Centerpoint Energy Stock Piotroski F Score

CNP Stock  USD 32.66  0.13  0.40%   
This module uses fundamental data of CenterPoint Energy to approximate its Piotroski F score. CenterPoint Energy F Score is determined by combining nine binary scores representing 3 distinct fundamental categories of CenterPoint Energy. These three categories are profitability, efficiency, and funding. Some research analysts and sophisticated value traders use Piotroski F Score to find opportunities outside of the conventional market and financial statement analysis.They believe that some of the new information about CenterPoint Energy financial position does not get reflected in the current market share price suggesting a possibility of arbitrage. Check out CenterPoint Energy Altman Z Score, CenterPoint Energy Correlation, CenterPoint Energy Valuation, as well as analyze CenterPoint Energy Alpha and Beta and CenterPoint Energy Hype Analysis.
To learn how to invest in CenterPoint Stock, please use our How to Invest in CenterPoint Energy guide.
  
At this time, CenterPoint Energy's Short Term Debt is relatively stable compared to the past year. As of 11/28/2024, Short and Long Term Debt is likely to grow to about 1.1 B, while Long Term Debt is likely to drop slightly above 10.6 B. At this time, CenterPoint Energy's Capex To Revenue is relatively stable compared to the past year. As of 11/28/2024, Cash Per Share is likely to grow to 1.26, while Book Value Per Share is likely to drop 13.41.
At this time, it appears that CenterPoint Energy's Piotroski F Score is Healthy. Although some professional money managers and academia have recently criticized Piotroski F-Score model, we still consider it an effective method of predicting the state of the financial strength of any organization that is not predisposed to accounting gimmicks and manipulations. Using this score on the criteria to originate an efficient long-term portfolio can help investors filter out the purely speculative stocks or equities playing fundamental games by manipulating their earnings..
6.0
Piotroski F Score - Healthy
Current Return On Assets

Positive

Focus
Change in Return on Assets

Decreased

Focus
Cash Flow Return on Assets

Positive

Focus
Current Quality of Earnings (accrual)

Improving

Focus
Asset Turnover Growth

Decrease

Focus
Current Ratio Change

Decrease

Focus
Long Term Debt Over Assets Change

Lower Leverage

Focus
Change In Outstending Shares

Decrease

Focus
Change in Gross Margin

Increase

Focus

CenterPoint Energy Piotroski F Score Drivers

The critical factor to consider when applying the Piotroski F Score to CenterPoint Energy is to make sure CenterPoint is not a subject of accounting manipulations and runs a healthy internal audit department. So, if CenterPoint Energy's auditors report directly to the board (not management), the managers will be reluctant to manipulate simply due to the fear of punishment. On the other hand, the auditors will be free to investigate the ledgers properly because they know that the board has their back. Below are the main accounts that are used in the Piotroski F Score model. By analyzing the historical trends of the mains drivers, investors can determine if CenterPoint Energy's financial numbers are properly reported.
Current ValueLast YearChange From Last Year 10 Year Trend
Asset Turnover0.210.219
Sufficiently Down
Slightly volatile
Gross Profit Margin0.430.4239
Fairly Up
Pretty Stable
Net Debt10.4 B18.5 B
Way Down
Slightly volatile
Total Current Liabilities3.3 B3.9 B
Fairly Down
Slightly volatile
Non Current Liabilities Total15.5 B26.2 B
Way Down
Slightly volatile
Total Assets25.7 B39.7 B
Way Down
Slightly volatile
Total Current Assets3.7 BB
Fairly Up
Slightly volatile
Total Cash From Operating Activities4.1 B3.9 B
Sufficiently Up
Slightly volatile

CenterPoint Energy F Score Driver Matrix

One of the toughest challenges investors face today is learning how to quickly synthesize historical financial statements and information provided by the company, SEC reporting, and various external parties in order to project the various growth rates. Understanding the correlation between CenterPoint Energy's different financial indicators related to revenue, expenses, operating profit, and net earnings helps investors identify and prioritize their investing strategies towards CenterPoint Energy in a much-optimized way.

About CenterPoint Energy Piotroski F Score

F-Score is one of many stock grading techniques developed by Joseph Piotroski, a professor of accounting at the Stanford University Graduate School of Business. It was published in 2002 under the paper titled Value Investing: The Use of Historical Financial Statement Information to Separate Winners from Losers. Piotroski F Score is based on binary analysis strategy in which stocks are given one point for passing 9 very simple fundamental tests, and zero point otherwise. According to Mr. Piotroski's analysis, his F-Score binary model can help to predict the performance of low price-to-book stocks.

Common Stock Shares Outstanding

388.08 Million

At this time, CenterPoint Energy's Common Stock Shares Outstanding is relatively stable compared to the past year.

CenterPoint Energy ESG Sustainability

Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, CenterPoint Energy's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to CenterPoint Energy's managers, analysts, and investors.
Environmental
Governance
Social

About CenterPoint Energy Fundamental Analysis

The Macroaxis Fundamental Analysis modules help investors analyze CenterPoint Energy's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of CenterPoint Energy using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of CenterPoint Energy based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.

Pair Trading with CenterPoint Energy

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if CenterPoint Energy position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in CenterPoint Energy will appreciate offsetting losses from the drop in the long position's value.

Moving against CenterPoint Stock

  0.58ES Eversource EnergyPairCorr
  0.56GNE Genie EnergyPairCorr
  0.51FE FirstEnergyPairCorr
  0.47HE Hawaiian ElectricPairCorr
  0.44AEP American Electric PowerPairCorr
The ability to find closely correlated positions to CenterPoint Energy could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace CenterPoint Energy when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back CenterPoint Energy - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling CenterPoint Energy to buy it.
The correlation of CenterPoint Energy is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as CenterPoint Energy moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if CenterPoint Energy moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for CenterPoint Energy can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Additional Tools for CenterPoint Stock Analysis

When running CenterPoint Energy's price analysis, check to measure CenterPoint Energy's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy CenterPoint Energy is operating at the current time. Most of CenterPoint Energy's value examination focuses on studying past and present price action to predict the probability of CenterPoint Energy's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CenterPoint Energy's price. Additionally, you may evaluate how the addition of CenterPoint Energy to your portfolios can decrease your overall portfolio volatility.