This firm's average rating is Hold from 12 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on National Retail market sentiment investors' perception of the future value of National. Let us look at a few aspects of National technical analysis. The company has Net Profit Margin of
41.7 %, which may imply that it executes well on its competitive polices and has reasonable control over its expenses and variable costs. This is very large. In the same way, it shows Net Operating Margin of
85.45 %, which entails that for every 100 dollars of revenue, it generated 0.85 of operating income.
Using predictive
technical analysis, we can analyze different prices and returns patterns and
diagnose historical swings to determine the real value of National Retail Properties. In general, sophisticated investors focus on analyzing National Retail stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build National Retail's daily price indicators and compare them against related drivers such as
momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional
technical analysis and
fundamental analysis, we attempt to find the most accurate representation of
National Retail's intrinsic value. In addition to deriving basic predictive indicators for National Retail, many experienced traders also check how macroeconomic factors affect National Retail price patterns. Please read more on our
technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of National Retail'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 National Retail. Your research has to be compared to or analyzed against National Retail's peers to derive any actionable benefits. When done correctly, National Retail'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 National Retail Prop.
How important is National Retail's Liquidity
National Retail
financial leverage refers to using borrowed capital as a funding source to finance National Retail Properties ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. National Retail 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 National Retail'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 National Retail'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 National Retail's total debt and its cash.
National Retail Gross Profit
National Retail Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing National Retail 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 National Retail Gross Profit growth over the last 10 years. Please check National Retail's
gross profit and other
fundamental indicators for more details.
Closer look at National Retail Downside Variance
National Retail Properties has current Downside Variance of 14.47. Downside Variance (or DV) is measured by target semi-variance and is termed downside volatility. It is expressed in percentages and therefore allows for rankings in the same way as variance. One way to view downside volatility is the annualized variance of returns below the target.
Downside Variance is the probability-weighted squared below-target returns. The squaring of the below-target returns has the effect of penalizing failures at an exponential rate. This is consistent with observations made on the behavior of individual decision-making under.
Downside Variance | = | SUM(RET DEV)2 N(ER) |
| = | 14.47 |
| SUM | = | Summation notation |
| RET DEV | = | Actual returns deviation over selected period |
| N(ER) | = | Number of points with returns less than expected return for the period |
Let's now compare National Retail Downside Variance to its closest peers:
| NNN | 14.474783096998372 |
| O | 5.31 |
| ADC | 5.25 |
| AKR | 18.84 |
| BRX | 18.53 |
Are National Retail technical ratios showing a turnaround?
Latest market risk adjusted performance is at 0.7. National Retail Properties shows above-average downside volatility for the selected time horizon. We advise investors to inspect National Retail Properties further and ensure that all market timing and asset allocation strategies are consistent with the estimation of National Retail future alpha.
Our Final Take On National Retail
Whereas many of the other players within the reit—retail industry are still a little expensive, even after the recent corrections, National Retail may offer a potential longer-term growth to institutional investors. To conclude, as of the 2nd of August 2020, our primary 30 days buy-hold-sell advice on the company is
Strong Sell. However, we believe National Retail is
fairly valued with
below average probability of distress for the next two years.
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Gabriel Shpitalnik is a Member of Macroaxis Editorial Board. Gabriel is a young entrepreneur and writes predominantly on the business, technology, and finance sector. He likes to analyze different equity instruments across a wide range of industries focusing primarily on consumer products and evolving technologies.
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 Gabriel Shpitalnik do not own shares of National Retail Properties. Please refer to our
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