Document Security is UNDERVALUED at 1.33 per share with modest projections ahead.
We consider Document Security abnormally volatile.
Document Security Systems secures Sharpe Ratio (or Efficiency) of 0.0093, which denotes the company had 0.0093% of return per unit of standard deviation over the last 3 months. Our philosophy in predicting 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-one
technical indicators for Document Security Systems, which you can use to evaluate the future volatility of the firm. Please confirm Document Security Systems Downside Deviation of 8.83,
mean deviation of 6.86, and Semi Deviation of 7.66 to check if the risk estimate we provide is consistent with the expected return of 0.0972%.
Typically, a company's
financial statements are the reports that show the
financial position of the company. There are three main documents that fall into the category of financial statements. These documents include DSS income statement, its balance sheet, and the statement of cash flows. Potential DSS investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although DSS investors may use each financial statement separately, they are all related. The changes in DSS's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on DSS's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our
technical analysis and
fundamental analysis pages.
The goal of DSS
fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of DSS performance into the future periods or doing a reasonable stock valuation. The intrinsic value of DSS shares is the value that is considered the true value of the share. If
the intrinsic value of DSS is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares DSS. Please read more on our
fundamental analysis page.
Watch out for price decline
Please consider monitoring DSS on a daily basis if you are holding a position in it. DSS is trading at a penny-stock level, and the possibility of delisting is much higher compared to other stocks. However, just because the stock is trading under one dollar, does not mean it will be marked for deletion.
Most exchanges require public instruments, such as DSS stock to be traded above the $1 level to remain listed. If DSS stock 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 effective is DSS in utilizing its assets?
DSS Inc reports assets on its Balance Sheet. It represents the amount of DSS resources that either has an existing economic value or will provide some form of benefits in the future. By effectively utilizing its assets, DSS aims to generate revenue, control costs, drive operational efficiency, and enhance profitability. Optimizing asset utilization helps maximize shareholder value and maintain a competitive position in the Commercial Services & Supplies space. To get a better handle on how balance sheet or income statements item affect DSS volatility, please check the breakdown of all its
fundamentals.
Are DSS Earnings Expected to grow?
The
future earnings power of DSS involves the interaction of many company-specific, industry, and economic forces. Earnings estimates embody investors' opinions of DSS factors such as sales growth, product demand, competitive industry environment, profit margins, and cost controls. DSS
stock prices adjust as these expectations change or are proven wrong. The main thing to remember is that equities with high expected earnings growth tend to underperform the market because it is usually difficult to meet the market's high expectations. Companies with low earnings expectations tend to do better than expected. Please use our latest analysis of DSS
expected earnings.
DSS Gross Profit
DSS Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing DSS previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show DSS Gross Profit growth over the last 10 years. Please check DSS's
gross profit and other
fundamental indicators for more details.
Another Deeper Perspective
Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Document Security is not uncomon. Institutional investor usually refers to an organization that invests money in Document Security on behalf of clients or other money managers. Buying and selling of large positions of Document Security stock by institutional investors can create supply and demand imbalances that result in sudden price moves of Document Security stock. Let's take a look at how the ownership of Document is distributed among investors.
Ownership Allocation
Document Security holds a total of seventy-nine million seven hundred fifty thousand
outstanding shares. Document Security Systems retains significant amount of outstanding shares owned by
insiders. An
insider is usually defined as a CEO, other corporate executive, director, or
institutional investor who own at least 10% of the company outstanding shares. Since such a large part of the company is owned by insiders, it is advisable to analyze if each of these insiders have been buying or selling the stock in recent months. Please note that no matter how much assets the company secures, if the real value of the firm is less than the current market value, you may not be able to make money on it.
| Retail Investors62.51% | Insiders27.84% | Institutions9.65% |
| Retail Investors | 62.51 |
| Insiders | 27.84 |
| Institutions | 9.65 |
| 2019 | 2020 | 2021 | 2022 (projected) |
Interest Expense | 125 K | 183 K | 196 K | 199.06 K | Gross Profit | 5.21 M | 4.36 M | 8 M | 7.93 M |
Asset Utilization
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Document Security has an asset utilization ratio of 130.95 percent. This connotes that the company is making $1.31 for each dollar of assets. An increasing asset utilization means that Document Security Systems is more efficient with each dollar of assets it utilizes for everyday operations.
| Current Assets88.9 M | Assets Non Current218.4 M | Goodwill102.8 M | |
| Current Assets | 88.93 Million | 21.68 |
| Assets Non Current | 218.38 Million | 53.23 |
| Goodwill | 102.75 Million | 25.05 |
| Tax Assets | 199,815 | 0.0487 |
Will Document continue to spike?
Variance is down to 108.03. It may connote a possible volatility fall. Document Security Systems is displaying above-average volatility over the selected time horizon. Investors should scrutinize Document Security Systems independently to ensure intended market timing strategies are aligned with expectations about Document Security volatility. Document Security Systems is a potential penny stock. Although Document Security may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Document Security Systems. We encourage investors to look for the signals such us email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Document instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of an artificial hype usually unable to maintain its increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
Our Final Take On Document Security
While some firms within the specialty business services industry are still a little expensive, even after the recent corrections, Document Security may offer a potential longer-term growth to retail investors. The bottom line, as of the 3rd of April 2022, our present 90 days buy-or-sell advice on the enterprise is
Strong Hold. We believe Document Security is
undervalued with
very high chance of bankruptcy for the next two years.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile 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 DSS Inc. Please refer to our
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