Converge Technology Solutions Stock Buy Hold or Sell Recommendation
| CTS Stock | CAD 5.47 0.04 0.74% |
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Converge Technology Solutions is 'Cautious Hold'. The recommendation algorithm takes into account all of Converge Technology's available fundamental, technical, and predictive indicators you will find on this site.
Check out Converge Technology Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. In addition, we conduct extensive research on individual companies such as Converge and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Converge Technology Solutions. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
Converge |
Execute Converge Technology Buy or Sell Advice
The Converge recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Converge Technology Solutions. Macroaxis does not own or have any residual interests in Converge Technology Solutions or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Converge Technology's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Cautious Hold
Market Performance | OK | Details | |
Volatility | Very risky | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Moves totally opposite to the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Converge Technology Trading Alerts and Improvement Suggestions
| Converge Technology is way too risky over 90 days horizon | |
| Converge Technology appears to be risky and price may revert if volatility continues | |
| Converge Technology Solutions has accumulated 639 K in total debt with debt to equity ratio (D/E) of 0.33, which is about average as compared to similar companies. Converge Technology has a current ratio of 0.97, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Converge Technology until it has trouble settling it off, either with new capital or with free cash flow. So, Converge Technology's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Converge Technology sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Converge to invest in growth at high rates of return. When we think about Converge Technology's use of debt, we should always consider it together with cash and equity. | |
| The entity reported the revenue of 2.59 B. Net Loss for the year was (177.71 M) with profit before overhead, payroll, taxes, and interest of 691.44 M. | |
| On 31st of January 2025 Converge Technology paid C$ 0.04 per share dividend to its current shareholders |
Converge Technology Returns Distribution Density
The distribution of Converge Technology's historical returns is an attempt to chart the uncertainty of Converge Technology's future price movements. The chart of the probability distribution of Converge Technology daily returns describes the distribution of returns around its average expected value. We use Converge Technology Solutions price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Converge Technology returns is essential to provide solid investment advice for Converge Technology.
| Mean Return | 0.99 | Value At Risk | -3.79 | Potential Upside | 3.98 | Standard Deviation | 7.13 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Converge Technology 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.
Converge Technology 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 Converge Technology or IT Services 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 Converge Technology'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 Converge 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 Jones | 0.93 | |
β | Beta against Dow Jones | -0.45 | |
σ | Overall volatility | 7.13 | |
Ir | Information ratio | 0.15 |
Converge Technology Volatility Alert
Converge Technology Solutions is displaying above-average volatility over the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Converge Technology's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Converge Technology's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Converge Technology Fundamentals Vs Peers
Comparing Converge Technology's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Converge Technology's direct or indirect competition across all of the common fundamentals between Converge Technology and the related equities. This way, we can detect undervalued stocks with similar characteristics as Converge Technology or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Converge Technology's fundamental indicators could also be used in its relative valuation, which is a method of valuing Converge Technology by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Converge Technology to competition |
| Fundamentals | Converge Technology | Peer Average |
| Return On Equity | -0.37 | -0.31 |
| Return On Asset | 0.0176 | -0.14 |
| Profit Margin | (0.07) % | (1.27) % |
| Operating Margin | 0.03 % | (5.51) % |
| Current Valuation | 1.15 B | 16.62 B |
| Shares Outstanding | 188.61 M | 571.82 M |
| Shares Owned By Insiders | 5.55 % | 10.09 % |
| Shares Owned By Institutions | 26.60 % | 39.21 % |
| Number Of Shares Shorted | 1.59 M | 4.71 M |
| Price To Earning | 69.80 X | 28.72 X |
| Price To Book | 2.88 X | 9.51 X |
| Price To Sales | 0.40 X | 11.42 X |
| Revenue | 2.59 B | 9.43 B |
| Gross Profit | 691.44 M | 27.38 B |
| EBITDA | 144.21 M | 3.9 B |
| Net Income | (177.71 M) | 570.98 M |
| Cash And Equivalents | 184.18 M | 2.7 B |
| Cash Per Share | 0.86 X | 5.01 X |
| Total Debt | 639 K | 5.32 B |
| Debt To Equity | 0.33 % | 48.70 % |
| Current Ratio | 0.99 X | 2.16 X |
| Book Value Per Share | 1.90 X | 1.93 K |
| Cash Flow From Operations | 269.38 M | 971.22 M |
| Short Ratio | 0.67 X | 4.00 X |
| Earnings Per Share | (0.90) X | 3.12 X |
| Price To Earnings To Growth | 0.17 X | 4.89 X |
| Target Price | 5.5 | |
| Number Of Employees | 2.7 K | 18.84 K |
| Beta | 1.64 | -0.15 |
| Market Capitalization | 1.03 B | 19.03 B |
| Total Asset | 2.19 B | 29.47 B |
| Retained Earnings | (241.92 M) | 9.33 B |
| Working Capital | (87.6 M) | 1.48 B |
Converge Technology Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Converge . 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.
About Converge Technology Buy or Sell Advice
When is the right time to buy or sell Converge Technology Solutions? Buying financial instruments such as Converge Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the 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 basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
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Other Information on Investing in Converge Stock
Converge Technology financial ratios help investors to determine whether Converge Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Converge with respect to the benefits of owning Converge Technology security.