By analyzing existing basic indicators between Unity Bancorp and US Bancorp, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in US Bancorp with a short position in Unity Bancorp. Check out our
pair correlation module for more information.
Let's begin by analyzing the assets.
The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Unity Bancorp has an asset utilization ratio of 7.45 percent. This suggests that the company is making $0.0745 for each dollar of assets. An increasing asset utilization means that Unity Bancorp is more efficient with each dollar of assets it utilizes for everyday operations.
Investment perspective, in general, refers to a viewpoint or opinion regarding investment opportunity in Unity Bancorp. It encompasses the assessment of an investment's potential risks and rewards, and expectations for its
performance over time. Several factors influence the investment perspective on Unity Bancorp, including investment goals, risk tolerance, time horizon, market conditions, and research and analysis. Investors have varying goals, such as capital preservation, income generation, or long-term growth. Risk tolerance plays a significant role in shaping an investor's perspective, with some being more risk-averse and others willing to take on higher risks for potential returns.
How important is Unity Bancorp's Liquidity
Unity Bancorp
financial leverage refers to using borrowed capital as a funding source to finance Unity Bancorp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Unity Bancorp 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 Unity Bancorp'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 Unity Bancorp'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 Unity Bancorp's total debt and its cash.
Unity Bancorp Gross Profit
Unity Bancorp Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Unity Bancorp 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 Unity Bancorp Gross Profit growth over the last 10 years. Please check Unity Bancorp's
gross profit and other
fundamental indicators for more details.
Detailed Perspective On Unity Bancorp
Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.
Revenue Breakdown
Let me now go over Unity Bancorp revenue. Based on the latest financial disclosure, Unity Bancorp reported 80.84
M of revenue. This is 99.28% lower than that of the Financial Services sector and significantly higher than that of the
Banks—Regional industry. The revenue for all United States stocks is 99.14% higher than that of Unity Bancorp. As for US Bancorp we see revenue of 22.64
B, which is much higher than that of the Banks—Regional
| UNTY | 80.84 Million | 0.36 |
| Sector | 0.0 | 0.0 |
| USB | 22.64 Billion | 99.64 |
Unity Bancorp implied volatility may change after the rise
The value at risk is down to -1.92 as of today. Unity Bancorp has relatively low volatility with skewness of 0.7 and kurtosis of 1.03. However, we advise all investors to independently investigate Unity Bancorp to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Unity Bancorp's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Unity Bancorp's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Our Final Take On Unity Bancorp
While some firms within the banks—regional industry are still a little expensive, even after the recent corrections, Unity Bancorp may offer a potential longer-term growth to investors. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither buy nor short any shares of Unity Bancorp at this time. The Unity Bancorp risk-reward trade off is not appealing enough to do any trading. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Unity Bancorp.
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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 Unity Bancorp. Please refer to our
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