This firm has a beta of 0.7666. Let's try to break down what Stonemor's beta means in this case. Stonemor Partners returns are very sensitive to returns on the market. As the market goes up or down, Stonemor Partners is expected to follow. The beta indicator helps investors understand whether Stonemor Partners moves in the same direction as the rest of the market, and how volatile (i.e., risky) it is compared to the market (i.e., selected benchmark). In other words, if Stonemor deviates very little from the market, it does not add much risk to the portfolio, but it also doesn't increase the expected returns.
How important is StoneMor Partners's Liquidity
StoneMor Partners
financial leverage refers to using borrowed capital as a funding source to finance StoneMor Partners LP ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. StoneMor Partners 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 StoneMor Partners' 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 StoneMor Partners' 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 StoneMor Partners's total debt and its cash.
A Deeper look at StoneMor
Stonemor Partners LP is displaying above-average volatility over the selected time horizon. Investors should scrutinize Stonemor Partners LP independently to ensure intended market timing strategies are aligned with expectations about Stonemor Partners volatility. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Stonemor Partners' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Stonemor Partners' 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.
Another 3 percent rise for Stonemor Partners
Latest treynor ratio is at -0.27.
As of the 17th of April 2021, Stonemor Partners has the
risk adjusted performance of
(0.011857), and Coefficient Of Variation of
(4,016). In relation to
fundamental indicators, the
technical analysis model makes it possible for you to check existing technical drivers of Stonemor Partners, 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 break down and interpolate data for nineteen
technical drivers for Stonemor Partners LP, which can be compared to its competition. Please validate
Stonemor Partners variance,
value at risk, as well as the
relationship between the Value At Risk and
skewness to decide if Stonemor Partners is priced more or less accurately, providing market reflects its prevalent price of 2.18 per share. Please also confirm Stonemor Partners LP
total risk alpha, which is currently at
(1.68) to double-check the company can sustain itself at a future point.
Our Takeaway on Stonemor Partners Investment
Whereas some firms in the personal services industry are either recovering or due for a correction, Stonemor Partners may not be performing as strong as the other in terms of long-term growth potentials. The inconsistency in the assessment between current Stonemor valuation and our trade advice on Stonemor Partners is due to the recent market swings and your selection of investing horizon. 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 Stonemor Partners.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
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 Vlad Skutelnik do not own shares of StoneMor Partners LP. Please refer to our
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