NTT Data dips -0.31679999999999997 percent despite market ascent
 | By Vlad Skutelnik | Macroaxis Story |
In this story I am going to address all ongoing NTT Data shareholders. I will look into why despite ongoing dip, the longer-term fundamental drivers of the firm are still sound. In spite of rather unsteady fundamental drivers, NTT Data may actually be approaching a critical reversion point that can send shares even higher in March 2019. We found twenty-five available fundamentals for NTT Data which can be compared to its peers in the industry. To make sure the equity is not overpriced, please verify all NTT Data Corporation fundamentals including its EBITDA, Cash and Equivalents, Total Debt, as well as the relationship between Net Income and Cash per Share . Use NTT Data to protect your portfolios against small markets fluctuations. The stock experiences normal downward trend and little activity. Check odds of NTT Data to be traded at €9.35 in 30 days.
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Reviewed by Raphi Shpitalnik
This firm has accumulated 5.22B in total debt with debt to equity ratio (D/E) of 63.5 indicating NTT Data may have difficulties to generate enough cash to satisfy its financial obligations. The company has Current Ratio of 1.3 suggesting that it may not be capable to disburse its financial obligations in time and when they become due. NTT Data dividends can provide a clue to current valuation of the stock. The firm one year expected dividend income is about €5.33 per share.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include NTT DATA income statement, its balance sheet, and the statement of cash flows. Potential NTT DATA investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although NTT DATA investors may use each financial statement separately, they are all related. The changes in NTT DATA's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on NTT DATA's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
The goal of NTT DATA fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of NTT DATA performance into the future periods or doing a reasonable stock valuation. The intrinsic value of NTT DATA shares is the value that is considered the true value of the share. If the intrinsic value of NTT is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares NTT DATA. Please read more on our fundamental analysis page. How important is NTT DATA's Liquidity
NTT DATA financial leverage refers to using borrowed capital as a funding source to finance NTT DATA ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. NTT DATA 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 NTT DATA'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 NTT DATA'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 NTT DATA's total debt and its cash.
Breaking it down a bit more
NTT Data has beta of 0.73. As returns on market increase, NTT Data returns are expected to increase less than the market. However during bear market, the loss on holding NTT Data will be expected to be smaller as well. The modest gains experienced by current holders of NTT Data may encourage investors to take a closer look at the firm as it closed today at a share price of 9.44 on 1.000 in trading volume. The company directors and management have been quite successful with maneuvering the stock at opportune times to take advantage of all market conditions in January. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 2.6615. The current volatility is consistent with the ongoing market swings in January 2019 as well as with NTT Data unsystematic, company specific events. NTT Data maintains probability of bankruptcy of 68.40% . NTT Data is trading at 9.44. This is 0.32 percent decrease. Opened at 9.44. In closing, we believe that at this point NTT Data is relatively volatile with quite high chance of bankruptcy within the next 2 years. Our prevailing buy vs. sell advice on the firm is Hold.
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