Is Newegg Commerce Stock a Good Investment?
Newegg Commerce Investment Advice | NEGG |
- Examine Newegg Commerce's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Newegg Commerce's leadership team and their track record. Good management can help Newegg Commerce navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Computer & Electronics Retail space and any emerging trends that could impact Newegg Commerce's business and its evolving consumer preferences.
- Compare Newegg Commerce's performance and market position to its competitors. Analyze how Newegg Commerce is positioned in terms of product offerings, innovation, and market share.
- Check if Newegg Commerce pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Newegg Commerce's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Newegg Commerce stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Newegg Commerce is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Out of control | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Fairly Valued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Sell | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Newegg Commerce Stock
Researching Newegg Commerce's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 94.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 1.03. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. Newegg Commerce recorded a loss per share of 0.15. The entity last dividend was issued on the 26th of October 2020. The firm had 1:8 split on the 26th of October 2020.
To determine if Newegg Commerce is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Newegg Commerce's research are outlined below:
| Newegg Commerce generated a negative expected return over the last 90 days | |
| Newegg Commerce has high historical volatility and very poor performance | |
| Newegg Commerce has some characteristics of a very speculative penny stock | |
| The company reported the previous year's revenue of 1.5 B. Net Loss for the year was (58.99 M) with profit before overhead, payroll, taxes, and interest of 216.63 M. | |
| Newegg Commerce currently holds about 70.07 M in cash with (3.84 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.19. | |
| Roughly 94.0% of the company outstanding shares are owned by corporate insiders | |
| Latest headline from finance.yahoo.com: Newegg Announces Upcoming Share Combination |
Newegg Commerce Quarterly Cost Of Revenue |
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Newegg Commerce uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Newegg Commerce. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Newegg Commerce's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 25th of April 2024 Upcoming Quarterly Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 25th of April 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Newegg Commerce's stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Newegg Commerce's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2023-12-22 | 2023-09-30 | -0.06 | -0.0386 | 0.0214 | 35 | ||
2024-08-28 | 2024-06-30 | -0.02 | -0.08 | -0.06 | 300 | ||
2023-04-24 | 2023-03-31 | -0.02 | -0.08 | -0.06 | 300 |
Know Newegg Commerce's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Newegg Commerce is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Newegg Commerce backward and forwards among themselves. Newegg Commerce's institutional investor refers to the entity that pools money to purchase Newegg Commerce's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Hsbc Holdings Plc | 2024-12-31 | 16.9 K | Blackrock Inc | 2024-12-31 | 12.6 K | Ballentine Finn & Company Inc | 2024-12-31 | 12.6 K | Bayesian Capital Management, Lp | 2024-12-31 | 10.7 K | Barclays Plc | 2024-12-31 | 6.2 K | Morgan Stanley - Brokerage Accounts | 2024-12-31 | 799 | Wells Fargo & Co | 2024-12-31 | 200 | State Street Corp | 2024-09-30 | 0.0 | Asset Dedication, Llc | 2024-09-30 | 0.0 | Geode Capital Management, Llc | 2024-12-31 | 439.9 K | Susquehanna International Group, Llp | 2024-12-31 | 278.3 K |
Newegg Commerce's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 227.71 M.Market Cap |
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Newegg Commerce's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | (0.14) | (0.15) | |
| Return On Capital Employed | (0.32) | (0.30) | |
| Return On Assets | (0.12) | (0.14) | |
| Return On Equity | (0.41) | (0.39) |
Determining Newegg Commerce's profitability involves analyzing its financial statements and using various financial metrics to determine if Newegg Commerce is a good buy. For example, gross profit margin measures Newegg Commerce's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Newegg Commerce's profitability and make more informed investment decisions.
Evaluate Newegg Commerce's management efficiency
Newegg Commerce has return on total asset (ROA) of (0.1014) % which means that it has lost $0.1014 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (0.4219) %, meaning that it created substantial loss on money invested by shareholders. Newegg Commerce's management efficiency ratios could be used to measure how well Newegg Commerce manages its routine affairs as well as how well it operates its assets and liabilities. The current Return On Tangible Assets is estimated to decrease to -0.15. The Newegg Commerce's current Return On Capital Employed is estimated to increase to -0.3. At this time, Newegg Commerce's Other Current Assets are most likely to increase significantly in the upcoming years. The Newegg Commerce's current Total Current Assets is estimated to increase to about 415.9 M, while Intangible Assets are projected to decrease to roughly 3.4 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 0.39 | 0.37 | |
| Tangible Book Value Per Share | 0.35 | 0.33 | |
| Enterprise Value Over EBITDA | (11.70) | (11.12) | |
| Price Book Value Ratio | 3.32 | 4.08 | |
| Enterprise Value Multiple | (11.70) | (11.12) | |
| Price Fair Value | 3.32 | 4.08 | |
| Enterprise Value | 3.4 B | 3.6 B |
At Newegg Commerce, effective management practices are pivotal to sustaining long-term profitability. We delve into financial metrics and market conditions to provide a comprehensive analysis of the stock's prospects.
