| 2008 | 2009 | 2015 | 2018 | 2019 (projected) | Red Hat Long Term Debt to Equity | 0.69 | 0.56 | 0.54 | 0.62 | 0.67 | Red Hat Interest Coverage | 8.69 | 236.29 | 25.16 | 22.65 | 37.06 |
Is there a value in Red Hat products?
 | By Vlad Skutelnik | Macroaxis Story |
In this post I will go over some important variables effecting the organisation products and services and how it may impact the company outlook for investors this year. We found thirty-six available financial ratios for Red Hat which can be compared to its competitors. To make sure the equity is not overpriced, please check all Red Hat fundamentals including its Price to Earning, Book Value Per Share, Current Liabilities, as well as the relationship between Net Income and Beta . Given that Red Hat has Number of Shares Shorted of 9.44M, we recommend you check out Red Hat recent market performance to make sure the company can sustain itself down the road. Use Red Hat to enhance returns of your portfolios. The stock experiences normal upward fluctuation. Check odds of Red Hat to be traded at $185.33 in 30 days.
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Reviewed by Rifka Kats
I believe Red Hat is overvalued at 148.57 per share with modest projections ahead. The organization holds Beta of 0.0 which implies the returns on MARKET and Red Hat are completely uncorrelated. Even though it is essential to pay attention to Red Hat current trending patterns, it is always good to be careful when utilizing equity existing price patterns. Macroaxis philosophy towards forecasting future performance of any stock is to check both, its past performance charts as well as the business as a whole, including all available technical indicators. Red Hat exposes twenty-one different technical indicators which can help you to evaluate its performance. Red Hat has expected return of -0.0053%. Please be advised to check Red Hat Semi Deviation, Jensen Alpha as well as the relationship between Jensen Alpha and Semi Variance to decide if Red Hat past performance will be repeated at some point in the near future. About 100.0% of the company shares are owned by institutional investors. The company has Price/Earnings (P/E) ratio of 118.46. Red Hat last dividend was issued on 2010-10-29. The entity had 2:1 split on 2000-01-10.
How important is Red Hat's Liquidity
Red Hat financial leverage refers to using borrowed capital as a funding source to finance Red Hat ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Red Hat 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 Red Hat'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 Red Hat'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 Red Hat's total debt and its cash.
What is the case for Red Hat Investors
Red Hat owns a total of one hundred seventy-six million seven hundred sixty thousand outstanding shares. Majority of Red Hat outstanding shares are owned by third-party entities. These other institutions are referred to non-private investors that are looking to secure positions in Red Hat to benefit from reduced commissions. Consequently, institutional investers are subject to different set of regulations than regular investors in Red Hat. Please pay attention to any change in the institutional holdings of Red Hat as this could imply that something significant has changed or about to change at the company. Also note that almost one million seven hundred sixty-seven thousand six hundred invesors are currently shorting Red Hat expressing very little confidence in its future performance. The small decline in market price for the last few months has created some momentum for investors as it was traded today as low as 176.26 and as high as 176.75 per share. The company management did not add much value to Red Hat investors in December. However, diversifying your holdings with Red Hat or similar stocks can still protect your portfolio during high-volatility market scenarios. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 0.4182. The very small Stock volatility is a good signal to investors with longer term investment horizons. Red Hat is selling for 176.50. This is 0.09% increase. Today highest was 176.75. Red Hat Current Ratio is decreasing over the last 5 years. Further, Red Hat Property Plant and Equipment Net is increasing over the last 5 years. The late value of Red Hat Property Plant and Equipment Net is 113,211,712.
To sum up, we believe that at this point Red Hat is overvalued with very small probability of distress within the next 2 years. Our concluding buy/sell recommendation on the firm is Buy.
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