By analyzing existing technical and fundamental indicators between Oramed Pharmaceuticals and Alexion, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Alexion with a short position in Oramed Pharmaceuticals. Check out our
pair correlation module for more information.
Let's begin by analyzing the assets. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Oramed Pharmaceuticals has an asset utilization ratio of 6.3 percent. This suggests that the company is making $0.063 for each dollar of assets. An increasing asset utilization means that Oramed Pharmaceuticals is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two entities, such as Oramed or Protalix is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.
How important is Oramed Pharmaceuticals's Liquidity
Oramed Pharmaceuticals
financial leverage refers to using borrowed capital as a funding source to finance Oramed Pharmaceuticals ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Oramed Pharmaceuticals 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 Oramed Pharmaceuticals' 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 Oramed Pharmaceuticals' 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 Oramed Pharmaceuticals's total debt and its cash.
Correlation Between Oramed and Protalix Biotherapeutics
In general, Stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Oramed Pharmaceuticals together with similar or unrelated positions with a negative correlation. For example, you can also add Protalix Biotherapeutics to your portfolio. If Protalix Biotherapeutics is not perfectly correlated to Oramed Pharmaceuticals it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Oramed Pharmaceuticals, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Are you currently holding both Oramed Pharmaceuticals and Protalix Biotherapeutics in your portfolio? Please note if you are using this as a pair-trade strategy between Oramed Pharmaceuticals and Protalix Biotherapeutics, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses. Please check
pair correlation details between ORMP and PLX for more information.
Breaking it down
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Let me take a closer look at Oramed Pharmaceuticals revenue. Based on the latest financial disclosure, Oramed Pharmaceuticals reported 2.71
M of revenue. This is 99.96% lower than that of the Healthcare sector and 99.64% lower than that of the
Biotechnology industry. The revenue for all United States stocks is 99.97% higher than that of Oramed Pharmaceuticals. As for Alexion Pharmaceuticals we see revenue of 5.86
B, which is much higher than that of the Biotechnology
| ORMP | 2.71 Million | 0.041 |
| Sector | 742.91 Million | 11.25 |
| ALXN | 5.86 Billion | 88.71 |
Our perspective of the recent Oramed Pharmaceuticals roll up
Recent semi variance is at 14.46. Oramed Pharmaceuticals is displaying above-average volatility over the selected time horizon. Investors should scrutinize Oramed Pharmaceuticals independently to ensure intended market timing strategies are aligned with expectations about Oramed Pharmaceuticals volatility.
Our Conclusion on Oramed Pharmaceuticals
Although some other firms under the biotechnology industry are still a bit expensive, Oramed Pharmaceuticals may offer a potential longer-term growth to insiders. With a relatively neutral outlook on the recent economy, it is better to hold off any trading of Oramed as the current risk-reward utility is not appealing enough. 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 Oramed Pharmaceuticals.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
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 Raphi Shpitalnik do not own shares of Oramed Pharmaceuticals. Please refer to our
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