Will investors buy ATLAS MARA July?

Macroaxis News
  
By Ellen Johnson
In this write-up I will digest ATLAS MARA. I will look into why despite ongoing dip, the longer-term fundamental drivers of the firm are still sound. ATLAS MARA LIMITED probability of distress is under 51 percent. Assuming the 30 trading days horizon, ATLAS MARA is expected to generate 1.9 times less return on investment than the market. In addition to that, the company is 3.58 times more volatile than its market benchmark. It trades about 0.02 of its total potential returns per unit of risk. The market is currently generating roughly 0.17 per unit of volatility. What is ATLAS MARA odds of financial turmoil for July 2020? We consider ATLAS MARA out of control. ATLAS MARA LIMITED secures Sharpe Ratio (or Efficiency) of 0.0248, which signifies that the company had 0.0248% of return per unit of return volatility over the last 1 month. Our way of foreseeing the volatility of a stock is to use all available market data together with stock specific technical indicators that cannot be diversified away. We have found twenty-one technical indicators for ATLAS MARA LIMITED, which you can use to evaluate future volatility of the firm. Please confirm ATLAS MARA LIMITED mean deviation of 4.18, and risk adjusted performance of (0.047573) to double-check if the risk estimate we provide is consistent with the expected return of 0.19%.
This firm classifies itself under Financial Services sector and is part of Banks?Regional industry. The company has accumulated 379.09 M in total debt with debt to equity ratio (D/E) of 0.45, which is about average as compared to similar companies. ATLAS MARA LIMITED has a current ratio of 2.9, suggesting that it is liquid and has the ability to pay its financial obligations in time and when they become due. ATLAS MARA is OVERVALUED at 0.43 per share with modest projections ahead. ATLAS MARA LIMITED shows negative operation of assets of -0.29 percent, lossing $0.0029 for each dollar of assets held by the firm. Inefficient asset utilization signifies that the company is being less competent with each dollar of assets it shows. Put another way asset utilization of ATLAS MARA LIMITED shows how inadequate it operates for each dollar spent on its assets.

How important is ATLAS MARA's Liquidity

ATLAS MARA financial leverage refers to using borrowed capital as a funding source to finance ATLAS MARA LIMITED ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. ATLAS MARA financial leverage is typically calculated by taking the company's all of the 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. The map below shows the current breakdown between ATLAS MARA's total debt and its cash.

How ATLAS utilizes its cash?

To perform a cash flow analysis of ATLAS MARA, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash ATLAS MARA is receiving and how much cash it distributes out in a given period. The ATLAS MARA cash flow statement breaks down these inflows and outflows into different buckets, which include operating activities, investing activities and financing activities.

Another Deeper Perspective

ATLAS MARA preserves 84.44 m of market capitalization. The entity reported revenue of 92.6 M. Net Loss for the year was (8.45 M) with profit before overhead, payroll, taxes, and interest of 92.6 M. ATLAS MARA is selling for under 0.48. That is -5.88 percent decrease. Day highest price was 0.48.

A growth case for ATLAS MARA

Maximum drawdown is down to 46.37. It may indicate possible volatility dip. ATLAS MARA LIMITED is displaying above average volatility of 7.45 over selected time horizon. Investors should scrutinize ATLAS MARA LIMITED independently to ensure intended market timing strategies are aligned with expectations about ATLAS MARA volatility. ATLAS MARA LIMITED is a potential penny stock. Although ATLAS MARA may be in fact a good instrument to invest, many penny otc stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand upside potential and downside risk of investing in ATLAS MARA LIMITED. We encourage investors to look for the signals such us email spams, message board hypes, claims of breakthroughs, volume upswings,sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on this equity instrument if you perfectly time your entry and exit. However, remember that penny stocks that has been the subject of an artificial hype usually unable to maintain its increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The one and only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.

Our Final Take On Investing in ATLAS MARA

While other players in banks?regional industry are either recoverring, or due for a correction, ATLAS MARA may not be as strong as the other in terms of longer-term growth potentials. To conclude, as of 30th of June 2020, we believe ATLAS MARA is currently overvalued. It almost neglects market trends and projects average probability of distress in the next two years. Our ongoing 30 days 'Buy/Sell' recommendation on the firm is Strong Sell. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to quit some or all of your ATLAS MARA 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 ATLAS MARA.

About Contributor

Ellen Johnson is a Member of Macroaxs 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 as 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 ATLAS MARA LIMITED. Please refer to our Terms of Use for any information regarding our disclosure principles.
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