Is Sina (NASDAQ:SINA) ripping up investors?

While some baby boomers are getting worried about communication services space, it is reasonable to go over Sina Corporation. Why are we still confident in hope for a quick recovery. Here I will also expose some primary fundamental factors affecting Sina's services, and outline how it will impact the outlook for investors this year.
Published over a year ago
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Reviewed by Gabriel Shpitalnik

The company reported the previous year's revenue of 2.1 B. Net Loss for the year was (97.97 M) with profit before overhead, payroll, taxes, and interest of 1.67 B.

How important is SINA's Liquidity

SINA financial leverage refers to using borrowed capital as a funding source to finance SINA Corporation ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. SINA 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 SINA'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 SINA'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 SINA's total debt and its cash.

Breaking it down a bit more

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Sina has an asset utilization ratio of 48.14 percent. This suggests that the company is making $0.48 for each dollar of assets. An increasing asset utilization means that Sina Corporation is more efficient with each dollar of assets it utilizes for everyday operations.

Analysis of Sina

The standard deviation is down to 0.72 as of today. As of the 4th of January, Sina has the coefficient of variation of (29,584), and Risk Adjusted Performance of (0.007979). In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of Sina, as well as the relationship between them. In other words, you can use this information to find out if the company will indeed mirror its model of past prices and volume data, or the prices will eventually revert. We were able to analyze nineteen technical drivers for Sina Corporation, which can be compared to its competition. Please validate Sina treynor ratio, as well as the relationship between the potential upside and expected short fall to decide if Sina is priced more or less accurately, providing market reflects its prevalent price of 41.8 per share. Given that Sina has jensen alpha of (0.018519), we advise you to double-check Sina Corporation's current market performance to make sure the company can sustain itself at a future point.

Our Conclusion on Sina

When is the right time to buy or sell Sina Corporation? Buying stocks such as Sina isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis. With a relatively neutral outlook on the current economy, it is better to hold off any trading of Sina as the current risk-reward utility is not appealing enough. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Sina.

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Editorial Staff

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 SINA Corporation. Please refer to our Terms of Use for any information regarding our disclosure principles.

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