Synalloy Story

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SYNL -- USA Stock  

USD 6.16  0.12  1.99%

Today we may see the proof that Arcelor Mittal would recover slower from the newest drop as its shares fell 4.75% to Synalloy's 3.97%. As many rational traders are trying to avoid basic materials space, it makes sense to summarize Synalloy a little further and understand how it stands against Arcelor Mittal and other similar entities. We are going to summarize some of the competitive aspects of both Synalloy and Arcelor.
Published over two weeks ago
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Will Arcelor Mittal stakeholders switch to Synalloy (NASDAQ:SYNL)?
By analyzing existing essential indicators between Synalloy and Arcelor, 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 Arcelor with a short position in Synalloy. 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. Synalloy has an asset utilization ratio of 197.97 percent. This denotes that the company is making $1.98 for each dollar of assets. An increasing asset utilization means that Synalloy 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 companies, such as Synalloy or ARCELORMITTAL is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.

UNDERSTANDING Synalloy dividends

A dividend is the distribution of a portion of Synalloy earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Synalloy dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Synalloy one year expected dividend income is about $0.08 per share.
Investing in stocks that pay dividends, such as stock of Synalloy, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Synalloy must own a stock before its ex-dividend date to receive its next dividend. This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Synalloy. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Synalloy's Liquidity

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

Correlation Between Synalloy and ARCELORMITTAL

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 Synalloy together with similar or unrelated positions with a negative correlation. For example, you can also add ARCELORMITTAL to your portfolio. If ARCELORMITTAL is not perfectly correlated to Synalloy 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 Synalloy for example, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down. Please check pair correlation details between SYNL and AMSYF for more information.

An Additional Perspective On Synalloy

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 Synalloy revenue. Based on the latest financial disclosure, Synalloy reported 295.06 M of revenue. This is 96.25% lower than that of the Basic Materials sector and 97.64% lower than that of the Steel industry. The revenue for all United States stocks is 96.87% higher than that of Synalloy. As for Arcelor Mittal we see revenue of 57.97 B, which is 363.82% higher than that of the Steel

58 B
SYNL295.06 Million0.45
Sector7.86 Billion11.89
MT57.97 Billion87.67

Our take on today Synalloy pull down

New risk adjusted performance is at -0.18. Synalloy exhibits very low volatility with skewness of 1.17 and kurtosis of 4.96. However, we advise investors to further study Synalloy technical indicators to make sure all market info is available and is reliable.

Our Takeaway on Synalloy Investment

While some companies in the steel industry are either recovering or due for a correction, Synalloy may not be performing as strong as the other in terms of long-term growth potentials. To conclude, as of the 3rd of September 2020, our research shows that Synalloy is a rather somewhat reliable investment opportunity with a close to average chance of bankruptcy in the next two years. From a slightly different view, the entity currently appears to be undervalued. However, our present 30 days buy-or-sell advice on the company is Sell.

About Contributor

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 Achuva Shats do not own shares of Synalloy. Please refer to our Terms of Use for any information regarding our disclosure principles.

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