When it comes to playing the market, timing is everything. Invesco Plc, a prominent player in the Financial Services sector, particularly in the Capital Markets, is currently a hot topic among top analysts. With a return on assets of 1.77% and a forward dividend rate of 0.82, it presents a compelling case for investment. Despite a net income loss of $96.9M and income before tax loss of $237.9M, the company has shown resilience with a quarterly revenue growth of 4%. The 52-week high and low of $18.04 and $12.13 respectively, indicate a reasonable range of volatility. The analyst consensus leans towards a 'Buy' with two strong buy recommendations and an estimated target price of $15.94. However, potential investors should note the downside deviation of 2.13 and a negative Jensen Alpha of 0.01, indicating some level of risk. In conclusion, following the lead of Invesco Plc's top analysts could be a smart move, but as always, careful consideration of all factors is advised. Invesco Plc is set to release its earnings report today, with the subsequent financial report anticipated on July 23, 2024. Given the growing interest in the capital markets sector, it's worthwhile to delve deeper into Invesco Plc. I will discuss why investors have overlooked this company since the onset of the current economic climate.
Invesco Plc has a performance score of 1 out of 100. The company's Market Volatility, or Beta, is 1.09, indicating a somewhat significant risk compared to the market. Invesco Plc's returns are highly sensitive to market fluctuations, meaning the company's performance is likely to mirror market trends. Currently, Invesco Plc carries a risk of 1.7%. It's advisable to examine Invesco Plc's downside variance and the correlation between the daily balance of power and period momentum indicator to determine if the company will continue its current trend.
Main Considerations
Given Invesco Plc's negative Jensen Alpha of -0.01 and a profit margin indicating a loss of 2%, it might be prudent to exercise caution when considering this stock. Despite a potential upside of 2.49, the company's operating income stands at a significant loss of $434.8 million, which could impact its long-term financial stability.Invesco Plc
financial leverage refers to using borrowed capital as a funding source to finance Invesco Plc ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Invesco Plc 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 Invesco Plc'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 Invesco Plc'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 Invesco Plc's total debt and its cash.
Is Invesco a risky opportunity?
Let's check the volatility. Invesco is looking slightly risky at this time. Whether you invest your money or manage your clients' funds, remember that it is easy to forget that behind Invesco (USA Stocks:IVZ) stock is an actual business venture. So, do not let stock picking become an abstract concept by ignoring the elementary risk calculations. acquiring a share of an Invesco Plc stock makes you a part-owner of that company.
Invesco Plc Current Consensus
Here is the current trade recommendation based on an ongoing consensus estimate among financial analysis covering Invesco Plc. The Invesco consensus assessment is calculated by taking the average estimates from all of the analysts covering Invesco Plc.
| Strong Buy | 2 | 13.33 |
| Buy | 0 | 0.0 |
| Hold | 13 | 86.67 |
| Sell | 0 | 0.0 |
| Strong Sell | 0 | 0.0 |
"Buy low, sell high" is a well-known investment adage that may apply to Invesco Plc. Despite a challenging year with a net income loss of $96.9M and operating income loss of $434.8M, the asset management firm has shown resilience with a current ratio of 5.65X, indicating a strong ability to meet short-term obligations. The firm's shares are currently trading around $15.72, below the 52-week high of $18.04, and analysts have set a target price of $16.69, suggesting potential upside. However, with a probability of bankruptcy at 43.79%, investors should tread carefully. The decision to follow the lead of Invesco's top analysts should be based on a thorough evaluation of the company's financial health and market conditions.
Another small slide for Invesco Plc
Invesco Plc is currently experiencing a slight downturn, despite a Sortino ratio of 0.0. This ratio, which measures risk-adjusted return, suggests that Invesco is neither outperforming nor underperforming the market when considering downside risk. This implies that the company's investment strategy isn't yielding significant excess returns. Therefore, investors should be cautious and consider other factors before deciding on Invesco Plc. As of May 23, Invesco Plc has a Downside Deviation of 2.13, a market risk adjusted performance of 0.0369, and a Risk Adjusted Performance of 0.0208. Using technical analysis, you can employ historical prices and volume momentum to predict the firm's future prices. We've analyzed nineteen technical drivers for Invesco Plc, which can be compared to its rivals. Please review Invesco Plc's information ratio and downside variance to determine if it's fairly priced at its current share price of 15.61. Given Invesco Plc's Jensen Alpha of -0.01, we strongly recommend confirming its regular market performance to ensure its future sustainability.
When is the right time to buy or sell Invesco Plc? Buying stocks such as Invesco Plc isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
With a relatively neutral outlook on the current economy, it is better to hold off any trading of Invesco as the current risk-reward utility is not appealing enough. 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 Invesco Plc.
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 Invesco Plc. Please refer to our
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