Eos Energy Story

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EOSE -- USA Stock  

USD 22.57  0.54  2.34%

It looks as if Eos Energy will continue to recover much faster as its share price surged up 44.56% today. Eos Energy's current daily volatility is 8.94 percent, with a beta of 0.21 and an alpha of 1.45 over DOW. While some millenniums are indifferent towards favorable retirement market, it makes sense to digest Eos Energy Enterprises. I will address the reasons why this entity does not get much respect from shareholders under the current market uncertainty.
Published over a month ago
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Will Eos Energy (NASDAQ:EOSE) latest volatility surge scare shareholders?
The firm conducts business under Industrials sector and is part of Electrical Equipment & Parts industry.
Investing in Eos Energy, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding Eos Energy along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Eos Energy'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 Eos Energy 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 Eos Energy. Your research has to be compared to or analyzed against Eos Energy's peers to derive any actionable benefits. When done correctly, Eos Energy'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 Eos Energy Enterprises.

How Eos Energy utilizes its cash?

To perform a cash flow analysis of Eos Energy, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Eos Energy is receiving and how much cash it distributes out in a given period. The Eos Energy cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities. Eos Energy Net Cash Flow from Operations is projected to increase slightly based on the last few years of reporting. The past year's Net Cash Flow from Operations was at -0.9

Eos Energy Correlation with Peers

Investors in Eos Energy can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Eos Energy Enterprises. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Eos Energy and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Eos Energy is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage. Please check volatility of Eos Energy for more details

What is driving Eos Energy Investor Appetite?

Eos Energy is slightly risky given 1 month investment horizon. Eos Energy Enterprises secures Sharpe Ratio (or Efficiency) of 0.32, which denotes the company had 0.32% of return per unit of risk over the last month. Our standpoint towards predicting the volatility of a stock is to use Eos Energy Enterprises market data together with company specific technical indicators. We were able to analyze and collect data for twenty-eight different technical indicators, which can help you to evaluate if expected returns of 2.85% are justified by taking the suggested risk. Use Eos Energy Coefficient Of Variation of 324.34, downside deviation of 4.06, and Mean Deviation of 3.65 to evaluate company specific risk that cannot be diversified away.
Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Our perspective of the latest Eos Energy surge

Latest information ratio is at 0.27. Eos Energy Enterprises shows above-average downside volatility for the selected time horizon. We advise investors to inspect Eos Energy Enterprises further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Eos Energy future alpha.

Our Conclusion on Eos Energy

Although some companies under the electrical equipment & parts industry are still a bit expensive, Eos Energy may offer a potential longer-term growth to shareholders. All things considered, as of the 24th of December 2020, our analysis shows that Eos Energy slowly supersedes the market. The firm is overvalued and projects below average chance of distress for the next 2 years. Our latest 30 days buy vs. sell advice 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 Raphi Shpitalnik do not own shares of Eos Energy Enterprises. Please refer to our Terms of Use for any information regarding our disclosure principles.

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