Is Tomtom NV (OTC:TMOAF) undervalued?

In this post, we will digest Tomtom NV. We will evaluate why we are still optimistic in anticipation of a recovery. In this post, I will also go over some essential variables affecting Tomtom NV's products, and show how it may impact the firm outlook for active traders this year.
Published over a year ago
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Reviewed by Gabriel Shpitalnik

The entity has a beta of -0.0329, which indicates not very significant fluctuations relative to the market. Let's try to break down what Tomtom's beta means in this case. As returns on the market increase, returns on owning Tomtom NV are expected to decrease at a much lower rate. During the bear market, Tomtom NV is likely to outperform the market. Even though it is essential to pay attention to Tomtom NV Amsterdam 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. Tomtom NV Amsterdam exposes twenty-one different technical indicators, which can help you to evaluate its performance. Tomtom NV Amsterdam has an expected return of -0.17%. Please be advised to validate Tomtom NV value at risk, and the relationship between the jensen alpha and semi variance to decide if Tomtom NV Amsterdam stock performance from the past will be repeated at some point in the near future.
The performance of TomTom NV in the marketplace will significantly impact your decision to invest in its stock. Revenue growth, profitability, competitive positioning, management quality, and industry trends can influence TomTom NV's stock prices. When investing in TomTom NV, there are several factors to consider and potential outcomes to expect. As a company performs well, its stock price may increase, allowing investors to benefit from price appreciation. However, TomTom Pink Sheet can experience significant price fluctuations due to market conditions, economic factors, industry trends, or company-specific news. This is why investing in stocks such as TomTom NV carries risks, including the potential for capital loss. Stock prices can decline, and investors may incur losses if they sell shares at a lower price than their initial investment.

How important is TomTom NV's Liquidity

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

Breaking down TomTom NV Indicators

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Tomtom NV has an asset utilization ratio of 37.05 percent. This indicates that the company is making $0.37 for each dollar of assets. An increasing asset utilization means that Tomtom NV Amsterdam is more efficient with each dollar of assets it utilizes for everyday operations.

Price may retake control for Tomtom in May

Latest variance is at 5.85. Tomtom NV Amsterdam exhibits very low volatility with skewness of -1.07 and kurtosis of 15.83. However, we advise investors to further study Tomtom NV Amsterdam technical indicators to make sure 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 Tomtom NV's otc stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Tomtom NV's otc 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.

Our Bottom Line On Tomtom NV Amsterdam

Although some companies in the software—application industry are either recovering or due for a correction, Tomtom may not be as strong as the others in terms of longer-term growth potentials. To conclude, as of the 13th of April 2021, we believe that at this point, Tomtom NV is undervalued with very small odds of financial turmoil within the next 2 years. However, our actual buy-hold-sell recommendation on the firm is Strong Sell.

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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 TomTom NV. Please refer to our Terms of Use for any information regarding our disclosure principles.

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