Software Incorporated further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Coupa Software future alpha.
Our Conclusion on Coupa Software
Although some firms in the software—application industry are either recovering or due for a correction, Coupa Software may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 7th of September 2020, our analysis shows that Coupa Software barely shadows the market. The firm is
overvalued and projects
very low probability of distress for the next 2 years. Our overall 30 days advice on the firm is
Hold.
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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 Coupa Software. Please refer to our
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