By analyzing existing basic indicators between Viewray and Zimmer, 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 Zimmer with a short position in Viewray. 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. Viewray has an asset utilization ratio of 111.76 percent. This suggests that the company is making $1.12 for each dollar of assets. An increasing asset utilization means that Viewray is more efficient with each dollar of assets it utilizes for everyday operations.
Out of tens of thousands of stocks, funds, and ETFs that trade on global exchanges each represent an individual company which you can analyze using comparative analysis. To determine which one of the two entities, such as ViewRay or Acutus is a better fit for your portfolio, analyzing a few basic fundamental indicators is a good first step.
How important is ViewRay's Liquidity
ViewRay
financial leverage refers to using borrowed capital as a funding source to finance ViewRay ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. ViewRay 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 ViewRay'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 ViewRay'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 ViewRay's total debt and its cash.
Correlation Between ViewRay and Acutus Medical
In general, Delisted Stock analysis is a method for investors and traders to make individual buying and selling decisions. Stock correlation analysis is also essential because it can help investors realize that they may not be as diversified as they think. Risk management strategies are usually required to make sure all portfolios are properly aligned against their risk tolerance level. You can consider holding ViewRay together with similar or unrelated positions with a negative correlation. For example, you can also add Acutus Medical to your portfolio. If Acutus Medical is not perfectly correlated to ViewRay it will diversify some of the market risks out of the positively correlated stocks in your portfolio. However, the disadvantage of this sort of hedging is that it can potentially affect your investment returns throughout market cycles. When ViewRay, for example, performs excellent and delivers stable returns, the negatively correlated position you locked in as a hedge may drag your returns down.
Are you currently holding both ViewRay and Acutus Medical in your portfolio? Please note if you are using this as a pair-trade strategy between ViewRay and Acutus Medical, watch out for correlation discrepancy over time. Relying on the historical price correlations and assuming that it will not change may lead to short-term losses. Please check
pair correlation details between VRAY and AFIB for more information.
Breaking down ViewRay Indicators
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
Lets now check Viewray revenue. Based on the latest financial disclosure, Viewray reported 58.29
M of revenue. This is 99.24% lower than that of the Healthcare sector and 97.71% lower than that of the
Medical Devices industry. The revenue for all United States stocks is 99.38% higher than that of Viewray. As for Zimmer Biomet we see revenue of 7.89
B, which is 209.32% higher than that of the Medical Devices
| VRAY | 58.29 Million | 0.56 |
| Sector | 2.55 Billion | 24.3 |
| ZBH | 7.89 Billion | 75.15 |
Our take on today Viewray rise
Viewray risk adjusted performance is up to -0.01. Viewray exhibits very low volatility with skewness of -0.31 and kurtosis of 2.03. However, we advise investors to further study Viewray technical indicators to make sure all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Viewray'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 Viewray'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 Takeaway on Viewray Investment
While many other companies under the medical devices industry are still a bit expensive, Viewray may offer a potential longer-term growth to investors. While some investors may not share our view we believe that the current risk-reward utility 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 Viewray.
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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 ViewRay. Please refer to our
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