HMS Holdings Story

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HMSY -- USA Stock  

USD 23.64  0.18  0.77%

It appears HMS Holdings may not recover as fast as we have hopped for as its price went down 0.77% today. This firm's current daily volatility is 2.02 percent, with a beta of 0.68 and an alpha of 0.07 over DOW. As many investors getting excited about current market fluctuations it is important to break down HMS Holdings based on its critical indicators. We will look into some reasons why it is still possible for HMS Holdings to maintain above-average margins while minimizing volatility.
Published over a month ago
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What does a current HMS Holdings volatility slide mean for investors?
HMS Holdings Corp currently holds roughly 148.03 M in cash with 121.8 M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 1.67. Our investment recommendation module can be used to complement HMS Holdings Corp trade recommendations provided by average analyst sentiment. It analyzes the entity's potential to grow using fundamental, technical, data market data available now.
Investing in HMS Holdings, 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 HMS Holdings 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.

How important is HMS Holdings's Liquidity

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

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions. It is good to see analyst projects for HMS Holdings, but it might be worth checking our own buy vs. sell analysis

HMS Holdings Correlation with Peers

Investors in HMS Holdings can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in HMS Holdings Corp. Diversification will allow for the same portfolio return with reduced risk. The correlation table of HMS Holdings and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities HMS Holdings 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 HMS Holdings for more details

Payment of 320 shares by David Alexander of HMS Holdings subject to Rule 16b-3

Legal trades by HMS Holdings 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:
HMS Holdings insider trading alert for payment of common stock by David Alexander, Chief HR & Compliance Officer, on 10th of September 2020. This event was filed by Hms Holdings Corp with SEC on 2020-03-04. Statement of changes in beneficial ownership - SEC Form 4. David Alexander currently serves as chief human resource officer, senior vice president chief compliance officer of HMS Holdings Corp [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.

What is the case for HMS Holdings Investors

HMS Holdings appears to be very steady, given 1 month investment horizon. HMS Holdings Corp holds Efficiency (Sharpe) Ratio of 0.11, which attests that the entity had 0.11% of return per unit of volatility over the last month. Our approach towards determining the volatility of a stock is to use all available market data together with stock specific technical indicators that cannot be diversified away. We have found twenty-eight technical indicators for HMS Holdings Corp, which you can use to evaluate future volatility of the firm. Please utilize HMS Holdings market risk adjusted performance of 0.3055, and Risk Adjusted Performance of 0.1679 to validate if our risk estimates are consistent with your expectations.
Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

HMS Holdings has 61 percent chance to slide below $32 in 30 days

The maximum drawdown is down to 9.0 as of today. As of the 7th of August, HMS Holdings retains the risk adjusted performance of 0.1679, and Market Risk Adjusted Performance of 0.3055. HMS Holdings 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 have analyze and collected data for nineteen technical drivers for HMS Holdings Corp, which can be compared to its competitors. Please check out HMS Holdings Corp variance and potential upside to decide if HMS Holdings is priced correctly, providing market reflects its last-minute price of 32.36 per share. Given that HMS Holdings Corp has jensen alpha of 0.0707, we strongly advise you to confirm HMS Holdings Corp's regular market performance to make sure the company can sustain itself at some point in the future.

Our Conclusion on HMS Holdings

While other companies in the health information services industry are either recovering or due for a correction, HMS Holdings may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 7th of August 2020, our analysis shows that HMS Holdings follows the market closely. The company is fairly valued and projects low probability of bankruptcy for the next 2 years. Our final 30 days recommendation on the company is Strong Buy.

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

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