By analyzing existing basic indicators between Staffing 360 and Automatic, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Automatic with a short position in Staffing 360. Check out our
pair correlation module for more information.
Let's begin by analyzing the assets.
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Staffing 360 has an asset utilization ratio of 385.5 percent. This indicates that the company is making $3.85 for each dollar of assets. An increasing asset utilization means that Staffing 360 Solutions is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two entities, such as Staffing or Hackett is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.
How important is Staffing 360's Liquidity
Staffing 360
financial leverage refers to using borrowed capital as a funding source to finance Staffing 360 Solutions ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Staffing 360 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 Staffing 360'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 Staffing 360'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 Staffing 360's total debt and its cash.
Correlation Between Staffing and Hackett Group
In general, Stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding Staffing 360 together with similar or unrelated positions with a negative correlation. For example, you can also add Hackett to your portfolio. If Hackett is not perfectly correlated to Staffing 360 it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When Staffing 360, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Are you currently holding both Staffing 360 and Hackett in your portfolio? Please note if you are using this as a pair-trade strategy between Staffing 360 and Hackett, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses. Please check
pair correlation details between STAF and HCKT for more information.
Breaking down Staffing 360 Indicators
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Lets now check Staffing 360 revenue. Based on the latest financial disclosure, Staffing 360 Solutions reported 207.24
M of revenue. This is 94.08% lower than that of the Industrials sector and significantly higher than that of the
Staffing & Employment Services industry. The revenue for all United States stocks is 97.8% higher than that of the company. As for Automatic Data we see revenue of 16.88
B, which is much higher than that of the Staffing & Employment Services
| STAF | 207.24 Million | 1.21 |
| Sector | 0.0 | 0.0 |
| ADP | 16.88 Billion | 98.79 |
Will Staffing 360 latest surge continue?
Staffing 360 latest maximum drawdown ascents over 22.35. Staffing 360 Solutions exhibits very low volatility with skewness of -0.16 and kurtosis of 1.03. However, we advise investors to further study Staffing 360 Solutions technical indicators to ensure that 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 Staffing 360's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Staffing 360'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.
The Current Takeaway on Staffing 360 Investment
Although some firms in the staffing & employment services industry are either recovering or due for a correction, Staffing 360 may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 20th of November 2022, we believe that Staffing 360 is currently
undervalued with
below average odds of financial distress in the next two years. Our concluding 90 days buy-hold-sell recommendation on the firm is
Hold.
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Aina Ster is a Member of Macroaxis Editorial Board. Aina delivers weekly perspective on ongoing market and economic trends, analysis and tips from predictive analysis to forecasting across various financial instruments.
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 Aina Ster do not own shares of Staffing 360 Solutions. Please refer to our
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