Is Pure Cycle Stock a Good Investment?
Pure Cycle Investment Advice | PCYO |
- Examine Pure Cycle'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 Pure Cycle's leadership team and their track record. Good management can help Pure Cycle navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Water Utilities space and any emerging trends that could impact Pure Cycle's business and its evolving consumer preferences.
- Compare Pure Cycle's performance and market position to its competitors. Analyze how Pure Cycle is positioned in terms of product offerings, innovation, and market share.
- Check if Pure Cycle pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Pure Cycle'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 Pure Cycle 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 Pure Cycle is a good investment.
Sell | Buy |
Strong Buy
Market Performance | Solid | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Low key | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Very Small | Details | |
Economic Sensitivity | Responds to the market | Details | |
Investor Sentiment | Interested | Details | |
Analyst Consensus | Strong Sell | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine Pure Cycle Stock
Researching Pure Cycle'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 56.0% of the company shares are owned by institutional investors. The book value of Pure Cycle was at this time reported as 5.39. The company had not issued any dividends in recent years. Pure Cycle had 1:10 split on the 26th of April 2004.
To determine if Pure Cycle 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 Pure Cycle's research are outlined below:
| Pure Cycle is unlikely to experience financial distress in the next 2 years | |
| About 56.0% of the company shares are owned by institutional investors | |
| Latest headline from investing.com: Pure Cycle Corp director Kozlowski sells 262,000 in stock |
Pure Cycle 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 Pure Cycle. 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 Pure Cycle'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.
| 10th of April 2024 Upcoming Quarterly Report | View | |
| 29th of February 2024 Next Fiscal Quarter End | View |
Earnings surprises can significantly impact Pure Cycle'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 Pure Cycle's investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
2015-01-09 | 2014-11-30 | -0.01 | -0.0063 | 0.0037 | 37 | ||
2017-01-04 | 2016-11-30 | -0.02 | -0.01 | 0.01 | 50 | ||
2016-10-28 | 2016-08-31 | -0.02 | -0.03 | -0.01 | 50 | ||
2014-07-14 | 2014-05-31 | -0.01 | -0.02 | -0.01 | 100 | ||
2014-04-11 | 2014-02-28 | -0.03 | -0.02 | 0.01 | 33 | ||
2013-04-12 | 2013-02-28 | -0.05 | -0.04 | 0.01 | 20 | ||
2010-04-09 | 2010-02-28 | -0.06 | -0.07 | -0.01 | 16 | ||
2010-01-08 | 2009-11-30 | -0.07 | -0.06 | 0.01 | 14 |
Know Pure Cycle's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Pure Cycle is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Pure Cycle backward and forwards among themselves. Pure Cycle's institutional investor refers to the entity that pools money to purchase Pure Cycle'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 | Bard Associates Inc | 2024-09-30 | 365 K | Epiq Partners, Llc | 2024-09-30 | 328.8 K | Curi Rmb Capital | 2024-09-30 | 275.4 K | Myda Advisors Llc | 2024-09-30 | 220 K | Northern Trust Corp | 2024-09-30 | 178.3 K | Blair William & Co | 2024-06-30 | 164.8 K | Boston Partners Global Investors, Inc | 2024-09-30 | 128.8 K | Tealwood Asset Management Inc | 2024-09-30 | 117.6 K | Spears Abacus Advisors Llc | 2024-09-30 | 114 K | Magnolia Group, Llc | 2024-09-30 | 2.1 M | Blackrock Inc | 2024-06-30 | 1.3 M |
Pure Cycle's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 350.02 M.Market Cap |
|
Pure Cycle's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.08 | 0.08 | |
| Return On Capital Employed | 0.09 | 0.09 | |
| Return On Assets | 0.08 | 0.08 | |
| Return On Equity | 0.09 | 0.09 |
Determining Pure Cycle's profitability involves analyzing its financial statements and using various financial metrics to determine if Pure Cycle is a good buy. For example, gross profit margin measures Pure Cycle'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 Pure Cycle's profitability and make more informed investment decisions.
Evaluate Pure Cycle's management efficiency
Pure Cycle has return on total asset (ROA) of 0.0545 % which means that it generated a profit of $0.0545 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of 0.0937 %, meaning that it created $0.0937 on every $100 dollars invested by stockholders. Pure Cycle's management efficiency ratios could be used to measure how well Pure Cycle manages its routine affairs as well as how well it operates its assets and liabilities. As of the 30th of November 2024, Return On Tangible Assets is likely to grow to 0.08. Also, Return On Capital Employed is likely to grow to 0.09. At this time, Pure Cycle's Return On Assets are very stable compared to the past year. As of the 30th of November 2024, Asset Turnover is likely to grow to 0.20, while Total Assets are likely to drop about 81.3 M.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 5.39 | 5.65 | |
| Tangible Book Value Per Share | 5.37 | 5.10 | |
| Enterprise Value Over EBITDA | 13.29 | 13.95 | |
| Price Book Value Ratio | 1.98 | 3.12 | |
| Enterprise Value Multiple | 13.29 | 13.95 | |
| Price Fair Value | 1.98 | 3.12 | |
| Enterprise Value | 241.4 M | 253.5 M |
The strategic vision of Pure Cycle management plays a critical role in its financial performance. By evaluating this vision, we provide insights into the stock's growth potential.
