Sonae SGPS (Portugal) Buy Hold or Sell Recommendation
| SON Stock | EUR 0.93 0.01 1.09% |
Assuming the 90 days trading horizon and your conservative risk appetite, our recommendation regarding Sonae SGPS SA is 'Strong Sell'. A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Sonae SGPS SA given historical horizon and risk tolerance towards Sonae SGPS. When Macroaxis issues a 'buy' or 'sell' recommendation for Sonae SGPS SA, the advice is generated through an automated system that utilizes algorithms and statistical models.
Check out Sonae SGPS 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 Sonae and provide practical buy, sell, or hold advice based on investors' constraints. Sonae SGPS SA. 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.
Sonae |
Execute Sonae SGPS Buy or Sell Advice
The Sonae recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Sonae SGPS SA. Macroaxis does not own or have any residual interests in Sonae SGPS SA or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Sonae SGPS's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Unstable | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
Sonae SGPS Trading Alerts and Improvement Suggestions
| Sonae SGPS SA generated a negative expected return over the last 90 days | |
| Sonae SGPS SA has some characteristics of a very speculative penny stock | |
| Sonae SGPS SA has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Sonae SGPS SA has accumulated 1.1 B in total debt with debt to equity ratio (D/E) of 110.9, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Sonae SGPS SA has a current ratio of 0.63, 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 Sonae SGPS until it has trouble settling it off, either with new capital or with free cash flow. So, Sonae SGPS'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 Sonae SGPS SA sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Sonae to invest in growth at high rates of return. When we think about Sonae SGPS's use of debt, we should always consider it together with cash and equity. | |
| About 58.0% of Sonae SGPS outstanding shares are owned by corporate insiders |
Sonae SGPS Returns Distribution Density
The distribution of Sonae SGPS's historical returns is an attempt to chart the uncertainty of Sonae SGPS's future price movements. The chart of the probability distribution of Sonae SGPS daily returns describes the distribution of returns around its average expected value. We use Sonae SGPS SA price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Sonae SGPS returns is essential to provide solid investment advice for Sonae SGPS.
| Mean Return | -0.03 | Value At Risk | -1.09 | Potential Upside | 1.10 | Standard Deviation | 0.80 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Sonae SGPS 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.
Sonae SGPS 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 Sonae SGPS or Consumer Cyclical 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 Sonae SGPS'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 Sonae 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 | -0.02 | |
β | Beta against Dow Jones | -0.14 | |
σ | Overall volatility | 0.81 | |
Ir | Information ratio | -0.2 |
Sonae SGPS Volatility Alert
Sonae SGPS SA exhibits very low volatility with skewness of 0.29 and kurtosis of 0.88. Sonae SGPS SA is a potential penny stock. Although Sonae SGPS may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Sonae SGPS SA. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Sonae instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.Sonae SGPS Fundamentals Vs Peers
Comparing Sonae SGPS'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 Sonae SGPS's direct or indirect competition across all of the common fundamentals between Sonae SGPS and the related equities. This way, we can detect undervalued stocks with similar characteristics as Sonae SGPS or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Sonae SGPS's fundamental indicators could also be used in its relative valuation, which is a method of valuing Sonae SGPS by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Sonae SGPS to competition |
| Fundamentals | Sonae SGPS | Peer Average |
| Return On Equity | 0.11 | -0.31 |
| Return On Asset | 0.0248 | -0.14 |
| Profit Margin | 0.04 % | (1.27) % |
| Operating Margin | 0.04 % | (5.51) % |
| Current Valuation | 4.01 B | 16.62 B |
| Shares Outstanding | 1.92 B | 571.82 M |
| Shares Owned By Insiders | 57.96 % | 10.09 % |
| Shares Owned By Institutions | 12.12 % | 39.21 % |
| Price To Earning | 6.99 X | 28.72 X |
| Price To Book | 0.66 X | 9.51 X |
| Price To Sales | 0.23 X | 11.42 X |
| Revenue | 7.02 B | 9.43 B |
| Gross Profit | 1.74 B | 27.38 B |
| EBITDA | 738.94 M | 3.9 B |
| Net Income | 267.65 M | 570.98 M |
| Cash And Equivalents | 580.15 M | 2.7 B |
| Cash Per Share | 0.31 X | 5.01 X |
| Total Debt | 1.1 B | 5.32 B |
| Debt To Equity | 110.90 % | 48.70 % |
| Current Ratio | 0.64 X | 2.16 X |
| Book Value Per Share | 1.33 X | 1.93 K |
| Cash Flow From Operations | 622.82 M | 971.22 M |
| Earnings Per Share | 0.17 X | 3.12 X |
| Target Price | 1.4 | |
| Number Of Employees | 36.29 K | 18.84 K |
| Beta | 1.06 | -0.15 |
| Market Capitalization | 1.8 B | 19.03 B |
| Total Asset | 8.32 B | 29.47 B |
| Z Score | 0.6 | 8.72 |
| Annual Yield | 0.05 % | |
| Net Asset | 8.32 B | |
| Last Dividend Paid | 0.051 |
Sonae SGPS Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Sonae . 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.
| Accumulation Distribution | 8356.0 | |||
| Daily Balance Of Power | 1.0 | |||
| Rate Of Daily Change | 1.01 | |||
| Day Median Price | 0.93 | |||
| Day Typical Price | 0.93 | |||
| Price Action Indicator | 0.01 | |||
| Period Momentum Indicator | 0.01 |
About Sonae SGPS Buy or Sell Advice
When is the right time to buy or sell Sonae SGPS SA? Buying financial instruments such as Sonae 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 Sonae SGPS 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?
Run Recycling Thematic Idea Now
Recycling
West management companies as well as entities specializing in pollution control and recycling. The Recycling theme has 46 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Recycling Theme or any other thematic opportunities.
| View All Next | Launch |
Additional Tools for Sonae Stock Analysis
When running Sonae SGPS's price analysis, check to measure Sonae SGPS'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 Sonae SGPS is operating at the current time. Most of Sonae SGPS's value examination focuses on studying past and present price action to predict the probability of Sonae SGPS's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Sonae SGPS's price. Additionally, you may evaluate how the addition of Sonae SGPS to your portfolios can decrease your overall portfolio volatility.