Consolidated Story

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CWCO -- USA Stock  

USD 10.78  0.25  2.37%

Global Water would continue recover faster as its shares surged to 5.01 percent against Consolidated Water's 1.68%. As many rational traders are trying to avoid utilities space, it makes sense to outline Consolidated Water Co a little further and understand how it stands against Global Water and other similar entities. We are going to inspect some of the competitive aspects of both Consolidated and Global.
Published over a month ago
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Will Consolidated Water (NASDAQ:CWCO) shadow Global Water price gain?
By analyzing existing basic indicators between Consolidated Water and Global, 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 Global with a short position in Consolidated Water. Check out our pair correlation module for more information.

Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Consolidated Water has an asset utilization ratio of 44.89 percent. This suggests that the company is making $0.45 for each dollar of assets. An increasing asset utilization means that Consolidated Water Co is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two companies, such as Consolidated or Global is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING Consolidated Water dividends

A dividend is the distribution of a portion of Consolidated Water earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Consolidated Water dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Consolidated one year expected dividend income is about $0.23 per share.
Dividend Yield is expected to rise to 0.0225 this year, although the value of Payment of Dividends and Other Cash Distributions will most likely fall to (5.5 M).
Last ReportedProjected for 2020
Payment of Dividends and Other Cash Distributions-5.1 M-5.5 M
Dividend Yield 0.021  0.0225 
Dividends per Basic Common Share 0.39  0.38 
Investing in dividend-paying stocks, such as Consolidated Water Co is one of the few strategies that are good for long-term investment. Ex-dividend dates are significant because investors in Consolidated Water must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Consolidated Water. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Consolidated Water's Liquidity

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

Correlation Between Consolidated and Global Water Resources

In general, stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Consolidated Water together with similar or unrelated positions with a negative correlation. For example, you can also add Global Water to your portfolio. If Global Water is not perfectly correlated to Consolidated Water it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Consolidated Water for example, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down. Please check pair correlation details between CWCO and GWRS for more information.

Acquisition by Redding Todd of 165 shares of Consolidated Water subject to Rule 16b-3

Legal trades by Consolidated Water insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Consolidated insider trading alert for grant of redeemable preferred stock by Redding Todd, VP OF PURCHASING AND LOGISTICS, on 10th of September 2020. This event was filed by Consolidated Water Co Ltd with SEC on 2020-09-10. Statement of changes in beneficial ownership - SEC Form 4 [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

A Deeper look at Consolidated

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 Consolidated Water revenue. Based on the latest financial disclosure, Consolidated Water Co reported 72.53 M of revenue. This is 98.17% lower than that of the Utilities sector and significantly higher than that of the Utilities?Regulated Water industry. The revenue for all United States stocks is 99.23% higher than that of Consolidated Water. As for Global Water we see revenue of 35.98 M, which is much higher than that of the Utilities?Regulated Water

Consolidated72.53 Million
Global35.98 Million
72.5 M
36 M

Will Consolidated pull back in September 2020?

Latest skewness indicator falls down to -1.93. Possible price upswing? As of the 8th of August, Consolidated Water shows the risk adjusted performance of (0.038639), and Mean Deviation of 2.02. Consolidated Water technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Put another way, you can use this information to find out if the firm will indeed mirror its model of historical prices and volume momentum, or the prices will eventually revert. We were able to break down and interpolate data for nineteen technical drivers for Consolidated Water Co, which can be compared to its rivals. Please confirm Consolidated Water coefficient of variation, treynor ratio, as well as the relationship between the Treynor Ratio and semi variance to decide if Consolidated Water is priced correctly, providing market reflects its regular price of 12.71 per share. Given that Consolidated Water has jensen alpha of (0.31), we suggest you to validate Consolidated Water Co's prevailing market performance to make sure the company can sustain itself at a future point.

Whereas many other companies in the utilities?regulated water industry are either recovering or due for a correction, Consolidated Water may not be performing as strong as the other in terms of long-term growth potentials. In closing, as of the 8th of August 2020, we see that Consolidated Water almost mirrors the market. The company is undervalued with very small odds of financial distress within the next 24 months. Our ongoing 30 days recommendation on the company is Strong Hold.

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 Vlad Skutelnik do not own shares of Consolidated Water Co. Please refer to our Terms of Use for any information regarding our disclosure principles.

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