The stock is currently undergoing an active upward rally. As many millenniums are trying to avoid consumer defensive space, it makes sense to review Tarena Intl ADR a little further and try to understand its current market patterns. Here we also measure the ability of Tarena Intl to meet its long-term debt obligations, such as interest payments on debt, the final principal payment on the debt, and any other fixed obligations like lease payments.
Tarena Intl
financial leverage refers to using borrowed capital as a funding source to finance Tarena Intl Adr ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Tarena Intl 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 Tarena Intl'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 Tarena Intl'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 Tarena Intl's total debt and its cash.
To perform a cash flow analysis of Tarena Intl, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Tarena Intl is receiving and how much cash it distributes out in a given period. The Tarena Intl cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.
The entity reported the previous year's revenue of 1.9
B. Net Loss for the year was (766.64
M) with profit before overhead, payroll, taxes, and interest of 831.04
M.
Over 3 percent gain for Tarena Intl. What does it mean for private investors?
Newest Sortino Ratio is up to 0.06. Price may drop again. Tarena Intl ADR currently demonstrates below-average downside deviation. It has Information Ratio of 0.05 and Jensen Alpha of 0.2. However, we advise investors to further question Tarena Intl ADR expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Tarena Intl'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 Tarena Intl'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 Final Take On Tarena Intl
Whereas some other companies within the education & training services industry are still a little expensive, even after the recent corrections, Tarena Intl may offer a potential longer-term growth to private investors. With an impartial outlook on the current market volatility, it may be better to hold off any inventment activity and neither acquire nor exit any shares of Tarena Intl at this time. The Tarena Intl ADR risk-reward trade off 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 Tarena Intl.
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Try AI Portfolio ArchitectVlad 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 Tarena Intl Adr. Please refer to our
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