Penn VA is FAIRLY VALUED at 18.46 per share with modest projections ahead. Over 74.0% of Penn VA shares are owned by
institutional investors. Institutional ownership of Penn VA Corp refers to the amount of Penn VA Corp equity owned by mutual funds, pension funds, insurance companies, investment firms, foundations, or other large entities that manage money on behalf of others. Check out our latest analysis of Penn VA, including its current
ownership diagnostics.
How important is Penn Virginia's Liquidity
Penn Virginia
financial leverage refers to using borrowed capital as a funding source to finance Penn Virginia ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Penn Virginia 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 Penn Virginia'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 Penn Virginia'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 Penn Virginia's total debt and its cash.
Breaking down Penn Virginia Indicators
The current price rise of Penn VA Corp may encourage investors to take a closer look at the company as it is trading at a share price of
18.58 on very low momentum in trading volume. The company directors and management may have good odds in positioning the company resources to exploit market volatility in
April. The stock standard deviation of daily returns for 30 days investing horizon is currently 5.1. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the Penn VA partners.
Margin Breakdown
| Operating Margin | 36.44 |
| EBITDA Margin | 58.34 |
| Gross Margin | 99.74 |
| Profit Margin | 14.55 |
Penn VA implied volatility may change after the rise
Current value at risk is at -5.33. Penn VA Corp shows above-average downside volatility for the selected time horizon. We advise investors to inspect Penn VA Corp further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Penn VA future alpha. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Penn VA's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Penn VA'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.
Our Final Takeaway
Whereas many of the other players under the oil & gas e&p industry are still a bit expensive, Penn VA may offer a potential longer-term growth to investors. To summarize, as of the 7th of March 2021, we believe Penn VA is currently
fairly valued. It hyperactively responds to market trends and projects
below average probability of distress in the next two years. Our concluding 30 days buy-or-sell advice on the company is
Strong Buy.
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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 Penn Virginia. Please refer to our
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