Capital Product Partners (NASDAQ: CPLP), a leading player in the Marine Shipping industry, is catching the attention of retail investors. With a daily typical price of $15.31 and a high price of $15.84, the stock's potential upside of 2.5% is hard to ignore. The company's total risk alpha of 0.1789 and Sortino ratio of 0.2093 indicate that the company is capable of providing a good risk-adjusted return. Despite a price percent change of -4.2, the stock's accumulation distribution of
1.2K and today's volume of
24.3K suggest a strong interest among investors. However, potential investors should be aware of the maximum drawdown of 7.65 and the downside deviation of 1.2, which point to potential risks.
Additional examination
The average rating for Capital Product Partners, as provided by three analysts, is a 'Strong Buy'. Our trading advice tool can be used to cross-verify the current
analyst consensus on Capital Product Partners and to assess the company's potential for growth in the current economic cycle. Approximately
29.0% of the company's shares are held by insiders. The company's price-to-book (P/B) ratio stands at 0.47. Some equities with similar Price to Book (P/B) ratios have been known to outperform the market in the long run. Capital Product Partners reported earnings per share (EPS) of 5.42. The company's last dividend was issued on August 1, 2023. The firm underwent a
1:7 split on March 28, 2019.
The successful prediction of Capital Product
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as Capital Product Partners, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of Capital Product based on Capital Product hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to Capital Product's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Capital Product's related companies.
Use Technical Analysis to project Capital expected Price
Capital Product technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Capital Product technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Capital Product trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...Capital Product Gross Profit
Capital Product Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Capital Product previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Capital Product Gross Profit growth over the last 10 years. Please check Capital Product's
gross profit and other
fundamental indicators for more details.
An Additional Perspective On Capital Product Partners
Capital Product Partners reported the previous year's revenue of 299.07
M. Net Income was 125.42
M with profit before overhead, payroll, taxes, and interest of 215.38
M.
Deferred Revenue Breakdown
Capital Product Deferred Revenue yearly trend continues to be relatively stable with very little volatility. Deferred Revenue is likely to drop to about 15.5
M. Deferred Revenue usually refers to a component of Total Liabilities representing the carrying amount of consideration received or receivable on potential earnings that were not recognized as revenue; including sales; license fees; and royalties; but excluding interest income. Where this item is not contained on the company consolidated financial statements and cannot otherwise be imputed the value of 0 is used. Capital Product Deferred Revenue is relatively stable at the moment as compared to the past year. Capital Product reported last year Deferred Revenue of 18.55 Million
| 2016 | 36.02 Million |
| 2017 | 24.72 Million |
| 2018 | 7.41 Million |
| 2019 | 3.83 Million |
| 2020 | 2.82 Million |
| 2021 | 8.92 Million |
| 2022 | 18.55 Million |
| 2023 | 15.55 Million |
Capital Product Partners (NASDAQ: CPLP), a player in the Oil, Gas & Consumable Fuels sector, is increasingly catching the attention of retail investors. With a market capitalization of
$323.71M and a robust net asset value of
$2B, the company presents a compelling investment case. The firm's shares are currently trading at a price-to-earnings ratio of 7.70X, which is attractive compared to the industry average. The company's
financial health is also noteworthy, with cash and equivalents standing at $23.87M and a healthy cash flow from operations of $172.57M. The firm's earnings per share (EPS) is a robust 5.42X, indicating strong profitability. Investors will also appreciate the company's low beta of 0.89, suggesting lower volatility compared to the market. The firm's shares outstanding are 20.45M, with 29.26% owned by insiders, indicating a high level of confidence in the company's prospects. However, potential investors should be aware of the company's high probability of bankruptcy at 45.66% and a debt to equity ratio of 2.17%. Despite these risks, with a target price of $18.67 and a potential upside of 2.5, Capital Product Partners may indeed be emerging as a top pick for retail investors.
Capital Product latest price fall is deceptive
Despite the recent decline in Capital Product Partners' stock price, investors should not hastily overlook its potential. The risk-adjusted performance, also known as the Sharpe ratio, currently stands at 0.16. This suggests that the returns, when adjusted for the associated risk, may not be as disappointing as they initially appear. This downward trend could be misleading, as it does not necessarily represent the stock's overall performance or its potential for future growth. As always, a thorough analysis of the company's
financial health and market conditions should be undertaken before making any investment decisions. Capital Product Partners exhibits relatively low volatility, with a skewness of 1.02 and a kurtosis of 2.64. However, we recommend that all investors independently research Capital Product Partners to ensure that all available information aligns with their expectations regarding its upside potential and anticipated future returns. Understanding different
market volatility trends often assists investors in timing the market.
Proper use of volatility indicators allows traders to measure Capital Product Partners' stock risk against market volatility during both bullish and bearish trends. The heightened level of volatility that accompanies bear markets can directly impact Capital Product Partners' stock price, adding stress for investors as they watch the value of their shares decrease. This typically compels investors to rebalance their portfolios by purchasing different stocks as prices drop. In conclusion, Capital Product Partners (CPLP) stock presents a compelling investment opportunity for the month of August. The Naive Expected Forecast Value stands at
15.99, while the Analyst Target Price Estimated Value is a promising
18.666. With three strong buy recommendations from analysts and a valuation real value of 18.1, there is a potential upside price of 17.45. Despite the possible downside price of 14.54, the overall consensus among analysts is a strong buy. Therefore, investors should consider Capital Product Partners as a viable option for their portfolio. .
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
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