Is KUSHCO HOLDINGS ready for a correction?

KUSHCO HOLDINGS preserves 974.00 x of price to earning. KUSHCO HOLDINGS INC secures a negative usage of assets of -32.38 %, losing $0.3238 for each dollar of assets held by the firm. Ineffective asset utilization conveys that the company is being less efficient with each dollar of assets it secures. Strictly speaking asset utilization of KUSHCO HOLDINGS INC shows how unsuccessful it operates for each dollar spent on its assets. The firm has a beta of -0.985. Let's try to break down what KUSHCO's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, KUSHCO HOLDINGS will likely underperform. The beta indicator helps investors understand whether KUSHCO HOLDINGS moves in the same direction as the rest of the market, and how volatile (i.e., risky) it is compared to the market (i.e., selected benchmark). In other words, if KUSHCO deviates very little from the market, it does not add much risk to the portfolio, but it also doesn't increase the expected returns. The latest price spikes of KUSHCO HOLDINGS INC may raise some interest from investors. The stock closed today at a share price of 0.73 on 553,009 in trading volume. The company executives may have good odds in positioning the firm resources to exploit market volatility in August. The stock standard deviation of daily returns for 30 days investing horizon is currently 7.4. The very high volatility is mostly attributed to the latest market swings and not very good earnings reports from some of the KUSHCO HOLDINGS INC partners.

Some KUSHCO technical indicators suggest collapse

KUSHCO HOLDINGS current maximum drawdown builds up over 31.05. KUSHCO HOLDINGS INC is displaying above-average volatility of 7.54 over the selected time horizon. Investors should scrutinize KUSHCO HOLDINGS INC independently to ensure intended market timing strategies are aligned with expectations about KUSHCO HOLDINGS volatility. KUSHCO HOLDINGS INC is a potential penny stock. Although KUSHCO HOLDINGS 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 the upside potential and downside risk of investing in KUSHCO HOLDINGS INC. 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 have 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 only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.

The Current Takeaway on KUSHCO HOLDINGS Investment

Whereas few other entities under packaging & containers industry are still a bit expensive, KUSHCO HOLDINGS may offer a potential longer-term growth to investors. To conclude, as of 7th of July 2020, we believe that KUSHCO HOLDINGS is currently overvalued with very high chance of financial distress in the next two years. Our overall 30 days buy vs. sell advice on the company is Strong Sell. With a less-than optimistic outlook for your 30 days horizon, it may be a good time to exit some or all of your KUSHCO HOLDINGS 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 KUSHCO HOLDINGS.