Beta 2.847 |
Basic technical analysis of Newegg Stock
As of the 23rd of March, Newegg Commerce secures the Mean Deviation of 3.73, standard deviation of 5.43, and Risk Adjusted Performance of (0.10). In connection with fundamental indicators, the technical analysis model lets you check existing technical drivers of Newegg Commerce, as well as the relationship between them. Please verify Newegg Commerce standard deviation, as well as the relationship between the treynor ratio and potential upside to decide if Newegg Commerce is priced some-what accurately, providing market reflects its recent price of 0.3 per share. As Newegg Commerce appears to be a penny stock we also strongly suggest to check its jensen alpha numbers.Newegg Commerce's Outstanding Corporate Bonds
Newegg Commerce issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Newegg Commerce uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Newegg bonds can be classified according to their maturity, which is the date when Newegg Commerce has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
Understand Newegg Commerce's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Newegg Commerce's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.10) | |||
| Market Risk Adjusted Performance | (3.44) | |||
| Mean Deviation | 3.73 | |||
| Coefficient Of Variation | (803.86) | |||
| Standard Deviation | 5.43 | |||
| Variance | 29.49 | |||
| Information Ratio | (0.11) | |||
| Jensen Alpha | (0.67) | |||
| Total Risk Alpha | (0.27) | |||
| Treynor Ratio | (3.45) | |||
| Maximum Drawdown | 40.6 | |||
| Value At Risk | (7.50) | |||
| Potential Upside | 6.67 | |||
| Skewness | (1.12) | |||
| Kurtosis | 7.32 |
| Risk Adjusted Performance | (0.10) | |||
| Market Risk Adjusted Performance | (3.44) | |||
| Mean Deviation | 3.73 | |||
| Coefficient Of Variation | (803.86) | |||
| Standard Deviation | 5.43 | |||
| Variance | 29.49 | |||
| Information Ratio | (0.11) | |||
| Jensen Alpha | (0.67) | |||
| Total Risk Alpha | (0.27) | |||
| Treynor Ratio | (3.45) | |||
| Maximum Drawdown | 40.6 | |||
| Value At Risk | (7.50) | |||
| Potential Upside | 6.67 | |||
| Skewness | (1.12) | |||
| Kurtosis | 7.32 |
Consider Newegg Commerce's intraday indicators
Newegg Commerce intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Newegg Commerce stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Newegg Commerce time-series forecasting models is one of many Newegg Commerce's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models ae widely used for non-stationary data. Non-stationary data are called the data whose statistical properties e.g. the mean and standard deviation are not constant over time but instead, these metrics vary over time. These non-stationary Newegg Commerce's historical data is usually called time-series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the market movement and maximize returns from investment trading.
Newegg Stock media impact
Far too much social signal, news, headlines, and media speculation about Newegg Commerce that are available to investors today. That information is available publicly through Newegg media outlets and privately through word of mouth or via Newegg internal channels. However, regardless of the origin, that massive amount of Newegg data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Newegg Commerce news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Newegg Commerce relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Newegg Commerce's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Newegg Commerce alpha.
Newegg Commerce Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Newegg Commerce can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Newegg Commerce Corporate Management
| Fred Chang | CoFounder Chairman | Profile | |
| Yong Hou | Chief Officer | Profile | |
| Michael Chen | Chief Officer | Profile | |
| YuehPai Chang | Chief Officer | Profile | |
| Anthony Chow | Chief Officer | Profile | |
| Christina Ching | Interim Officer | Profile | |
| Jamie Spannos | Chief Officer | Profile |
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Newegg Commerce. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in price. For more detail on how to invest in Newegg Stock please use our How to Invest in Newegg Commerce guide.You can also try the Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.
Is Computer & Electronics Retail space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Newegg Commerce. If investors know Newegg will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Newegg Commerce listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.41) | Earnings Share (0.15) | Revenue Per Share | Quarterly Revenue Growth (0.14) | Return On Assets |
The market value of Newegg Commerce is measured differently than its book value, which is the value of Newegg that is recorded on the company's balance sheet. Investors also form their own opinion of Newegg Commerce's value that differs from its market value or its book value, called intrinsic value, which is Newegg Commerce's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Newegg Commerce's market value can be influenced by many factors that don't directly affect Newegg Commerce's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
In summary, please note that there is a difference between Newegg Commerce's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Newegg Commerce is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Newegg Commerce's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.