This firm classifies itself under
Industrials sector and is part of
Business Equipment & Supplies industry. The company has accumulated 16.09
M in total debt with debt to equity ratio (D/E) of 0.03, which may suggest PAX Global is not taking enough advantage from borrowing. PAX Global Technolog has a current ratio of 3.55, suggesting that it is liquid and has the ability to pay its financial obligations in time and when they become due.
Investing in PAX Global, 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 PAX Global 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.
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of PAX Global's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Watch out for price decline
Please consider monitoring PAX Global on a daily basis if you are holding a position in it. PAX Global 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 PAX Global stock to be traded above the $1 level to remain listed. If PAX Global 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 PAX Global's Liquidity
PAX Global
financial leverage refers to using borrowed capital as a funding source to finance PAX Global Technology ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. PAX Global 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 PAX Global'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 PAX Global'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 PAX Global's total debt and its cash.
PAX Global Correlation with Peers
Investors in PAX can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in PAX Global Technology. Diversification will allow for the same portfolio return with reduced risk. The correlation table of PAX Global and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities PAX 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 PAX for more details
Details
PAX Global appears to be extremely dangerous, given 1 month investment horizon.
PAX Global Technolog maintains Sharpe Ratio (i.e. Efficiency) of 0.0649, which implies the company had 0.0649% of return per unit of standard deviation over the last month. Our approach into forecasting 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-seven
technical indicators for PAX Global Technolog, which you can use to evaluate future volatility of the entity. Please employ PAX Global Technolog Coefficient Of Variation of 1828.03,
market risk adjusted performance of 0.5463, and Mean Deviation of 3.38 to confirm if our risk estimates are consistent with your expectations.
Is PAX Global getting off balance?
PAX Global latest jensen alpha ascents over 0.18. PAX Global Technolog shows above-average downside volatility for the selected time horizon. We advise investors to inspect PAX Global Technolog further and ensure that all market timing and asset allocation strategies are consistent with the estimation of PAX Global future alpha. PAX Global Technolog is a potential penny stock. Although PAX Global may be in fact a good instrument to invest, many penny otc 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 PAX Global Technolog. 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 PXGYF 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 Bottom Line On PAX Global Technolog
Although other entities in the business equipment & supplies industry are either recovering or due for a correction, PXGYF may not be as strong as the others in terms of longer-term growth potentials. To conclude, as of the 29th of March 2021, we believe that at this point, PAX Global is
overvalued with
very low probability of distress within the next 2 years. Our latest buy-or-sell advice on the firm is
Strong Sell.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
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 Vlad Skutelnik do not own shares of PAX Global Technology. Please refer to our
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