Freightcar America Shares Owned By Institutions vs. Cash And Equivalents
| RAIL Stock | USD 9.80 0.03 0.31% |
For Freightcar America profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Freightcar America to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Freightcar America utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Freightcar America's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Freightcar America over time as well as its relative position and ranking within its peers.
Freightcar |
Freightcar America's Revenue Breakdown by Earning Segment
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Is Construction Machinery & Heavy Transportation Equipment 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 Freightcar America. If investors know Freightcar 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 Freightcar America listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (4.31) | Revenue Per Share 16.728 | Quarterly Revenue Growth 0.664 | Return On Assets 0.0577 | Return On Equity (0.09) |
The market value of Freightcar America is measured differently than its book value, which is the value of Freightcar that is recorded on the company's balance sheet. Investors also form their own opinion of Freightcar America's value that differs from its market value or its book value, called intrinsic value, which is Freightcar America'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 Freightcar America's market value can be influenced by many factors that don't directly affect Freightcar America's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Freightcar America's value and its price as these two are different measures arrived at by different means. Investors typically determine if Freightcar America is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Freightcar America'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.
Freightcar America Cash And Equivalents vs. Shares Owned By Institutions Fundamental Analysis
Comparative valuation techniques use various fundamental indicators to help in determining Freightcar America's current stock value. Our valuation model uses many indicators to compare Freightcar America value to that of its competitors to determine the firm's financial worth. Freightcar America is rated below average in shares owned by institutions category among its peers. It is rated below average in cash and equivalents category among its peers creating about 579,557 of Cash And Equivalents per Shares Owned By Institutions. Comparative valuation analysis is a catch-all technique that is used if you cannot value Freightcar America by discounting back its dividends or cash flows. It compares the stock's price multiples to nearest competition to determine if the stock is relatively undervalued or overvalued.Freightcar Cash And Equivalents vs. Shares Owned By Institutions
Shares Owned by Institutions show the percentage of the outstanding shares of stock issued by a company that is currently owned by other institutions such as asset management firms, hedge funds, or investment banks. Many investors like investing in companies with a large percentage of the firm owned by institutions because they believe that larger firms such as banks, pension funds, and mutual funds, will invest when they think that good things are going to happen.
Freightcar America |
| = | 30.37 % |
Since Institution investors conduct a lot of independent research they tend to be more involved and usually more knowledgeable about entities they invest as compared to amateur investors.
Cash or Cash Equivalents are the most liquid of all assets found on the company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of the overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
Freightcar America |
| = | 17.6 M |
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually three months).
Freightcar Cash And Equivalents Comparison
Freightcar America is currently under evaluation in cash and equivalents category among its peers.
Freightcar America Profitability Projections
The most important aspect of a successful company is its ability to generate a profit. For investors in Freightcar America, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Freightcar America will eventually generate negative long term returns. The profitability progress is the general direction of Freightcar America's change in net profit over the period of time. It can combine multiple indicators of Freightcar America, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
| Last Reported | Projected for Next Year | ||
| Accumulated Other Comprehensive Income | 2.4 M | 2.5 M | |
| Operating Income | 10.5 M | 5.3 M | |
| Income Before Tax | -22.1 M | -21 M | |
| Total Other Income Expense Net | -32.6 M | -31 M | |
| Net Loss | -23.6 M | -22.4 M | |
| Income Tax Expense | 1.5 M | 1.4 M | |
| Net Loss | -35 M | -33.2 M | |
| Net Loss | -30.5 M | -32 M | |
| Non Operating Income Net Other | 4.5 M | 4.7 M | |
| Interest Income | 700.4 K | 735.4 K | |
| Net Interest Income | -20.9 M | -19.8 M | |
| Change To Netincome | 736 K | 699.2 K | |
| Net Loss | (0.83) | (0.79) | |
| Income Quality | (0.20) | (0.19) | |
| Net Income Per E B T | 1.07 | 0.66 |
Freightcar Profitability Driver Comparison
Profitability drivers are factors that can directly affect your investment outlook on Freightcar America. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Freightcar America position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Freightcar America's important profitability drivers and their relationship over time.
Use Freightcar America in pair-trading
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Freightcar America position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Freightcar America will appreciate offsetting losses from the drop in the long position's value.Freightcar America Pair Trading
Freightcar America Pair Trading Analysis
The ability to find closely correlated positions to Freightcar America could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Freightcar America when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Freightcar America - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Freightcar America to buy it.
The correlation of Freightcar America is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Freightcar America moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Freightcar America moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Freightcar America can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Use Investing Themes to Complement your Freightcar America position
In addition to having Freightcar America in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Large corporations operating in software, education, financial and car manufacturing industries. The Momentum theme has 40 constituents at this time.
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Check out Your Equity Center. For more information on how to buy Freightcar Stock please use our How to buy in Freightcar Stock guide.You can also try the Portfolio Center module to all portfolio management and optimization tools to improve performance of your portfolios.
To fully project Freightcar America's future profitability, investors should examine all historical financial statements. These statements provide investors with a comprehensive snapshot of the financial position of Freightcar America at a specified time, usually calculated after every quarter, six months, or one year. Three primary documents fall into the category of financial statements. These documents include Freightcar America's income statement, its balance sheet, and the statement of cash flows.