Hammond Manufacturing Stock Beta
| HMM-A Stock | CAD 8.43 0.09 1.06% |
Hammond Manufacturing fundamentals help investors to digest information that contributes to Hammond Manufacturing's financial success or failures. It also enables traders to predict the movement of Hammond Stock. The fundamental analysis module provides a way to measure Hammond Manufacturing's 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 Hammond Manufacturing stock.
Hammond |
Hammond Manufacturing Company Beta Analysis
Hammond Manufacturing's Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Current Hammond Manufacturing Beta | 0.61 |
Most of Hammond Manufacturing's fundamental indicators, such as Beta, 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, Hammond Manufacturing is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
| Competition |
In accordance with the recently published financial statements, Hammond Manufacturing has a Beta of 0.605. This is 42.92% lower than that of the Electrical Equipment sector and 68.49% lower than that of the Industrials industry. The beta for all Canada stocks is notably lower than that of the firm.
Hammond Beta Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Hammond Manufacturing's direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Hammond Manufacturing could also be used in its relative valuation, which is a method of valuing Hammond Manufacturing by comparing valuation metrics of similar companies.Hammond Manufacturing is currently under evaluation in beta category among its peers.
As returns on the market increase, Hammond Manufacturing's returns are expected to increase less than the market. However, during the bear market, the loss of holding Hammond Manufacturing is expected to be smaller as well.
Hammond Fundamentals
| Return On Equity | 0.18 | ||||
| Return On Asset | 0.0885 | ||||
| Profit Margin | 0.08 % | ||||
| Operating Margin | 0.10 % | ||||
| Current Valuation | 128.59 M | ||||
| Shares Outstanding | 8.56 M | ||||
| Shares Owned By Insiders | 20.15 % | ||||
| Shares Owned By Institutions | 0.34 % | ||||
| Number Of Shares Shorted | 6.56 K | ||||
| Price To Earning | 4.78 X | ||||
| Price To Book | 0.81 X | ||||
| Price To Sales | 0.39 X | ||||
| Revenue | 244.9 M | ||||
| Gross Profit | 71.91 M | ||||
| EBITDA | 34.23 M | ||||
| Net Income | 18.37 M | ||||
| Cash And Equivalents | 1.01 M | ||||
| Cash Per Share | 0.09 X | ||||
| Total Debt | 36.52 M | ||||
| Debt To Equity | 75.30 % | ||||
| Current Ratio | 1.47 X | ||||
| Book Value Per Share | 9.94 X | ||||
| Cash Flow From Operations | 33.66 M | ||||
| Short Ratio | 0.25 X | ||||
| Earnings Per Share | 1.65 X | ||||
| Number Of Employees | 900 | ||||
| Beta | 0.61 | ||||
| Market Capitalization | 109.38 M | ||||
| Total Asset | 214.79 M | ||||
| Retained Earnings | 103.37 M | ||||
| Working Capital | 56.04 M | ||||
| Annual Yield | 0.01 % | ||||
| Net Asset | 214.79 M |
About Hammond Manufacturing Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Hammond Manufacturing's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Hammond Manufacturing using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Hammond Manufacturing 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 Hammond Manufacturing
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 Hammond Manufacturing 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 Hammond Manufacturing will appreciate offsetting losses from the drop in the long position's value.Moving against Hammond Stock
| 0.67 | ARG | Amerigo Resources | PairCorr |
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| 0.65 | TMQ | Trilogy Metals | PairCorr |
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| 0.6 | KNT | K92 Mining | PairCorr |
The ability to find closely correlated positions to Hammond Manufacturing could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hammond Manufacturing 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 Hammond Manufacturing - 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 Hammond Manufacturing to buy it.
The correlation of Hammond Manufacturing 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 Hammond Manufacturing moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hammond Manufacturing 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 Hammond Manufacturing 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.Additional Tools for Hammond Stock Analysis
When running Hammond Manufacturing's price analysis, check to measure Hammond Manufacturing'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 Hammond Manufacturing is operating at the current time. Most of Hammond Manufacturing's value examination focuses on studying past and present price action to predict the probability of Hammond Manufacturing's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hammond Manufacturing's price. Additionally, you may evaluate how the addition of Hammond Manufacturing to your portfolios can decrease your overall portfolio volatility.