Spectrum Buy Hold or Sell Recommendation

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SPB -- USA Stock  

Report: 31st of July 2020  

Considering the 30-days investment horizon, and your above-average risk tolerance our recommendation regarding Spectrum Brands Holdings is 'Hold'. Macroaxis provides Spectrum Brands buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding SPB positions. The advice algorithm takes into account all of Spectrum Brands Hold available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from SPB buy-and-hold perspective. Additionally, take a look at Spectrum Brands Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments please use Instant Ratings tool.

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Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

For the selected time horizon Spectrum Brands Holdings has a mean deviation of 2.84, semi deviation of 3.45, standard deviation of 3.7, variance of 13.72, downside variance of 15.05 and semi variance of 11.9
Spectrum Brands Hold recommendation module can be used to check and cross-verify current buy or sell recommendation provided by analysts inspecting the firm's potential to grow using all of fundamental, technical, data market data available at the time. To make sure Spectrum Brands Hold is not overpriced, please validate all Spectrum Brands fundamentals, including its net income, short ratio, and the relationship between the price to sales and debt to equity . Given that Spectrum Brands Hold has a price to earning of 3.46 X, we advise you to double-check Spectrum Brands Holdings market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your current risk tolerance and investing horizon.

Spectrum Brands Trading Alerts and Improvement Suggestions

Spectrum Brands Hold has very high historical volatility over the last 30 days
The company reported the last year revenue of 3.82 B. Reported Net Loss for the year was (200.8 M) with profit before taxes, overhead, and interest of 1.31 B.
Over 107.0% of the company shares are owned by institutional investors
Latest headline from www.nasdaq.com: How The Parts Add Up VDC Headed For 165 - Nasdaq

Spectrum Brands current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Spectrum analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Spectrum analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Median Price50.00
Target Mean Price51.33
Recommendation Mean1.70
Target High Price70.00
Number Of Analyst Opinions6
Target Low Price40.00
Average Consensus Hold
The consensus estimates and target price estimation is comprised of individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Spectrum Brands Returns Distribution Density

The chart of the probability distribution of Spectrum Brands stock daily returns describes the distribution of returns around its average expected value. We use Spectrum Brands Holdings' stock's Value At Risk and its Upside Potential as a relative measure of the distribution. The distribution of Spectrum Brands returns is essential to provide solid investment advice for Spectrum Brands stock.
Mean Return0.32Value At Risk-5.78
Potential Upside6.17Standard Deviation3.70
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Spectrum Brands historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Spectrum Brands Cash Flow Accounts

2012201320142015201620192020 (projected)
Net Cash Flow from Financing1.28 B(343.49 M)918.4 M(487.8 M)(358.6 M)(412.39 M)(423.24 M)
Net Cash Flow from Investing(1.48 B)(93.56 M)(1.28 B)(98.4 M)(416.6 M)(479.09 M)(516.91 M)
Net Cash Flow from Operations256.51 M432.69 M444.3 M615 M665.4 M598.86 M646.14 M

Spectrum Brands Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Spectrum Brands or Consumer Defensive sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Spectrum Brands stock's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Spectrum stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
=0.10
β
Beta against DOW=1.49
σ
Overall volatility
=3.64
Ir
Information ratio =0.0465

Spectrum Brands Volatility Alert

Spectrum Brands Holdings shows above-average downside volatility of 3.88 for the selected time horizon. We advise investors to inspect Spectrum Brands Holdings further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Spectrum Brands future alpha.
    
 Better Than Average     
    
 Worse Than Average Compare Spectrum Brands to competition

Spectrum Brands Fundamental Vs Peers

FundamentalsSpectrum BrandsPeer Average
Return On Equity(12.73) %(0.31) %
Return On Asset4.02 %(0.14) %
Profit Margin(6.20) %(1.27) %
Operating Margin13.82 %(5.51) %
Current Valuation4.62 B16.62 B
Shares Outstanding43.06 M571.82 M
Shares Owned by Insiders3.60 %10.09 %
Shares Owned by Institutions107.01 %39.21 %
Number of Shares Shorted1.89 M4.71 M
Price to Earning3.46 X28.72 X
Price to Book1.61 X9.51 X
Price to Sales0.51 X11.42 X
Revenue3.82 B9.43 B
Gross Profit1.31 B27.38 B
EBITDA528.6 M3.9 B
Net Income(200.8 M)570.98 M
Cash and Equivalents457.8 M2.7 B
Cash per Share10.63 X5.01 X
Total Debt3.11 B5.32 B
Debt to Equity2.55 %48.70 %
Current Ratio2.39 X2.16 X
Book Value Per Share28.17 X1.93 K
Cash Flow from Operations350.2 M971.22 M
Short Ratio4.11 X4.00 X
Earnings Per Share(4.98) X3.12 X
Price to Earnings To Growth2.67 X4.89 X
Number of Employees11 K18.84 K
Beta1.91-0.15
Market Capitalization1.95 B19.03 B
Total Asset7.07 B29.47 B
Retained Earnings61.76 M9.33 B
Working Capital537.3 M1.48 B
Current Asset1.63 B9.34 B
   Acquisition by Randal Lewis of 10597 shares of Spectrum Brands subject to Rule 16b-3 [view details]

Spectrum Brands Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Spectrum . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution7761.878453
Daily Balance Of Power0.0714
Rate Of Daily Change1.002865
Day Median Price46.15
Day Typical Price45.936667
Market Facilitation Index0.0
Price Action Indicator(0.58)

About Spectrum Brands Buy or Sell Advice

When is the right time to buy or sell Spectrum Brands Holdings? Buying stocks such as Spectrum Brands isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily bases. Although Spectrum Brands investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply. Please read more on our stock advisor page.
 2015 2016 2019 2020 (projected)
Receivables538.2 M569.5 M512.55 M476.64 M
Inventories740.6 M775.5 M697.95 M629.02 M

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Additionally, take a look at Spectrum Brands Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments please use Instant Ratings tool. Please also try Companies Directory module to evaluate performance of over 100,000 stocks, funds, and etfs against different fundamentals.
Macroaxis is not a registered investment advisor or broker/dealer. All investments, including stocks, funds, ETFs, or cryptocurrencies, are speculative and involve substantial risk of loss. We encourage our investors to invest carefully. Much of our information is derived directly from data published by companies or submitted to governmental agencies which we believe are reliable, but are without our independent verification. Therefore, we cannot assure you that the information is accurate or complete. We do not in any way warrant or guarantee the success of any action you take in reliance on our statements or recommendations. Also, note that past performance is not necessarily indicative of future results. All investments carry risk, and all investment decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or signals will result in profits or that they will not result in losses. All investors are advised to fully understand all risks associated with any investing they choose to do. Hypothetical or simulated performance is not indicative of future results. We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown because hypothetical or simulated performance is not necessarily indicative of future results. For more information please visit our terms and condition page