Lien Hwa (Taiwan) Buy Hold or Sell Recommendation

1229 Stock  TWD 58.40  0.40  0.68%   
Assuming the 90 days trading horizon and your above-average risk tolerance, our recommendation regarding Lien Hwa Industrial is 'Cautious Hold'. A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Lien Hwa Industrial given historical horizon and risk tolerance towards Lien Hwa. When Macroaxis issues a 'buy' or 'sell' recommendation for Lien Hwa Industrial, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Lien Hwa Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note, we conduct extensive research on individual companies such as Lien and provide practical buy, sell, or hold advice based on investors' constraints. Lien Hwa Industrial. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.

Execute Lien Hwa Buy or Sell Advice

The Lien recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Lien Hwa Industrial. Macroaxis does not own or have any residual interests in Lien Hwa Industrial or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Lien Hwa's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell Lien HwaBuy Lien Hwa
Cautious Hold

Market Performance

Very WeakDetails

Volatility

Very steadyDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Barely shadows the marketDetails

Analyst Consensus

Not AvailableDetails

Reporting Quality (M-Score)

InapplicableDetails
For the selected time horizon Lien Hwa Industrial has a Mean Deviation of 0.5362, Standard Deviation of 0.7837 and Variance of 0.6142
Our trade recommendations module provides unbiased advice that can be used to complement current average analyst sentiment on Lien Hwa. Our trade recommendations engine provides an advice for the company potential to grow from the perspective of an investor's risk tolerance and investing horizon. To make sure Lien Hwa Industrial is not overpriced, please verify all Lien Hwa Industrial fundamentals, including its operating margin, shares outstanding, and the relationship between the profit margin and current valuation .

Lien Hwa Trading Alerts and Improvement Suggestions

Lien Hwa Industrial generated a negative expected return over the last 90 days
Lien Hwa Industrial has accumulated 1.2 B in total debt with debt to equity ratio (D/E) of 0.21, which may suggest the company is not taking enough advantage from borrowing. Lien Hwa Industrial has a current ratio of 0.76, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Lien Hwa until it has trouble settling it off, either with new capital or with free cash flow. So, Lien Hwa's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Lien Hwa Industrial sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Lien to invest in growth at high rates of return. When we think about Lien Hwa's use of debt, we should always consider it together with cash and equity.
About 46.0% of Lien Hwa shares are owned by insiders or employees

Lien Hwa Returns Distribution Density

The distribution of Lien Hwa's historical returns is an attempt to chart the uncertainty of Lien Hwa's future price movements. The chart of the probability distribution of Lien Hwa daily returns describes the distribution of returns around its average expected value. We use Lien Hwa Industrial price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Lien Hwa returns is essential to provide solid investment advice for Lien Hwa.
Mean Return
-0.08
Value At Risk
-1.17
Potential Upside
1.16
Standard Deviation
0.78
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Lien Hwa historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Lien Hwa Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Lien Hwa or Food Products sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Lien Hwa's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Lien stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over Dow Jones
-0.11
β
Beta against Dow Jones0.13
σ
Overall volatility
0.79
Ir
Information ratio -0.27

Lien Hwa Volatility Alert

Lien Hwa Industrial exhibits very low volatility with skewness of 0.38 and kurtosis of 3.52. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Lien Hwa'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 Lien Hwa'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.

Lien Hwa Fundamentals Vs Peers

Comparing Lien Hwa's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Lien Hwa's direct or indirect competition across all of the common fundamentals between Lien Hwa and the related equities. This way, we can detect undervalued stocks with similar characteristics as Lien Hwa or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Lien Hwa's fundamental indicators could also be used in its relative valuation, which is a method of valuing Lien Hwa by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Lien Hwa to competition
FundamentalsLien HwaPeer Average
Return On Equity0.0946-0.31
Return On Asset0.0159-0.14
Profit Margin0.30 %(1.27) %
Operating Margin0.13 %(5.51) %
Current Valuation82.26 B16.62 B
Shares Outstanding1.47 B571.82 M
Shares Owned By Insiders45.95 %10.09 %
Shares Owned By Institutions5.43 %39.21 %
Price To Earning19.16 X28.72 X
Price To Book2.07 X9.51 X
Price To Sales5.81 X11.42 X
Revenue11.32 B9.43 B
Gross Profit2.52 B27.38 B
EBITDA5.26 B3.9 B
Net Income4.09 B570.98 M
Cash And Equivalents3.93 B2.7 B
Cash Per Share2.80 X5.01 X
Total Debt1.2 B5.32 B
Debt To Equity0.21 %48.70 %
Current Ratio0.78 X2.16 X
Book Value Per Share24.03 X1.93 K
Cash Flow From Operations1.93 B971.22 M
Earnings Per Share2.53 X3.12 X
Target Price60.0
Number Of Employees2018.84 K
Beta0.47-0.15
Market Capitalization78.74 B19.03 B
Total Asset71.67 B29.47 B
Retained Earnings8.32 B9.33 B
Working Capital(804 M)1.48 B
Current Asset3.74 B9.34 B
Current Liabilities4.55 B7.9 B
Z Score39.08.72

Lien Hwa Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Lien . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Lien Hwa Buy or Sell Advice

When is the right time to buy or sell Lien Hwa Industrial? Buying financial instruments such as Lien Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.

Use Investing Ideas to Build Portfolios

In addition to having Lien Hwa 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.

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Additional Tools for Lien Stock Analysis

When running Lien Hwa's price analysis, check to measure Lien Hwa's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Lien Hwa is operating at the current time. Most of Lien Hwa's value examination focuses on studying past and present price action to predict the probability of Lien Hwa's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Lien Hwa's price. Additionally, you may evaluate how the addition of Lien Hwa to your portfolios can decrease your overall portfolio volatility.