Euronet Story

EEFT -  USA Stock  

USD 142.79  0.56  0.39%

Today we will review Euronet Worldwide. We will analyze why Euronet Worldwide investors may still consider a stake in the business. Euronet Worldwide is currently traded for 145.99. The entity has historical hype elasticity of -1.77. The average price elasticity to hype of competition is about -0.11. The firm is forecasted to decline in value after the next headline, with the price expected to drop to 144.22. The average volatility of media hype impact on the company stock price is about 36.43%. The price decrease on the next news is expected to be -1.21%, whereas the daily expected return is currently at 0.31 percent. The volatility of related hype on Euronet Worldwide is about 604.65% with expected price after next announcement by competition of 145.88 Given the investment horizon of 30 days the next forecasted press release will be in about 8 days.
Published over a month ago
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Is Euronet Worldwide (NASDAQ:EEFT) gaining more confidence from private investors?
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Euronet Worldwide has an asset utilization ratio of 113.1 percent. This implies that the company is making $1.13 for each dollar of assets. An increasing asset utilization means that Euronet Worldwide is more efficient with each dollar of assets it utilizes for everyday operations.
The successful prediction of Euronet Worldwide stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published stock prices of traded companies, such as Euronet Worldwide, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at the intrinsic value of Euronet Worldwide based on Euronet Worldwide hews, social hype, general headline patterns, and widely used predictive technical indicators.
We also calculate exposure to Euronet Worldwide's market risk, different technical and fundamental indicators, relevant financial multiples and ratios, and then comparing them to Euronet Worldwide's related companies.

Use Technical Analysis to project Euronet expected Price

Euronet Worldwide technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Euronet Worldwide technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Euronet Worldwide trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...

How Euronet utilizes its cash?

To perform a cash flow analysis of Euronet Worldwide, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Euronet Worldwide is receiving and how much cash it distributes out in a given period. The Euronet Worldwide cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
Euronet Worldwide Net Cash Flow from Operations is comparatively stable at the moment as compared to the past year. Euronet Worldwide reported Net Cash Flow from Operations of 253.5 Million in 2020

What is driving Euronet Worldwide Investor Appetite?

The newest gain in Euronet Worldwide short term price appreciation could raise concerns from private investors as the firm it trading at a share price of 145.99 on 496,232 in volume. The company directors and management have successfully maneuvered the firm at convenient times to take advantage of all market conditions in March. The stock standard deviation of daily returns for 30 days investing horizon is currently 2.08. The current volatility is consistent with the ongoing market swings in March 2021 as well as with Euronet Worldwide unsystematic, company-specific events.

Deferred Revenue Breakdown

Euronet Worldwide Deferred Revenue yearly trend continues to be comparatively stable with very little volatility. Deferred Revenue will likely drop to about 63 M in 2021. Deferred Revenue usually refers to a component of Total Liabilities representing the carrying amount of consideration received or receivable on potential earnings that were not recognized as revenue; including sales; license fees; and royalties; but excluding interest income. Euronet Worldwide Deferred Revenue is comparatively stable at the moment as compared to the past year. Euronet Worldwide reported Deferred Revenue of 73.36 Million in 2020
2014
2015
2016
2017
2018
2019
2020
2021
201433.92 Million
201535.89 Million
201644.2 Million
201752 Million
201859.29 Million
201958.59 Million
202073.36 Million
202162.98 Million

Will Euronet Worldwide revert back in May?

Downside variance is down to 5.86. It may call for a possible volatility drop. Euronet Worldwide currently demonstrates below-average downside deviation. It has Information Ratio of 0.05 and Jensen Alpha of 0.04. However, we advise investors to further question Euronet Worldwide 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 Euronet Worldwide'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 Euronet Worldwide'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.

The Current Takeaway on Euronet Worldwide Investment

Whereas some other entities in the software—infrastructure industry are either recovering or due for a correction, Euronet Worldwide may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 29th of April 2021, we believe that Euronet Worldwide is currently undervalued with low chance of bankruptcy in the next two years. Our present 30 days 'Buy-vs-Sell' recommendation on the firm 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 Achuva Shats do not own shares of Euronet Worldwide. Please refer to our Terms of Use for any information regarding our disclosure principles.

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