Beta 0.922 |
Basic technical analysis of Pure Stock
As of the 30th of November, Pure Cycle holds the Semi Deviation of 1.41, risk adjusted performance of 0.1727, and Coefficient Of Variation of 460.93. Compared to fundamental indicators, the technical analysis model allows you to check existing technical drivers of Pure Cycle, as well as the relationship between them.Pure Cycle's insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Pure Cycle insiders, such as employees or executives, is commonly permitted as long as it does not rely on Pure Cycle's material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Pure Cycle insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Pure Cycle's Outstanding Corporate Bonds
Pure Cycle 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. Pure Cycle 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 Pure bonds can be classified according to their maturity, which is the date when Pure Cycle 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.
| MPLX LP 52 Corp BondUS55336VAL45 | View | |
| Morgan Stanley 3591 Corp BondUS61744YAK47 | View |
Understand Pure Cycle's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Pure Cycle'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 | 0.1727 | |||
| Market Risk Adjusted Performance | 0.3373 | |||
| Mean Deviation | 1.72 | |||
| Semi Deviation | 1.41 | |||
| Downside Deviation | 1.81 | |||
| Coefficient Of Variation | 460.93 | |||
| Standard Deviation | 2.44 | |||
| Variance | 5.98 | |||
| Information Ratio | 0.1607 | |||
| Jensen Alpha | 0.3175 | |||
| Total Risk Alpha | 0.1123 | |||
| Sortino Ratio | 0.2165 | |||
| Treynor Ratio | 0.3273 | |||
| Maximum Drawdown | 13.79 | |||
| Value At Risk | (3.22) | |||
| Potential Upside | 4.75 | |||
| Downside Variance | 3.29 | |||
| Semi Variance | 2.0 | |||
| Expected Short fall | (2.00) | |||
| Skewness | 1.5 | |||
| Kurtosis | 5.8 |
| Risk Adjusted Performance | 0.1727 | |||
| Market Risk Adjusted Performance | 0.3373 | |||
| Mean Deviation | 1.72 | |||
| Semi Deviation | 1.41 | |||
| Downside Deviation | 1.81 | |||
| Coefficient Of Variation | 460.93 | |||
| Standard Deviation | 2.44 | |||
| Variance | 5.98 | |||
| Information Ratio | 0.1607 | |||
| Jensen Alpha | 0.3175 | |||
| Total Risk Alpha | 0.1123 | |||
| Sortino Ratio | 0.2165 | |||
| Treynor Ratio | 0.3273 | |||
| Maximum Drawdown | 13.79 | |||
| Value At Risk | (3.22) | |||
| Potential Upside | 4.75 | |||
| Downside Variance | 3.29 | |||
| Semi Variance | 2.0 | |||
| Expected Short fall | (2.00) | |||
| Skewness | 1.5 | |||
| Kurtosis | 5.8 |
Consider Pure Cycle's intraday indicators
Pure Cycle 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 Pure Cycle 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.
Pure Cycle Corporate Filings
F4 | 25th of November 2024 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
8K | 14th of November 2024 Report filed with the SEC to announce major events that shareholders should know about | ViewVerify |
10K | 13th of November 2024 Annual report required by the U.S. Securities and Exchange Commission (SEC) of a company financial performance | ViewVerify |
13A | 12th of November 2024 An amended filing to the original Schedule 13G | ViewVerify |
Pure Stock media impact
Far too much social signal, news, headlines, and media speculation about Pure Cycle that are available to investors today. That information is available publicly through Pure media outlets and privately through word of mouth or via Pure internal channels. However, regardless of the origin, that massive amount of Pure 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 Pure Cycle 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 Pure Cycle 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 Pure Cycle's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Pure Cycle alpha.
Pure Cycle Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Pure Cycle 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.
Pure Cycle Corporate Executives
Elected by the shareholders, the Pure Cycle's board of directors comprises two types of representatives: Pure Cycle inside directors who are chosen from within the company, and outside directors, selected externally and held independent of Pure. The board's role is to monitor Pure Cycle's management team and ensure that shareholders' interests are well served. Pure Cycle's inside directors are responsible for reviewing and approving budgets prepared by upper management to implement core corporate initiatives and projects. On the other hand, Pure Cycle's outside directors are responsible for providing unbiased perspectives on the board's policies.
| Marc Spezialy | CFO VP | Profile |
Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Pure Cycle. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in manufacturing. To learn how to invest in Pure Stock, please use our How to Invest in Pure Cycle guide.You can also try the Share Portfolio module to track or share privately all of your investments from the convenience of any device.
Is Water Utilities 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 Pure Cycle. If investors know Pure 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 Pure Cycle 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 5.767 | Earnings Share 0.48 | Revenue Per Share 1.194 | Quarterly Revenue Growth 2.729 | Return On Assets 0.0545 |
The market value of Pure Cycle is measured differently than its book value, which is the value of Pure that is recorded on the company's balance sheet. Investors also form their own opinion of Pure Cycle's value that differs from its market value or its book value, called intrinsic value, which is Pure Cycle'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 Pure Cycle's market value can be influenced by many factors that don't directly affect Pure Cycle'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 Pure Cycle's value and its price, as these two are different measures arrived at by various means. Investors typically determine if Pure Cycle is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Pure Cycle'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.