Dermata Stock Story

DRMA -  USA Stock  

USD 4.74  2.04  75.56%

Dermata Therapeutics is currently does not generate positive expected returns and assumes 7.7158% risk (volatility on return distribution) over the 60 days horizon. As many old-fashioned traders are trying to avoid healthcare space, it makes sense to go over Dermata Therapeutics a little further and try to understand its current volatility patterns. We will evaluate if the latest Dermata Therapeutics price volatility suggests a bounce in December. The current Dermata risk factors may impact the value of the stock as we estimate Dermata Therapeutics as currently undervalued. The real value is approaching 4.95 per share.
Published 3 days ago
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Is Dermata Therapeutics (NASDAQ:DRMA) positioned to overcome the current market swings?
The firm shows a Beta (market volatility) of 0.1162, which means not very significant fluctuations relative to the market. Let's try to break down what Dermata's beta means in this case. As returns on the market increase, Dermata Therapeutics returns are expected to increase less than the market. However, during the bear market, the loss on holding Dermata Therapeutics will be expected to be smaller as well. Even though it is essential to pay attention to Dermata Therapeutics historical returns, it is always good to be careful when utilizing equity current trending patterns. Our philosophy towards predicting any stock's future performance is to check both, its past performance charts as well as the business as a whole, including all available technical indicators. Dermata Therapeutics exposes twenty-eight different technical indicators, which can help you to evaluate its performance. Dermata Therapeutics has an expected return of -0.67%. Please be advised to confirm Dermata Therapeutics semi variance, rate of daily change, and the relationship between the value at risk and kurtosis to decide if Dermata Therapeutics performance from the past will be repeated at some point in the near future.
Volatility is a rate at which the price of Dermata Therapeutics or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of Dermata Therapeutics may increase or decrease. In other words, similar to Dermata's beta indicator, it measures the risk of Dermata Therapeutics and helps estimate the fluctuations that may happen in a short period of time. So if prices of Dermata Therapeutics fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.

How Dermata utilizes its cash?

To perform a cash flow analysis of Dermata Therapeutics, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Dermata Therapeutics is receiving and how much cash it distributes out in a given period. The Dermata Therapeutics cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Dermata Therapeutics Net Cash Flow from Operations is projected to decrease significantly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at (4.03 Million)

