Proto Labs's average rating is Hold from 3 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 Proto Labs market sentiment investors' perception of the future value of Proto. Let us look at a few aspects of Proto technical analysis. The company has Profit Margin (PM) of
12.8 %, which can signify that it executes well on its competitive strategies and has good control over its expenditures. This is very large. Similarly, it shows Operating Margin (OM) of
22.79 %, which suggests for every 100 dollars of sales, it generated a net operating income of 0.23.
Using predictive
technical analysis, we can analyze different prices and returns patterns and
diagnose historical swings to determine the real value of Proto Labs. In general, sophisticated investors focus on analyzing Proto Labs stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build Proto Labs'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 Proto Labs's intrinsic value. In addition to deriving basic predictive indicators for Proto Labs, many experienced traders also check how macroeconomic factors affect Proto Labs 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 Proto Labs' 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 Proto Labs. Your research has to be compared to or analyzed against Proto Labs' peers to derive any actionable benefits. When done correctly, Proto Labs' 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 Proto Labs.
How does Proto Stands against Peers?
Analyzing Proto Labs competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to Proto Labs across multiple sectors and
thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be. Check out
Proto Labs Competition DetailsProto Labs Gross Profit
Proto Labs Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Proto Labs 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 Proto Labs Gross Profit growth over the last 10 years. Please check Proto Labs'
gross profit and other
fundamental indicators for more details.
Closer look at Proto Labs Downside Variance
Proto Labs has current Downside Variance of 14.64. 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) |
| = | 14.64 |
| 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 Proto Labs Downside Variance to its closest peers:
| PRLB | 14.637332284499106 |
| TYEKF | 8.65 |
| VMI | 2.14 |
| WOR | 4.4 |
| ATI | 6.96 |
Our take on Proto Labs to turn the corner
Potential upside is down to 7.76. It may suggest a possible volatility slip. Proto Labs shows above-average downside volatility for the selected time horizon. We advise investors to inspect Proto Labs further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Proto Labs future alpha.
The Current Takeaway on Proto Labs Investment
Whereas some other companies under the metal fabrication industry are still a bit expensive, Proto Labs may offer a potential longer-term growth to investors. In closing, as of the 12th of February 2021, we believe that Proto Labs is currently
overvalued with
below average odds of financial turmoil in the next two years. Our present 30 days buy-or-sell advice on the company is
Strong Sell.
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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 Proto Labs. Please refer to our
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