Republic Stock Story

FRBK

Stock

USD 3.59 0.07 1.99%

Macroaxis Story

Republic First Bcp is scheduled to announce its earnings tomorrow. Republic First Earnings before Tax are increasing as compared to previous years. The last year's value of Earnings before Tax was reported at 7.41 Million. The current Invested Capital is estimated to increase to about 6.2 B, while Enterprise Value is projected to decrease to (23.5 M). As many baby boomers are still indifferent towards financial services space, it makes sense to examine Republic First Bcp as a unique choice for millenniums.

Published over three weeks ago

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Will Republic First (NASDAQ:FRBK) be in financial trouble before August?

The company currently holds 11.28 M in liabilities with Debt to Equity (D/E) ratio of 0.2, which may suggest Republic First is not taking enough advantage from borrowing.

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Republic First has an asset utilization ratio of 10.85 percent. This signifies that the company is making $0.11 for each dollar of assets. An increasing asset utilization means that Republic First Bcp is more efficient with each dollar of assets it utilizes for everyday operations.

Will Republic First (NASDAQ:FRBK) be in financial trouble before August?

Republic First financial leverage ratio helps determine the effect of debt on the overall profitability of the company. It measures the total debt position of Republic First, including all of Republic First's outstanding debt obligations, and compares it with the equity. In simple terms, the high financial leverage means the cost of production, together with running the business day-to-day, is high, whereas, lower financial leverage implies lower fixed cost investment in the business and generally considered by investors to be a good sign. So if creditors own a majority of Republic First assets, the company is considered highly leveraged. Understanding the composition and structure of overall Republic First debt and outstanding corporate bonds gives a good idea of how risky the capital structure of a business is and if it is worth investing in it.

Please read more on our technical analysis page.

How important is Republic First's Liquidity

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

How does Republic utilize its cash?

To perform a cash flow analysis of Republic First, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Republic First is receiving and how much cash it distributes out in a given period. The Republic First cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Republic First Net Cash Flow from Operations is decreasing as compared to previous years. The last year's value of Net Cash Flow from Operations was reported at (12.34 Million)

Breaking down Republic First Further

Republic First Bcp reported the previous year's revenue of 156.21 M. Net Income was 21.68 M with profit before overhead, payroll, taxes, and interest of 156.21 M.

Will Republic plunge impact its fundamentals?

Recent Information Ratio is up to -0.08. Price may plunge again. Republic First Bcp exhibits very low volatility with skewness of 0.1 and kurtosis of 1.94. However, we advise investors to further study Republic First Bcp technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Republic First'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 Republic First'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.

Republic First Implied Volatility

Republic First's implied volatility exposes the market's sentiment of Republic First Bcp stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Republic First's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Republic First stock will not fluctuate a lot when Republic First's options are near their expiration.

Our Final Takeaway

Although some companies in the banks—regional industry are either recovering or due for a correction, Republic First may not be performing as strong as the other in terms of long-term growth potentials. On the whole, as of the 23rd of July 2022, we believe Republic First is currently overvalued. It moves indifferently to market moves and projects very low probability of financial unrest in the next two years. Our current 90 days buy-or-sell advice on the firm is Sell.

Editorial Staff

Gabriel Shpitalnik is a Member of Macroaxis Editorial Board. Gabriel is a young entrepreneur and writes predominantly on the business, technology, and finance sector. He likes to analyze different equity instruments across a wide range of industries focusing primarily on consumer products and evolving technologies. View Profile

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 Gabriel Shpitalnik do not own shares of Republic First Bcp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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