Descartes Systems Group Stock Working Capital
| DSG Stock | CAD 162.82 2.28 1.38% |
Descartes Systems Group fundamentals help investors to digest information that contributes to Descartes Systems' financial success or failures. It also enables traders to predict the movement of Descartes Stock. The fundamental analysis module provides a way to measure Descartes Systems' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Descartes Systems stock.
Descartes |
Descartes Systems Group Company Working Capital Analysis
Descartes Systems' Working Capital is a measure of company efficiency and operating liquidity. The working capital is usually calculated by subtracting Current Liabilities from Current Assets. It is an important indicator of the firm ability to continue its normal operations without additional debt obligations. .
More About Working Capital | All Equity Analysis
Working Capital | = | Current Assets | - | Current Liabilities |
Current Descartes Systems Working Capital | 214.55 M |
Most of Descartes Systems' fundamental indicators, such as Working Capital, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Descartes Systems Group is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Working Capital can be positive or negative, depending on how much of current debt the company is carrying on its balance sheet. In general terms, companies that have a lot of working capital will experience more growth in the near future since they can expand and improve their operations using existing resources. On the other hand, companies with small or negative working capital may lack the funds necessary for growth or future operation. Working Capital also shows if the company has sufficient liquid resources to satisfy short-term liabilities and operational expenses.
| Competition |
According to the company's disclosures, Descartes Systems Group has a Working Capital of 214.55 M. This is 97.81% lower than that of the Software sector and 63.72% lower than that of the Information Technology industry. The working capital for all Canada stocks is 85.49% higher than that of the company.
Descartes Working Capital Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Descartes Systems' direct or indirect competition against its Working Capital to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Descartes Systems could also be used in its relative valuation, which is a method of valuing Descartes Systems by comparing valuation metrics of similar companies.Descartes Systems is currently under evaluation in working capital category among its peers.
Descartes Fundamentals
| Return On Equity | 0.1 | ||||
| Return On Asset | 0.0751 | ||||
| Profit Margin | 0.21 % | ||||
| Operating Margin | 0.28 % | ||||
| Current Valuation | 13.77 B | ||||
| Shares Outstanding | 85.48 M | ||||
| Shares Owned By Institutions | 87.09 % | ||||
| Number Of Shares Shorted | 637.62 K | ||||
| Price To Earning | 118.05 X | ||||
| Price To Book | 7.68 X | ||||
| Price To Sales | 23.22 X | ||||
| Revenue | 572.93 M | ||||
| Gross Profit | 372.69 M | ||||
| EBITDA | 218.49 M | ||||
| Net Income | 115.91 M | ||||
| Cash And Equivalents | 29.55 M | ||||
| Cash Per Share | 0.38 X | ||||
| Total Debt | 6.98 M | ||||
| Debt To Equity | 46.10 % | ||||
| Current Ratio | 0.94 X | ||||
| Book Value Per Share | 15.35 X | ||||
| Cash Flow From Operations | 207.68 M | ||||
| Short Ratio | 5.60 X | ||||
| Earnings Per Share | 2.08 X | ||||
| Price To Earnings To Growth | 2.11 X | ||||
| Target Price | 62.86 | ||||
| Number Of Employees | 13 | ||||
| Beta | 0.74 | ||||
| Market Capitalization | 14.11 B | ||||
| Total Asset | 1.47 B | ||||
| Retained Earnings | 220.75 M | ||||
| Working Capital | 214.55 M | ||||
| Net Asset | 1.47 B |
About Descartes Systems Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Descartes Systems Group's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Descartes Systems using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Descartes Systems Group 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 Descartes Systems
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 Descartes Systems 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 Descartes Systems will appreciate offsetting losses from the drop in the long position's value.Moving together with Descartes Stock
Moving against Descartes Stock
The ability to find closely correlated positions to Descartes Systems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Descartes Systems 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 Descartes Systems - 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 Descartes Systems Group to buy it.
The correlation of Descartes Systems 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 Descartes Systems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Descartes Systems 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 Descartes Systems 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.Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in Descartes Systems Group. 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. You can also try the Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.