Lindsay Corp has roughly 146.43
M in cash with 59.87
M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 13.48.
Macroaxis provides trade recommendations on Lindsay Corp to complement and cross-verify current
analyst consensus on Lindsay Corp. Our advice engine determines the firm's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
Investing in Lindsay, 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 Lindsay 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.
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of Lindsay's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Lindsay. Your research has to be compared to or analyzed against Lindsay's peers to derive any actionable benefits. When done correctly, Lindsay's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Lindsay.
How important is Lindsay's Liquidity
Lindsay
financial leverage refers to using borrowed capital as a funding source to finance Lindsay ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Lindsay 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 Lindsay'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 Lindsay'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 Lindsay's total debt and its cash.
Lindsay Gross Profit
Lindsay Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Lindsay 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 Lindsay Gross Profit growth over the last 10 years. Please check Lindsay's
gross profit and other
fundamental indicators for more details.
Lindsay Correlation with Peers
Investors in Lindsay can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Lindsay. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Lindsay and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Lindsay 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 Lindsay for more details
Breaking it down a bit more
Lindsay Corp appears to be very steady, given 1 month investment horizon.
Lindsay Corp has Sharpe Ratio of 0.2, which conveys that the firm had 0.2% of return per unit of risk over the last month. Our standpoint towards estimating 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-one
technical indicators for Lindsay Corp, which you can use to evaluate future volatility of the firm. Please exercise Lindsay Corp Mean Deviation of 1.61,
downside deviation of 1.69, and Risk Adjusted Performance of 0.1869 to check out if our risk estimates are consistent with your expectations.
Lindsay technical analysis suggests possible correction
Lindsay Corp latest sortino ratio surges over 0.18. Lindsay Corp has relatively low volatility with skewness of 0.45 and kurtosis of 0.08. However, we advise all investors to independently investigate Lindsay Corp to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Lindsay Corp'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 Lindsay Corp'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.
The Bottom Line
Whereas some firms within the farm & heavy construction machinery industry are still a little expensive, even after the recent corrections, Lindsay Corp may offer a potential longer-term growth to institutional investors. While some institutional investors may not share our view we believe it may be a good time to quit Lindsay as the risk-reward trade off is not appealing enough to hold a position. 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 Lindsay Corp.
Building efficient market-beating portfolios requires time, education, and a lot of computing power!
The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.
Try AI Portfolio ArchitectEditorial Staff
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 Lindsay. Please refer to our
Terms of Use for any information regarding our disclosure principles.
Would you like to provide feedback on the content of this article?
You can get in touch with us directly or send us a quick note via email to
editors@macroaxis.com
