The company has 1.64
B in debt with debt to equity (D/E) ratio of 1.08, which is OK given its current industry classification. Maximus has a current ratio of 1.44, which is typical for the industry and considered as normal. Debt can assist Maximus until it has trouble settling it off, either with new capital or with free cash flow. So, Maximus' shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Maximus sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Maximus to invest in growth at high rates of return. When we think about Maximus' use of debt, we should always consider it together with cash and equity.
The company secures a Beta (Market Risk) of 0.8246, which conveys possible diversification benefits within a given portfolio. Let's try to break down what Maximus's beta means in this case. As returns on the market increase, Maximus returns are expected to increase less than the market. However, during the bear market, the loss on holding Maximus will be expected to be smaller as well. Even though it is essential to pay attention to
Maximus price patterns, it is always good to be careful when utilizing equity historical
price patterns. Our philosophy towards estimating any stock's
future performance is to check both, its past performance charts as well as the business as a whole, including all available
technical indicators. Maximus exposes twenty-eight different technical indicators, which can help you to evaluate its performance.
Maximus has an expected return of -0.0107%. Please be advised to verify Maximus
treynor ratio,
expected short fall, as well as the
relationship between the Expected Short fall and
day median price to decide if
Maximus performance from the past will be repeated at some point in the near future.
We determine the current worth of Maximus using both absolute as well as relative valuation methodologies to arrive at its intrinsic value. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of Maximus based exclusively on its
fundamental and basic
technical indicators. By analyzing Maximus's
financials, quarterly and monthly indicators, and related drivers such as
dividends, operating cash flow, and various types of growth rates, we attempt to find the most accurate representation of Maximus's intrinsic value. In some cases, mostly for established, large-cap companies, we also incorporate more traditional valuation methods such as dividend discount, discounted cash flow, or asset-based models. As compared to an absolute model, our relative valuation model uses a comparative analysis of Maximus. We calculate exposure to Maximus's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Maximus's related companies.
Maximus Investment Alerts
Maximus investment alerts and warnings help investors to get more proficient at understanding not only critical technical and fundamental signals but also the significant portfolio-centered indicators. These indicators include beta, alpha, and other risk-related measures that will help you in monitoring Maximus performance across your portfolios.Please check all
investment alerts for Maximus
Maximus Valuation Ratios as Compared to Competition
Our valuation model uses many indicators to compare Maximus value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Maximus competition to find
correlations between indicators driving the intrinsic value of Maximus.
Maximus Gross Profit
Maximus Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Maximus 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 Maximus Gross Profit growth over the last 10 years. Please check Maximus'
gross profit and other
fundamental indicators for more details.
Breaking it down
The entity reported the last year's revenue of 4.56
B. Total Income to common stockholders was 186.78
M with profit before taxes, overhead, and interest of 946.98
M.
| 2020 | 2021 | 2022 (projected) |
Long Term Debt to Equity | 0.97 | 0.87 | 0.94 | Interest Coverage | 27.71 | 31.86 | 32.7 |
Margins Breakdown
Maximus profit margins show the degree to which it makes money. Margin indicators are used not only by investors but also by creditors or Maximus itself as indicators of financial health and management effectiveness. Please look more closely at the different varieties of Maximus profit margins.
| Operating Margin | 12.74 |
| EBITDA Margin | 14.98 |
| Gross Margin | 27.97 |
| Profit Margin | 8.77 |
Maximus Average Assets is relatively stable at the moment. Further, Maximus Net Income Per Employee is relatively stable at the moment. Maximus Average Assets is increasing over the last 8 years. Further, Maximus Net Income Per Employee is decreasing over the last 8 years. The latest value of Maximus Net Income Per Employee is 10,395.
Maximus has a small chance to finish above $63 in 2 months
Latest value at risk is at -2.48. Maximus exhibits very low volatility with skewness of 0.87 and kurtosis of 1.36. However, we advise investors to further study Maximus technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Maximus' stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Maximus' 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 Maximus
While some firms in the specialty business services industry are either recovering or due for a correction, Maximus may not be as strong as the others in terms of longer-term growth potentials. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither take in nor drop any shares of Maximus at this time. The Maximus risk-reward trade off is not appealing enough to do any trading. 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 Maximus.
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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 Maximus. Please refer to our
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