By analyzing existing fundamental indicators between Gds Holdings and Cognizant, 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 Cognizant with a short position in Gds Holdings. 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. Gds Holdings has an asset utilization ratio of 106.5 percent. This connotes that the company is making $1.06 for each dollar of assets. An increasing asset utilization means that Gds Holdings is more efficient with each dollar of assets it utilizes for everyday operations.
Investment perspective, in general, refers to a viewpoint or opinion regarding investment opportunity in GDS Holdings. It encompasses the assessment of an investment's potential risks and rewards, and expectations for its
performance over time. Several factors influence the investment perspective on GDS Holdings, including investment goals, risk tolerance, time horizon, market conditions, and research and analysis. Investors have varying goals, such as capital preservation, income generation, or long-term growth. Risk tolerance plays a significant role in shaping an investor's perspective, with some being more risk-averse and others willing to take on higher risks for potential returns.
How important is GDS Holdings's Liquidity
GDS Holdings
financial leverage refers to using borrowed capital as a funding source to finance GDS Holdings ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. GDS Holdings 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. Financial leverage can amplify the potential profits to GDS Holdings' owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of GDS Holdings' financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between GDS Holdings's total debt and its cash.
GDS Holdings Gross Profit
GDS Holdings Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing GDS Holdings previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show GDS Holdings Gross Profit growth over the last 10 years. Please check GDS Holdings'
gross profit and other
fundamental indicators for more details.
Is GDS Holdings valued wisely by the market?
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
Lets now check Gds Holdings revenue. Based on the latest financial disclosure, Gds Holdings reported 8.8
B of revenue. This is 115.91% higher than that of the Technology sector and 3.59% higher than that of the
Information Technology Services industry. The revenue for all United States stocks is 6.73% higher than that of Gds Holdings. As for Cognizant Tech we see revenue of 19.37
B, which is 128.02% higher than that of the Information Technology Services
| Gds Holdings | 8.8 Billion |
| Sector | 4.08 Billion |
| Cognizant | 19.37 Billion |
Will Gds Holdings quickly start a bounce-back?
Gds Holdings latest standard deviation advances over 7.69. Gds Holdings is displaying above-average volatility over the selected time horizon. Investors should scrutinize Gds Holdings independently to ensure intended market timing strategies are aligned with expectations about Gds Holdings volatility. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Gds Holdings' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Gds Holdings' 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.
Our Final Take On Gds Holdings
While some other firms in the information technology services industry are either recovering or due for a correction, Gds Holdings may not be as strong as the others in terms of longer-term growth potentials. The inconsistency in the assessment between current Gds Holdings valuation and our trade advice on Gds Holdings is due to the recent market swings and your selection of investing horizon. 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 Gds Holdings.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
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 Raphi Shpitalnik do not own shares of GDS Holdings. Please refer to our
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