Dermata Therapeutics Volatility Drivers

Dermata Therapeutics unsystematic risk is unique to Dermata Therapeutics and usually not directly affected by the market or economic environment. An example of unsystematic risk is the possibility of poor earnings or a layoff due to coronavirus. One may mitigate nonsystematic risk by buying different securities in the same industry or by buying in different sectors. For example, if you have a position in Dermata Therapeutics you can also buy Brickell Biotech. You can also mitigate this risk by investing in the biotechnology sector as well as in companies having nothing to do with it. This type of risk is also called diversifiable risk and can be understood from analyzing Dermata Therapeutics important indicators over time. Here we run a correlation analysis between relevant fundamental ratios over at least ten year period to find a relationship in the way they react to changes in Dermata Therapeutics income statement and balance sheet. Here are more details about Dermata volatility.
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1.01.0-1.0-1.00.99-1.0-1.0-1.00.99-1.0-1.01.0-1.00.990.990.99-0.99-1.00.77-0.910.990.99-1.0-0.910.77-1.0-0.911.00.99
1.01.0-1.0-1.00.99-0.99-1.0-1.00.99-1.0-1.01.0-1.00.990.990.99-0.99-1.00.77-0.910.990.99-1.0-0.910.77-1.0-0.911.00.99
-1.0-1.0-1.01.0-1.01.01.01.0-1.01.01.0-1.01.0-0.99-1.0-1.01.01.0-0.80.89-1.0-0.991.00.89-0.791.00.89-1.0-1.0
-1.0-1.0-1.01.0-0.991.01.01.0-1.01.01.0-1.01.0-0.99-0.99-1.01.01.0-0.780.9-0.99-0.991.00.9-0.781.00.9-1.0-0.99
0.990.990.99-1.0-0.99-1.0-1.0-0.991.0-0.99-0.991.0-0.991.01.01.0-1.0-0.990.85-0.851.01.0-0.99-0.850.84-1.0-0.850.991.0
-1.0-1.0-0.991.01.0-1.01.01.0-1.01.01.0-1.00.99-1.0-1.0-1.01.01.0-0.830.86-1.0-1.01.00.86-0.831.00.86-1.0-1.0
-1.0-1.0-1.01.01.0-1.01.01.0-1.01.01.0-1.01.0-1.0-1.0-1.01.01.0-0.810.88-1.0-1.01.00.88-0.81.00.88-1.0-1.0
-1.0-1.0-1.01.01.0-0.991.01.0-1.01.01.0-1.01.0-0.99-0.99-0.991.01.0-0.780.9-0.99-0.991.00.9-0.781.00.9-1.0-0.99
0.990.990.99-1.0-1.01.0-1.0-1.0-1.0-1.0-1.01.0-0.991.01.01.0-1.0-1.00.83-0.861.01.0-1.0-0.860.83-1.0-0.860.991.0
-1.0-1.0-1.01.01.0-0.991.01.01.0-1.01.0-1.01.0-0.99-0.99-0.991.01.0-0.780.9-0.99-0.991.00.9-0.781.00.9-1.0-0.99
-1.0-1.0-1.01.01.0-0.991.01.01.0-1.01.0-1.01.0-0.99-0.99-0.991.01.0-0.780.9-0.99-0.991.00.9-0.781.00.9-1.0-0.99
1.01.01.0-1.0-1.01.0-1.0-1.0-1.01.0-1.0-1.0-1.01.01.01.0-1.0-1.00.81-0.881.01.0-1.0-0.880.81-1.0-0.881.01.0
-1.0-1.0-1.01.01.0-0.990.991.01.0-0.991.01.0-1.0-0.99-0.99-0.990.991.0-0.770.91-0.99-0.991.00.91-0.771.00.91-1.0-0.99
0.990.990.99-0.99-0.991.0-1.0-1.0-0.991.0-0.99-0.991.0-0.991.01.0-1.0-0.990.85-0.841.01.0-0.99-0.840.85-1.0-0.840.991.0
0.990.990.99-1.0-0.991.0-1.0-1.0-0.991.0-0.99-0.991.0-0.991.01.0-1.0-0.990.85-0.851.01.0-0.99-0.850.84-1.0-0.850.991.0
0.990.990.99-1.0-1.01.0-1.0-1.0-0.991.0-0.99-0.991.0-0.991.01.0-1.0-1.00.84-0.861.01.0-0.99-0.860.83-1.0-0.860.991.0
-0.99-0.99-0.991.01.0-1.01.01.01.0-1.01.01.0-1.00.99-1.0-1.0-1.01.0-0.830.86-1.0-1.01.00.86-0.831.00.86-0.99-1.0
-1.0-1.0-1.01.01.0-0.991.01.01.0-1.01.01.0-1.01.0-0.99-0.99-1.01.0-0.780.9-0.99-0.991.00.9-0.781.00.9-1.0-0.99
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-0.91-0.91-0.910.890.9-0.850.860.880.9-0.860.90.9-0.880.91-0.84-0.85-0.860.860.9-0.44-0.84-0.840.91.0-0.430.871.0-0.91-0.85
0.990.990.99-1.0-0.991.0-1.0-1.0-0.991.0-0.99-0.991.0-0.991.01.01.0-1.0-0.990.85-0.841.0-0.99-0.840.85-1.0-0.840.991.0
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-1.0-1.0-1.01.01.0-0.991.01.01.0-1.01.01.0-1.01.0-0.99-0.99-0.991.01.0-0.780.9-0.99-0.990.9-0.781.00.9-1.0-0.99
-0.91-0.91-0.910.890.9-0.850.860.880.9-0.860.90.9-0.880.91-0.84-0.85-0.860.860.9-0.431.0-0.84-0.840.9-0.430.871.0-0.91-0.85
0.770.770.77-0.79-0.780.84-0.83-0.8-0.780.83-0.78-0.780.81-0.770.850.840.83-0.83-0.781.0-0.430.850.85-0.78-0.43-0.82-0.430.770.84
-1.0-1.0-1.01.01.0-1.01.01.01.0-1.01.01.0-1.01.0-1.0-1.0-1.01.01.0-0.820.87-1.0-1.01.00.87-0.820.87-1.0-1.0
-0.91-0.91-0.910.890.9-0.850.860.880.9-0.860.90.9-0.880.91-0.84-0.85-0.860.860.9-0.431.0-0.84-0.840.91.0-0.430.87-0.91-0.85
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0.990.990.99-1.0-0.991.0-1.0-1.0-0.991.0-0.99-0.991.0-0.991.01.01.0-1.0-0.990.84-0.851.01.0-0.99-0.850.84-1.0-0.850.99
Click cells to compare fundamentals

Dermata Therapeutics exotic insider transaction detected

Legal trades by Dermata Therapeutics 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:
Dermata insider trading alert for general transaction of common stock by Proehl Gerald T, President CEO and Chairman, on 26th of November 2021. This event was filed by Dermata Therapeutics Inc with SEC on 2021-11-26. 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.

Breaking it down

The big decline in price over the last few months for Dermata Therapeutics could raise concerns from investors as the firm it trading at a share price of 2.81 on 350,800 in volume. The company directors and management failed to add value to investors and positioning the firm supply of money to exploit market volatility in October. However, diversifying your holdings with Dermata Therapeutics or any similar stocks can still protect your portfolios during high-volatility market scenarios. The stock standard deviation of daily returns for 90 days investing horizon is currently 7.72. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Dermata Therapeutics partners.

Another 3 percent rise for Dermata Therapeutics

Skewness just dropped to -1.43, may suggest upcoming price decrease.
As of the 25th of November, Dermata Therapeutics shows the mean deviation of 4.49, and Coefficient Of Variation of (909.73). Dermata Therapeutics technical analysis allows you to utilize historical prices and volume patterns in order to determine a pattern that computes 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 have collected data for nineteen technical drivers for Dermata Therapeutics, which can be compared to its rivals. Please confirm Dermata Therapeutics value at risk, and the relationship between the jensen alpha and semi variance to decide if Dermata Therapeutics is priced favorably, providing market reflects its regular price of 2.81 per share. Please also check Dermata Therapeutics total risk alpha, which is currently at (0.88) to verify the company can sustain itself at a future point.

Our Bottom Line On Dermata Therapeutics

Whereas some other entities within the biotechnology industry are still a little expensive, even after the recent corrections, Dermata Therapeutics may offer a potential longer-term growth to investors. To sum up, as of the 25th of November 2021, we believe that at this point, Dermata Therapeutics is undervalued with above average odds of distress within the next 2 years. However, our primary recommendation on the company is Strong Sell.

Editorial Staff

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 Raphi Shpitalnik do not own shares of Dermata Therapeutics. Please refer to our Terms of Use for any information regarding our disclosure principles.

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