We provide trade recommendations to complement the recent
expert consensus on Restaurant Group Plc. Our dynamic recommendation engine exercises a multidimensional algorithm to analyze the firm's potential to grow using all technical and fundamental data available at the time.
How important is Restaurant Group's Liquidity
Restaurant Group
financial leverage refers to using borrowed capital as a funding source to finance Restaurant Group PLC ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Restaurant Group 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 Restaurant Group'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 Restaurant Group'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 Restaurant Group's total debt and its cash.
What is driving Restaurant Group Investor Appetite?
We consider Restaurant Group slightly risky.
Restaurant Group Plc maintains Sharpe Ratio (i.e., Efficiency) of 0.13, which implies the firm had 0.13% of return per unit of risk over the last 3 months. Our standpoint towards forecasting the volatility of a stock is to use all available market data together with stock-specific
technical indicators that cannot be
diversified away. We have found twenty-one
technical indicators for Restaurant Group Plc, which you can use to evaluate the future volatility of the company. Please check Restaurant Group Plc
coefficient of variation of 812.4, and Risk Adjusted Performance of 0.0858 to confirm if the risk estimate we provide is consistent with the expected return of 0.1%.
Is Restaurant Group come-back expected?
Latest maximum drawdown is at 6.06. Restaurant Group Plc exhibits very low volatility with skewness of 8.12 and kurtosis of 66.0. However, we advise investors to further study Restaurant Group Plc technical indicators to make sure 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 Restaurant Group's otc stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Restaurant Group's otc 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 Restaurant Group
Although many of the other players under its industry are still a bit expensive, Restaurant Group may offer a potential longer-term growth to shareholders. All things considered, as of the 14th of September 2021, our analysis shows that Restaurant Group moves indifferently to market moves. The firm is
overvalued and projects
below average chance of distress for the next 2 years. Our actual 90 days buy-hold-sell advice on the firm is
Cautious 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 Restaurant Group PLC. Please refer to our
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