Actuant Story

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EPAC -- USA Stock  

USD 19.74  0.05  0.25%

As many investors are getting excited about industrials space, Actuant Corp and Barnes may be going in opposite directions. We are going to analyze some of the competitive aspects of both Actuant and Barnes.
Published over three weeks ago
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Are retail investors taking in Actuant Corp (NYSE:EPAC) or Barnes?
By analyzing existing basic indicators between Actuant Corp and Barnes, 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 Barnes with a short position in Actuant Corp. 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. Actuant Corp has an asset utilization ratio of 58.07 percent. This suggests that the company is making $0.58 for each dollar of assets. An increasing asset utilization means that Actuant Corp 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 Actuant or SPX FLOW is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING Actuant Corp dividends

A dividend is the distribution of a portion of Actuant Corp 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. Actuant Corp 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. Actuant one year expected dividend income is about $0.01 per share.
As of October 26, 2020, Payment of Dividends and Other Cash Distributions is expected to decline to about (3 M). In addition to that, Dividend Yield is expected to decline to 0.002137.
Last ReportedProjected for 2020
Payment of Dividends and Other Cash Distributions-2.8 M-3 M
Dividend Yield 0.0023  0.002137 
Dividends per Basic Common Share 0.036  0.0358 
Investing in stocks that pay dividends, such as stock of Actuant Corp, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Actuant Corp 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 Actuant Corp. 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 Actuant Corp's Liquidity

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

Correlation Between Actuant and SPX FLOW

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 Actuant Corp together with similar or unrelated positions with a negative correlation. For example, you can also add SPX FLOW to your portfolio. If SPX FLOW is not perfectly correlated to Actuant Corp 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 Actuant Corp 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 EPAC and FLOW for more information.

Acquisition by Johnson Bryan of tradable shares of Actuant Corp subject to Rule 16b-3

Legal trades by Actuant Corp 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:
Actuant insider trading alert for grant of phantom stock by Johnson Bryan, Chief Accounting Officer, on 21st of October 2020. This event was filed by Enerpac Tool Group Corp with SEC on 2020-10-21. 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 down Actuant Corp Indicators

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

Now, let's check Actuant Corp revenue. Based on the latest financial disclosure, Actuant Corp reported 540.26 M of revenue. This is 84.56% lower than that of the Industrials sector and significantly higher than that of the Specialty Industrial Machinery industry. The revenue for all United States stocks is 94.27% higher than that of Actuant Corp. As for Barnes we see revenue of 1.31 B, which is much higher than that of the Specialty Industrial Machinery

Actuant540.26 Million
Sector0.0
Barnes1.31 Billion
540.3 M
Actuant
Sector
1.3 B
Barnes

Will Actuant Corp continue to go out of control?

The variance is down to 5.42 as of today. Actuant Corp currently demonstrates below-verage downside deviation. It has Information Ratio of 0.04 and Jensen Alpha of 0.18. However, we do advice investors to further question Actuant Corp expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.

Our Final Takeaway

Whereas some other entities in the specialty industrial machinery industry are either recovering or due for a correction, Actuant Corp may not be performing as strong as the other in terms of long-term growth potentials. While some investors may not share our view we believe that the current risk-reward utility is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Actuant Corp.

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 Actuant Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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