If you're considering diversifying your portfolio with real estate investments, W P Carey (USA Stocks: WPC) may be a promising option. This Equity Real Estate Investment Trust (REIT) has a real value of $75.5, slightly above its naive expected forecast value of $73.97. Despite a daily balance of power at -0.74, indicating some bearish trends, the accumulation distribution stands at 30.5K, suggesting a decent level of stock accumulation. With an analyst target price estimated value of $80.75 and a possible upside price of $75.06, there's potential for growth. However, it's worth noting that the analyst overall consensus is a 'Hold', with 2 strong buys, 2 buys, 2 holds, and 1 strong sell. The company's fiscal year ends in December, and it falls under the domestic category. The valuation hype value is $71.36, which is a bit lower than the market value of $71.37. The highest estimated target price from analysts is a significant
$89, suggesting a potential for substantial returns. However, investors should also consider the possible downside price of $72.89. The predictive indicators we utilize to assess W P Carey (WPC) assist investors in analyzing its daily demand and supply, volume, patterns, and price fluctuations to determine the stock's true value. We employ various methods to calculate WPC's intrinsic value based on widely accepted predictive technical indicators. While strategic planning is essential for successful stock investment, sometimes bold action is equally important. Let's delve into why this might be the case with W P Carey. We will examine why recent price movements in W P Carey suggest a potential rebound in August.
The successful prediction of W P
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 W P Carey, 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 W P based on W P hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to W P's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to W P's related companies.
Use Technical Analysis to project WPC expected Price
W P 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 W P technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of W P 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...W P Gross Profit
W P Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing W P 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 W P Gross Profit growth over the last 10 years. Please check W P's
gross profit and other
fundamental indicators for more details.
Going after WPC Financials
W P reported the last year's revenue of 1.48
B. Total Income to common stockholders was 598.48
M with profit before taxes, overhead, and interest of 1.4
B.
Cost of Revenue Breakdown
W P Cost of Revenue is decreasing over the years with slightly volatile fluctuation. Ongoing Cost of Revenue is projected to grow to about 85.8
M this year. Cost of Revenue usually refers to the aggregate cost of goods produced and sold and services rendered during the reporting period. Where this item is not contained on the company consolidated financial statements and cannot otherwise be imputed the value of 0 is used. W P Cost of Revenue is projected to decrease significantly based on the last few years of reporting. The past year's Cost of Revenue was at 77.81 Million
| 2016 | 168.25 Million |
| 2017 | 60.9 Million |
| 2018 | 52.16 Million |
| 2019 | 85.14 Million |
| 2020 | 55.44 Million |
| 2021 | 57.75 Million |
| 2022 | 77.81 Million |
| 2023 | 85.8 Million |
W P Carey (WPC), a player in the Equity Real Estate Investment Trusts (REITs) industry, has been generating buzz in the market. With a market capitalization of
$15.58 billion and a book value per share of 43.49X, the company has demonstrated a solid financial position. The company's net income stands at $598.48 million, which is reflective of a profit margin of 0.47%. Moreover, WPC's return on equity is 0.0865, indicating that the company is efficiently using its shareholders' funds. Additionally, the company's Price to Earnings ratio is 31.16X, which is considered reasonable for a company of its size and industry. The company's operating margin is 0.48%, showing that it is profitable. W P Carey's current ratio of 1.39X demonstrates its ability to meet short-term obligations. The company also boasts a strong cash flow from operations of
$1 billion. It's worth noting that 64.60% of the company's shares are owned by institutions, indicating a high level of confidence in the company's prospects. However, investors should also consider the company's potential downside. Its maximum drawdown is 4.53, and it has a probability of bankruptcy of 42.17%. Despite these risks, the company's potential upside of 2.03 suggests that it could be a valuable addition to a diversified portfolio.
Another small dip for W P
W P Carey's stock continues to show a bearish trend, with skewness dropping to -0.21 today. This negative skewness suggests a distribution with a left-leaning tail, indicating that the stock's returns are more prone to negative shocks. Investors should proceed with caution as this could signal a potential decline in the stock's value. Despite the minor dip, it's crucial to closely monitor the stock's performance for any signs of a rebound. As of July 27th, W P maintains a Downside Deviation of 1.18, mean deviation of 0.868, and Risk Adjusted Performance of 0.0215. In terms of fundamental indicators, the
technical analysis model allows for the examination of potential technical drivers of W P Carey, as well as their interrelationships. Specifically, this information can be used to determine if the entity will mirror its model of past data patterns, or if the prices will eventually revert. We were able to interpolate data for nineteen technical drivers for W P Carey, which can be compared to its
competitors. Please review W P Carey's information ratio, potential upside, as well as the relationship between the Potential Upside and kurtosis to determine if W P Carey is priced adequately, assuming the market reflects its latest price of $71.37 per share. Given that W P Carey has a Jensen alpha of -0.045724, we strongly recommend that you confirm W P Carey's current market performance to ensure the company can sustain itself in the future.
Our Final Perspective on W P
When is the right time to buy or sell W P Carey? Buying stocks such as W P isn't very hard. However, what challenging for most investors is doing it at the right time. Proper
market timing is something most people cannot do without
sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
To conclude, as of the 27th of July 2023, we believe that at this point, W P is very steady with
below average chance of financial distress within the next 2 years. From a slightly different point of view, the entity appears to be
undervalued. Our present 90 days
buy-or-sell advice on the firm is
Buy.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile 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 Vlad Skutelnik do not own shares of W P Carey. Please refer to our
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