By analyzing existing essential indicators between Helix Energy and Dril Quip, 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 Dril Quip with a short position in Helix Energy. 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. Helix Energy has an asset utilization ratio of 80.8 percent. This suggests that the company is making $0.81 for each dollar of assets. An increasing asset utilization means that Helix Energy Solutions 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 entities, such as Helix or Expro is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.
How important is Helix Energy's Liquidity
Helix Energy
financial leverage refers to using borrowed capital as a funding source to finance Helix Energy Solutions ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Helix Energy 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 Helix Energy's 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 Helix Energy's 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 Helix Energy's total debt and its cash.
Correlation Between Helix and Expro Group Holdings
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 Helix Energy together with similar or unrelated positions with a negative correlation. For example, you can also add Expro Group to your portfolio. If Expro Group is not perfectly correlated to Helix Energy 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 Helix Energy, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Are you currently holding both Helix Energy and Expro Group in your portfolio? Please note if you are using this as a pair-trade strategy between Helix Energy and Expro Group, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses. Please check
pair correlation details between HLX and XPRO for more information.
An Additional Perspective On Helix Energy Solutions
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 Helix Energy revenue. Based on the latest financial disclosure, Helix Energy Solutions reported 678.74
M of revenue. This is 98.62% lower than that of the Energy sector and 78.56% lower than that of the
Oil & Gas Equipment & Services industry. The revenue for all United States stocks is 92.81% higher than that of Helix Energy. As for Dril Quip we see revenue of 350.21
M, which is 88.94% lower than that of the Oil & Gas Equipment & Services
| Helix | 678.74 Million |
| Sector | 3.17 Billion |
| Dril Quip | 350.21 Million |
Another small slide for Helix Energy
The total risk alpha is down to -0.29 as of today.
As of the 19th of October, Helix Energy retains the Risk Adjusted Performance of 0.0143,
downside deviation of 3.66, and Market Risk Adjusted Performance of
(0.014583). Helix Energy
technical analysis makes it possible for you to employ
historical prices and volume momentum with the intention to determine a pattern that calculates the direction of the firm's future prices. Simply put, you can use this information to find out if the firm will indeed mirror its model of historical price patterns, or the prices will eventually revert. We were able to break down and interpolate nineteen
technical drivers for Helix Energy Solutions, which can be compared to its competitors. Please check out
Helix Energy Solutions coefficient of variation,
maximum drawdown, as well as the
relationship between the Maximum Drawdown and
skewness to decide if Helix Energy is priced fairly, providing market reflects its last-minute price of 4.24 per share. Given that Helix Energy Solutions has
jensen alpha of 0.0775, we strongly advise you to confirm Helix Energy Solutions's regular market performance to make sure the company can sustain itself at a future point.
Our Final Take On Helix Energy
While other companies in the oil & gas equipment & services industry are either recovering or due for a correction, Helix may not be as strong as the others in terms of longer-term growth potentials. The inconsistency in the assessment between current Helix valuation and our trade advice on Helix Energy 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 Helix Energy.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
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 Vlad Skutelnik do not own shares of Helix Energy Solutions. Please refer to our
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