American Defense holds a performance score of 8 on a scale of zero to a hundred. The firm shows a Beta (market volatility) of -19.67, which signifies a somewhat significant risk relative to the market. As returns on the market increase, returns on owning American Defense are expected to decrease by larger amounts. On the other hand, during market turmoil, American Defense is expected to outperform it. Use American Defense information ratio, as well as the relationship between the daily balance of power and relative strength index , to analyze future returns on American Defense.
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Compared to the overall equity markets, risk-adjusted returns on investments in American Defense Systems are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain technical and fundamental indicators, American Defense unveiled solid returns over the last few months and may actually be approaching a breakup point. ...more
Price Earnings Ratio
0.1
Total Cashflows From Investing Activities
62 K
Discontinued Operations
-26.7 K
American
American Defense Relative Risk vs. Return Landscape
If you would invest 0.01 in American Defense Systems on September 29, 2025 and sell it today you would earn a total of 0.00 from holding American Defense Systems or generate 0.0% return on investment over 90 days. American Defense Systems is currently generating 13.8462% in daily expected returns and assumes 124.8461% risk (volatility on return distribution) over the 90 days horizon. In different words, most equities are less risky than American, and most traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon.
Expected Return
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Given the investment horizon of 90 days American Defense is expected to generate 176.69 times more return on investment than the market. However, the company is 176.69 times more volatile than its market benchmark. It trades about 0.11 of its potential returns per unit of risk. The Dow Jones Industrial is currently generating roughly 0.12 per unit of risk.
American Defense Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for American Defense's investment risk. Standard deviation is the most common way to measure market volatility of pink sheets, such as American Defense Systems, and traders can use it to determine the average amount a American Defense's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.1109
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Based on monthly moving average American Defense is performing at about 8% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of American Defense by adding it to a well-diversified portfolio.
American Defense Fundamentals Growth
American Pink Sheet prices reflect investors' perceptions of the future prospects and financial health of American Defense, and American Defense fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on American Pink Sheet performance.
Assessing American Defense's fundamental ratios provides investors with valuable insights into American Defense's financial health and overall profitability. This information is crucial for making informed investment decisions. A high ROA would indicate that the American Defense is effectively leveraging its assets and equity to generate significant profits, making it an appealing investment. Conversely, low Return on Assets could signal underlying management issues in assets and equity, indicating a necessity for operational refinements. Please also refer to our technical analysis and fundamental analysis pages.
American Defense Systems, Inc., together with its subsidiaries, engages in the design and supply of transparent and opaque armor solutions for military and commercial applications. The company was founded in 1994 and is headquartered in Lillington, North Carolina. American Defense operates under Aerospace Defense classification in the United States and is traded on OTC Exchange. It employs 24 people.
Things to note about American Defense Systems performance evaluation
Checking the ongoing alerts about American Defense for important developments is a great way to find new opportunities for your next move. Pink Sheet alerts and notifications screener for American Defense Systems help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
American Defense is way too risky over 90 days horizon
American Defense has some characteristics of a very speculative penny stock
American Defense appears to be risky and price may revert if volatility continues
American Defense has high likelihood to experience some financial distress in the next 2 years
The company has a current ratio of 0.51, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Debt can assist American Defense until it has trouble settling it off, either with new capital or with free cash flow. So, American Defense'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 American Defense Systems sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for American to invest in growth at high rates of return. When we think about American Defense's use of debt, we should always consider it together with cash and equity.
American Defense Systems reported the previous year's revenue of 6.13 M. Net Loss for the year was (1.06 M) with profit before overhead, payroll, taxes, and interest of 3.37 M.
American Defense Systems currently holds about 150.74 K in cash with (154.53 K) of positive cash flow from operations.
Roughly 13.0% of the company shares are held by company insiders
Evaluating American Defense's performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate American Defense's pink sheet performance include:
Analyzing American Defense's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether American Defense's stock is overvalued or undervalued compared to its peers.
Examining American Defense's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
Evaluating American Defense's management team can have a significant impact on its success or failure. Reviewing the track record and experience of American Defense's management team can help you assess the Company's leadership.
Pay attention to analyst opinions and ratings of American Defense's pink sheet. These opinions can provide insight into American Defense's potential for growth and whether the stock is currently undervalued or overvalued.
It's essential to remember that evaluating American Defense's pink sheet performance is not an exact science, and many factors can impact American Defense's pink sheet market price. Therefore, it's also important to diversify your portfolio and not rely solely on one company or stock for your investments.
Additional Tools for American Pink Sheet Analysis
When running American Defense's price analysis, check to measure American Defense'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 American Defense is operating at the current time. Most of American Defense's value examination focuses on studying past and present price action to predict the probability of American Defense's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move American Defense's price. Additionally, you may evaluate how the addition of American Defense to your portfolios can decrease your overall portfolio volatility.