Is TuanChe ADR (USA Stocks:TC) a new disruptor?

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Ellen Johnson .  Story
TC Stock  USD 0.59  0.018  3.16%   
Ellen Johnson
By Ellen Johnson
Macroaxis Story
It looks as if TuanChe ADR may not have a good chance to recover from the latest dip as its shares fell again. The entity current daily volatility is 11.68 percent, with a beta of -0.05 and an alpha of -2.52 over Dow Jones Industrial. Whilst many millenniums are getting more into investing against high market volatility, it is quite pruden to digest TuanChe ADR based on its historical prices. We will evaluate why we are still optimistic in anticipation of a recovery.
Published over a month ago
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Reviewed by Rifka Kats

TuanChe ADR reports roughly 41.21 M in cash with (92.25 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 2.17, which can makes it an attractive takeover target, given it will continue generating positive cash flow.
The entity has a beta of -0.0501, which indicates not very significant fluctuations relative to the market. Let's try to break down what TuanChe's beta means in this case. As returns on the market increase, returns on owning TuanChe ADR are expected to decrease at a much lower rate. During the bear market, TuanChe ADR is likely to outperform the market. Even though it is essential to pay attention to TuanChe ADR current price movements, it is always good to be careful when utilizing equity historical returns. Our philosophy towards measuring any stock's future performance is to check both, its past performance charts as well as the business as a whole, including all available technical indicators. TuanChe ADR exposes twenty-one different technical indicators, which can help you to evaluate its performance. TuanChe ADR has an expected return of -2.28%. Please be advised to validate TuanChe ADR variance, as well as the relationship between the value at risk and skewness to decide if TuanChe ADR performance from the past will be repeated at some point in the near future.
Investing in TuanChe ADR, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding TuanChe ADR along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of TuanChe ADR's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of TuanChe ADR in the context of predictive analytics.
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Intrinsic
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Naive
Forecast
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Bollinger
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Please note, it is not enough to conduct a financial or market analysis of a single entity such as TuanChe ADR. Your research has to be compared to or analyzed against TuanChe ADR's peers to derive any actionable benefits. When done correctly, TuanChe ADR's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in TuanChe ADR.

Watch out for price decline

Please consider monitoring TuanChe ADR on a daily basis if you are holding a position in it. TuanChe ADR is trading at a penny-stock level, and the possibility of delisting is much higher compared to other stocks. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as TuanChe ADR stock to be traded above the $1 level to remain listed. If TuanChe ADR stock price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.

How important is TuanChe ADR's Liquidity

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

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.
It is good to see analyst projects for TuanChe ADR, but it might be worth checking our own buy vs. sell analysis

TuanChe ADR Correlation with Peers

Investors in TuanChe can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in TuanChe ADR. Diversification will allow for the same portfolio return with reduced risk. The correlation table of TuanChe ADR and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities TuanChe is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage.
Please check volatility of TuanChe for more details

Is TuanChe ADR valued correctly by the market?

TuanChe ADR owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.19, which indicates the firm had -0.19% of return per unit of risk over the last 3 months. Macroaxis standpoint towards measuring the risk of any stock is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. TuanChe ADR exposes twenty-one different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to validate TuanChe ADR coefficient of variation of (478.11), and Risk Adjusted Performance of (0.17) to confirm the risk estimate we provide.
ABNB
ANGI
APLD
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ATHM
ABNB
0.650.87-0.140.46
ABNB
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0.650.77-0.670.84
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0.870.77-0.40.56
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-0.14-0.67-0.4-0.82
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0.460.840.56-0.82
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Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Analysis of TuanChe ADR

Latest variance is at 143.73.
As of the 16th of February 2023, TuanChe ADR has the coefficient of variation of (478.11), and Risk Adjusted Performance of (0.17). In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of TuanChe ADR, 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 nineteen technical drivers for TuanChe ADR, which can be compared to its competition. Please validate TuanChe ADR variance, as well as the relationship between the value at risk and skewness to decide if TuanChe ADR is priced more or less accurately, providing market reflects its prevalent price of 0.71 per share. As TuanChe ADR is a penny stock we also advise to double-check its total risk alpha numbers.

Our Takeaway on TuanChe ADR Investment

Although some other entities in the internet content & information industry are either recovering or due for a correction, TuanChe ADR may not be performing as strong as the other in terms of long-term growth potentials. With a less-than optimistic outlook for your 90 days horizon, it may be a good time to exit some or all of your TuanChe ADR holdings as it seems the potential growth was already fully factored into the current price. 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 TuanChe ADR.

Editorial Staff

Ellen Johnson is a Member of Macroaxis Editorial Board. Ellen covers public companies in North America, focusing primarily on valuation and volatility. Six years of experience in 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 Ellen Johnson do not own shares of TuanChe ADR. Please refer to our Terms of Use for any information regarding our disclosure principles.

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