| Click cells to compare fundamentals | Check Volatility | Backtest Portfolio |
Breaking down Aspen (NASDAQ:ASPU) volatility drop
 | By Raphi Shpitalnik | Macroaxis Story |
It appears Aspen may not recover as fast as we have hopped for as its price went down 3.03% today. The company's current daily volatility is 4.16 percent, with a beta of -0.16 and an alpha of 0.23 over DOW. As many millenniums are trying to avoid the newest volatility, we are going to review Aspen Group a little further to understand its historical price patterns. We will evaluate why recent Aspen price moves suggest a bounce in October.
Macroaxis uses a strict editorial review process to publish stories and blog posts. Our publishers support our company and may receive a small commission when the partner links or references are utilized. Commissions do not affect the opinions or evaluations of our editorial team. The information our editors and media partners deliver is confidential and licensed for your sole use as a Macroaxis user. We reserve all rights to the content of this article, and therefore copying or distributing this story in whole or in part is strictly prohibited.
Reviewed by Ellen Johnson
Aspen Group currently holds roughly 14.35 M in cash with (5.75 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.65. The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Aspen has an asset utilization ratio of 1088.53 percent. This implies that the company is making $10.89 for each dollar of assets. An increasing asset utilization means that Aspen Group is more efficient with each dollar of assets it utilizes for everyday operations.
Investing in Aspen, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding Aspen along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Watch out for price decline
Please consider monitoring Aspen on a daily basis if you are holding a position in it. Aspen is trading at a penny-stock level, and the possibility of delisting is much higher compared to other pink sheets. However, just because the pink sheet is trading under one dollar, does not mean it will be marked for deletion. Most exchanges require public instruments, such as Aspen stock to be traded above the $1 level to remain listed. If Aspen pink sheet price falls below $1 for 30 consecutive trading days, the exchange can delist it. Once the company reaches this point, they will be sent an initial price violation notice directly from an exchange.
How important is Aspen's Liquidity
Aspen financial leverage refers to using borrowed capital as a funding source to finance Aspen Group ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Aspen financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Aspen's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Aspen's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between Aspen's total debt and its cash.
Aspen Correlation with Peers
Investors in Aspen can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Aspen Group. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Aspen and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Aspen is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage. Please check volatility of Aspen for more details
Going after Aspen Financials
Aspen appears to be somewhat reliable, given 1 month investment horizon. Aspen Group secures Sharpe Ratio (or Efficiency) of 0.0728, which signifies that the company had 0.0728% of return per unit of risk over the last month. Our standpoint towards foreseeing the volatility of a stock is to use all available market data together with stock specific technical indicators that cannot be diversified away. We have found twenty-eight technical indicators for Aspen Group, which you can use to evaluate future volatility of the firm. Please makes use of Aspen Group Mean Deviation of 3.13, downside deviation of 3.53, and Risk Adjusted Performance of 0.0648 to double-check if our risk estimates are consistent with your expectations.
Building efficient market-beating portfolios requires time, education, and a lot of computing power!
The Portfolio Architect is an AI-driven system that provides multiple benefits to our users by leveraging cutting-edge machine learning algorithms, statistical analysis, and predictive modeling to automate the process of asset selection and portfolio construction, saving time and reducing human error for individual and institutional investors.
Try AI Portfolio ArchitectEditorial Staff
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 Raphi Shpitalnik do not own shares of Aspen Group. Please refer to our Terms of Use for any information regarding our disclosure principles.