Is Pacira riskier than ATT Inc (NYSE:T)?

PCRX Stock

USD 41.24 0.62 1.48%

Macroaxis Story

ATT would recover faster from the newest drop as its shares price went up 1.41% to Pacira Pharm's 2.73%As many rational traders are trying to avoid healthcare space, it makes sense to break down Pacira Pharm a little further and understand how it stands against ATT and other similar entities. We are going to inspect some of the competitive aspects of both Pacira and ATT.

Published over three months ago

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By analyzing existing basic indicators between Pacira Pharm and ATT, 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 ATT with a short position in Pacira Pharm. 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. Pacira Pharm has an asset utilization ratio of 149.72 percent. This suggests that the company is making $1.5 for each dollar of assets. An increasing asset utilization means that Pacira Pharm is more efficient with each dollar of assets it utilizes for everyday operations.

Is Pacira riskier than ATT Inc (NYSE:T)?

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 Pacira or FJTNY is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

How important is Pacira Pharmaceuticals's Liquidity

Pacira Pharmaceuticals financial leverage refers to using borrowed capital as a funding source to finance Pacira Pharmaceuticals ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Pacira 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. Please check the breakdown between Pacira Pharmaceuticals's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.

It is good to see analyst projects for Pacira Pharmaceuticals, but it might be worth checking our own buy vs. sell analysis

Correlation Between Pacira and Fuji Media Holdings

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 Pacira Pharmaceuticals together with similar or unrelated positions with a negative correlation. For example, you can also add Fuji Media to your portfolio. If Fuji Media is not perfectly correlated to Pacira 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 Pacira Pharmaceuticals, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.

Please check pair correlation details between PCRX and FJTNY for more information.

Sale by Max Reinhardt of 1380 shares of Pacira Pharm

Legal trades by Pacira Pharmaceuticals insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:

Pacira insider trading alert for sale of common stock by Max Reinhardt, President Rest of World, on 11th of October 2022. This event was filed by Pacira Biosciences Inc with SEC on 2022-10-11. Statement of changes in beneficial ownership - SEC Form 4 [view details]

Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

A Deeper Perspective

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

Lets now take a look at Pacira Pharm revenue. Based on the latest financial disclosure, Pacira Pharm reported 580.5 M of revenue. This is 92.39% lower than that of the Healthcare sector and significantly higher than that of the Drug Manufacturers—Specialty & Generic industry. The revenue for all United States stocks is 93.85% higher than that of the entity. As for ATT we see revenue of 156.6 B, which is much higher than that of the Drug Manufacturers—Specialty & Generic

156.6 B

PCRX	580.5 Million	0.37
Sector	0.0	0.0
T	156.6 Billion	99.63

Our take on Pacira Pharm small slide

Current market risk adjusted performance indicator falls down to -0.16. Possible price jump? Pacira Pharm exhibits very low volatility with skewness of -0.43 and kurtosis of 1.13. However, we advise investors to further study Pacira Pharm 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 Pacira Pharm's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Pacira Pharm'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 Current Takeaway on Pacira Pharm Investment

While other companies in the drug manufacturers—specialty & generic industry are either recovering or due for a correction, Pacira Pharm may not be performing as strong as the other in terms of long-term growth potentials. In closing, as of the 3rd of November 2022, we believe that Pacira Pharm is currently undervalued with close to average chance of distress in the next two years. Our current 90 days buy-hold-sell recommendation on the company is Hold.

Editorial Staff

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 Pacira Pharmaceuticals. Please refer to our Terms of Use for any information regarding our disclosure principles.

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