Margin Breakdown
0.088
Operating Profit Margin
0.0609
Net Profit Margin
0.0759
Pretax Profit Margin
| Pretax Profit Margin | 0.0759 | |
| Operating Profit Margin | 0.088 | |
| Net Profit Margin | 0.0609 | |
| Gross Profit Margin | 0.47 |
Our projection for Helen Of (USA Stocks:HELE) in August
 | By Raphi Shpitalnik | Macroaxis Story |
In the world of investing, it's often said that the trend is your friend until it ends. This seems to be the case with Helen of Troy (USA Stocks: HELE), a company in the Consumer Defensive sector, specifically within the Household Durables category. Despite the company's strong fundamentals, such as an EPS Estimate of 9.72 for next year and a current year EPS Estimate of 8.75, the market has shown signs of a potential downturn. With a 52 Week High of 143.68, the company's typical day price has slid down to 89.03. This trend is further confirmed by the 50 Day MA and 200 Day MA standing at 99.69 and 109.32 respectively, indicating a bearish momentum. The company's short percent stands at 0.19, suggesting that some investors are anticipating further declines. Given the current market conditions and the company's possible downside price of 85.12, there may be a potential short opportunity in August for investors. However, caution should be exercised as the company's Beta of 0.84 suggests it's less volatile than the overall market. Furthermore, despite the negative outlook, Wall Street still maintains a target price of 129, suggesting a potential upside in the longer term. Currently, Helen of Troy's Enterprise Value is anticipated to decrease significantly, based on the past few years' reports. The current year's Book Value Per Share is projected to increase to 72.04, while the Price-to-Book Ratio is expected to drop to 1.46. This brief article will evaluate Helen of Troy as a potential investment option for your portfolios, offering insights into the company's future direction.
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Reviewed by Rifka Kats
Helen of Troy (HELE) has been showing signs of a potential downtrend, with a Jensen Alpha of -0.33 indicating a negative expected return relative to the market risk. Coupled with a high short ratio of 12.85, which suggests that investors are anticipating a price decrease, this could present a short opportunity for traders in August.
Main Takeaways
Helen of Troy has a beta of 1.1646, indicating that its returns are likely to rise less than the market during bullish periods, but also fall less during bearish periods. The beta value helps investors gauge if Helen of Troy's movements align with the broader market and assess its volatility or risk relative to the market benchmark. Essentially, if Helen of Troy's deviation from the market is minimal, it adds little risk to the portfolio, but also doesn't significantly boost expected returns.There are currently many different techniques concerning forecasting the market as a whole as well as predicting future values of individual securities such as Helen of Troy. Regardless of method or technology, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Predictive Modules for Helen Of
How important is Helen Of's Liquidity
Helen Of financial leverage refers to using borrowed capital as a funding source to finance Helen of Troy ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Helen Of 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 Helen Of'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 Helen Of'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 Helen Of's total debt and its cash.
Helen Of Gross Profit
Helen Of Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Helen Of previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Helen Of Gross Profit growth over the last 10 years. Please check Helen Of's gross profit and other fundamental indicators for more details.
An Additional Perspective On Helen of Troy
Helen of Troy exhibits very low volatility with skewness of -1.19 and kurtosis of 5.13. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Helen Of's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Helen Of'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 financial instruments as prices fall.
"As the saying goes, 'the trend is your friend,' but for Helen of Troy (NASDAQ: HELE), the trend seems to be a foe. The company's stock, currently trading at a typical day price of $89.03, is showing signs of a further downtrend in August, making it a potential short opportunity for savvy investors. Despite a 52-week high of $143.68, the stock's negative risk-adjusted performance of -0.09 and a daily balance of power at -0.79 indicate bearish sentiment. Additionally, the company's high kurtosis of 5.13 suggests a higher probability of extreme price movements, further supporting the potential for a continued downtrend. While Helen of Troy's current ratio of 2.12X and net assets of $2.84B demonstrate financial stability, the current market conditions and price action indicators suggest that shorting the stock could be a profitable strategy in the short term.".
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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 Helen of Troy. Please refer to our Terms of Use for any information regarding our disclosure principles.