ITT Story

ITT -- USA Stock

USD 84.81 1.53 1.77%

Macroaxis Story

ITT Inc is scheduled to announce its earnings today. The next earnings report is expected on the 7th of May 2021. As many baby boomers are still indifferent towards industrials space, it makes sense to break down ITT as a potential position. We will evaluate why recent ITT price moves suggest a bounce in March.

Published over a week ago

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Will ITT Inc price gain in March?

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. ITT has an asset utilization ratio of 66.87 percent. This implies that the company is making $0.67 for each dollar of assets. An increasing asset utilization means that ITT Inc is more efficient with each dollar of assets it utilizes for everyday operations.

What is the right price you would pay to acquire a share of ITT? For most investors, it would be the price that gives them a wide margin of safety to have minimal downside risk. In other words, most investors are always looking for undervalued stocks. Even if the future performance is not entirely as expected, the loss of holding it is minimized, and the downside risk is negated.

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What is happening with ITT Inc this year

Annual and quarterly reports issued by ITT Inc are formal financial statements that are published yearly and quarterly and sent to ITT stockholders. The reports show and break down the current year's ongoing operations and discuss plans for the upcoming year. Annual reports have been a requirement from the Securities and Exchange Commission (SEC) for businesses owned by the public since 1934.

Companies such as ITT often view their annual report as an effective marketing tool to disseminate their perspective on company future earnings or innovations. With this in mind, many companies devote large sums of money to making their reports attractive and informative. In such instances, the annual report becomes a forum through which a company can communicate to the general public any number of topics that may or may not be directly related to the actual data published in the reports.

How ITT utilizes its cash?

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

ITT Net Cash Flow from Operations is comparatively stable at the moment as compared to the past year. ITT reported Net Cash Flow from Operations of 435.9 Million in 2020

Breaking down the case for ITT

Earning per share calculations of the firm is based on official Zacks consensus of 5 analysts regarding ITT's future annual earnings. Given the historical accuracy of 94.56%, the future earnings per share of the company is estimated to be 3.115 with the lowest and highest values of 3.1 and 3.13, respectively. Please note that this consensus of annual earnings estimates for ITT Inc is an estimate of EPS before non-recurring items and including employee stock options expenses.

Is ITT a risky opportunity?

Let's check the volatility. ITT is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind ITT (NYSE:ITT) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. acquiring a share of an ITT stock makes you a part-owner of that company.

ITT Inc Current Consensus

Here is the newest trade recommendation based on an ongoing consensus estimate among financial analysis covering ITT Inc. The ITT consensus assessment is calculated by taking the average estimates from all of the analysts covering ITT

Strong Buy

Hold

Strong Buy	7	77.78
Buy	0	0.0
Hold	2	22.22
Sell	0	0.0
Strong Sell	0	0.0

Analysis of ITT Inc

Standard deviation is down to 1.79. It may call for a possible volatility drop. As of the 19th of February, ITT retains the market risk adjusted performance of 0.1122, and Risk Adjusted Performance of 0.089. ITT 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 collect and analyze data for nineteen technical drivers for ITT Inc, which can be compared to its competitors. Please check out ITT Inc information ratio and downside variance to decide if ITT is priced adequately, providing market reflects its last-minute price of 76.86 per share. Given that ITT Inc has jensen alpha of (0.020962), we strongly advise you to confirm ITT Inc's regular market performance to make sure the company can sustain itself next year.

Our Final Take On ITT

Whereas some other entities within the specialty industrial machinery industry are still a little expensive, even after the recent corrections, ITT may offer a potential longer-term growth to private investors. To conclude, as of the 19th of February 2021, our concluding 30 days buy vs. sell advice on the firm is Strong Buy. We believe ITT is fairly valued with very small odds of distress for the next two years.

About Contributor

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 ITT Inc. Please refer to our Terms of Use for any information regarding our disclosure principles.

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