Consumer Story

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CPSS -- USA Stock  

USD 4.50  0.08  1.75%

While some of us are excited about financial services space, it makes sense to sum up Consumer Portfolio Services in greater detail to make a better perception of its potential. As expected, Consumer Portfolio is starting to reaffirm its true potential as retail investors are becoming more and more confident in the future outlook. The returns on the market and returns on Consumer Portfolio appear slightly correlated to each other for the last few months. Weak basic indicators of the enterprise may also connote signs of long-running losses for Consumer retail investors. Consumer Portfolio is scheduled to announce its earnings this week. The upcoming quarterly report is expected on the 3rd of November 2020. The stock is currently experiencing an active upward rally.
Published over three months ago
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Should I shadow Consumer Portfolio Services (NASDAQ:CPSS) retail investors?
Consumer Portfolio's average rating is Buy from 3 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on Consumer Portfolio market sentiment investors' perception of the future value of Consumer. Let us look at a few aspects of Consumer technical analysis.
Using predictive technical analysis, we will analyze different prices and returns patterns and diagnose historical swings to determine the real value of Consumer Portfolio Services. In general, we focus on analyzing Consumer Portfolio stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Consumer Portfolio's daily price indicators and compare them against related drivers such as momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis and fundamental analysis, we attempt to find the most accurate representation of Consumer Portfolio's intrinsic value. In addition to deriving basic predictive indicators for Consumer Portfolio, we also check how macroeconomic factors affect Consumer Portfolio price patterns. Please read more on our technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Consumer Portfolio's stock 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 Consumer Portfolio 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 Consumer Portfolio. Your research has to be compared to or analyzed against Consumer Portfolio's peers to derive any actionable benefits. When done correctly, Consumer Portfolio'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 Consumer Portfolio.

How does Consumer Stands against Peers?

Analyzing Consumer Portfolio competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to Consumer Portfolio across multiple sectors and thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be.
Check out Consumer Portfolio Competition Details

How Consumer utilizes its cash?

To perform a cash flow analysis of Consumer Portfolio, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Consumer Portfolio is receiving and how much cash it distributes out in a given period. The Consumer Portfolio cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Consumer Portfolio Net Cash Flow from Operations is relatively stable at the moment as compared to the past year. Consumer Portfolio reported last year Net Cash Flow from Operations of 249.3 Million

Closer look at Consumer Portfolio Semi Deviation

Consumer Portfolio Services has current Semi Deviation of 2.55. Semi-deviation provides a good measure of downside risk for a equity or a portfolio. It is similar to standard deviation, but it only looks at periods where the returns are less than the target or average level.

Semi-deviation is the square root of semi-variance. Semi-variance is calculated by averaging the deviations of returns that have a result that is less than the mean.

Semi Deviation 
=  
SQRT(SV) 
 = 
2.55
SQRT = Square root notation
SV =   Consumer Portfolio semi variance of returns over selected period
Let's now compare Consumer Portfolio Semi Deviation to its closest peers:
CPSS
HX
IX
LC
MA
CPSS2.546306804631302
HX9.52
IX1.43
LC3.82
MA1.61

Over 3 percent spike for Consumer Portfolio. What does it mean for retail investors?

Latest treynor ratio is at -0.24. Consumer Portfolio Services currently demonstrates below-verage downside deviation. It has Information Ratio of 0.0 and Jensen Alpha of 0.19. However, we do advice investors to further question Consumer Portfolio Services expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Our Final Take On Consumer Portfolio

While some companies within the credit services industry are still a little expensive, even after the recent corrections, Consumer Portfolio may offer a potential longer-term growth to retail investors. To conclude, as of the 9th of October 2020, our primary 30 days Buy-Hold-Sell recommendation on the enterprise is Strong Sell. We believe Consumer Portfolio is overvalued with below average probability of distress for the next two years.

About Contributor

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 Consumer Portfolio Services. Please refer to our Terms of Use for any information regarding our disclosure principles.

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