Resonant conducts business under
Technology sector and is part of
Semiconductors industry.
Resonant holds a
performance score of 14 on a scale of zero to a hundred. The company holds a Beta of 0.3756, which implies possible diversification benefits within a given portfolio. Let's try to break down what Resonant's beta means in this case. As returns on the market increase, Resonant returns are expected to increase less than the market. However, during the bear market, the loss on holding Resonant will be expected to be smaller as well. Although it is essential to pay attention to
Resonant current trending patterns, it is also good to be reasonable about what you can do with equity existing
price patterns. Our philosophy towards forecasting
future performance of any stock is to look not only at its past charts but also at the business as a whole, including all fundamental and
technical indicators. To evaluate if Resonant expected return of 1.63 will be sustainable into the future, we have found twenty-seven different
technical indicators, which can help you to check if the expected returns are sustainable. Use Resonant
potential upside, as well as the
relationship between the kurtosis and
day typical price to analyze future returns on Resonant.
How important is Resonant's Liquidity
Resonant
financial leverage refers to using borrowed capital as a funding source to finance Resonant ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Resonant 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 Resonant'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 Resonant'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 Resonant's total debt and its cash.
Resonant Correlation with Peers
Investors in Resonant can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Resonant. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Resonant and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Resonant is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with
your current brokerage. Please check
volatility of Resonant for more details
Another Deeper Perspective
Resonant is risky given 1 month investment horizon.
Resonant maintains Sharpe Ratio (i.e. Efficiency) of 0.2, which implies the firm had 0.2% of return per unit of risk over the last month. Our standpoint towards forecasting the risk of a stock is to use both market data as well as company specific technical data. We are able to interpolate and collect twenty-seven different
technical indicators, which can help you to evaluate if expected returns of 1.63% are justified by taking the suggested risk. Use Resonant Risk Adjusted Performance of 0.1701,
coefficient of variation of 519.14, and Semi Deviation of 4.76 to evaluate company specific risk that cannot be
diversified away.
Our take on Resonant small slide
Latest variance is at 61.47. Resonant is displaying above-average volatility over the selected time horizon. Investors should scrutinize Resonant independently to ensure intended market timing strategies are aligned with expectations about Resonant volatility. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Resonant'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 Resonant'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 Conclusion on Resonant
Whereas many of the other players in the semiconductors industry are either recovering or due for a correction, Resonant may not be as strong as the others in terms of longer-term growth potentials. To conclude, as of the 14th of March 2021, our analysis shows that Resonant slowly supersedes the market. The company is
undervalued and projects
very low odds of distress for the next 2 years. Our overall 30 days 'Buy-Sell' recommendation on the company is
Hold.
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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 Resonant. Please refer to our
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