Asset utilization measures how effectively a company uses its assets to generate revenue. For E2open Parent Holdings, the recent return on assets indicates inefficient asset use as of January. The company has a profit margin of -0.5%, hinting at challenges in executing pricing strategies or managing operational costs. This figure is significantly below average. Additionally, the operating margin stands at -0.08%, meaning for every $100 in sales, the company incurs an operating loss of $0.08. These metrics suggest E2open may need to reassess its operational efficiency and cost management strategies.
Primary Points
E2open Parent Holdings is capturing attention as a stock that embodies the classic 'challenge into opportunity' narrative for savvy investors. Despite experiencing a price change of
-0.06 and a low price point of
2.74, this software application company is a prime example of a market player that could potentially reward those willing to take calculated risks. With a high trading volume of
835.1K, the stock's volatility might be daunting to some, but it also presents an exciting chance for those who see the potential in navigating the ups and downs of the market.
The successful prediction of E2open Parent
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as E2open Parent Holdings, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of E2open Parent based on E2open Parent hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to E2open Parent's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to E2open Parent's related companies.
Use Technical Analysis to project E2open expected Price
E2open Parent technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of E2open Parent technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of E2open Parent trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...E2open Parent Gross Profit
E2open Parent Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing E2open Parent 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 E2open Parent Gross Profit growth over the last 10 years. Please check E2open Parent's
gross profit and other
fundamental indicators for more details.
Another Outlook On E2open Parent
The big decline in price over the last few months for E2open Parent Holdings could raise concerns from investors as the entity is trading at a share price of
2.77 on
835,135 in volume. The company executives failed to add value to investors and position the entity supply of money to exploit market volatility in
December. However, diversifying your holdings with E2open Parent Holdings or similar stocks can still protect your portfolios during high-volatility market scenarios. The stock standard deviation of daily returns for 90 days investing horizon is currently 3.93. The above-average risk is mostly attributed to market volatility and speculations regarding some of the upcoming earning calls from E2open Parent partners.
Current Deferred Revenue Breakdown
E2open Parent Current Deferred Revenue yearly trend continues to be very stable with very little volatility. Current Deferred Revenue is likely to drop to about 184.7
M. Current Deferred Revenue usually refers to revenue that has been collected but not yet earned, typically from prepaid service contracts or subscriptions. This amount is considered a liability until the service is provided or the subscription period ends. At this time, E2open Parent's Current Deferred Revenue is very stable compared to the past year.
| 2010 | 89.69 Million |
| 2021 | 190.99 Million |
| 2022 | 203.82 Million |
| 2023 | 213.14 Million |
| 2024 | 245.11 Million |
| 2025 | 184.73 Million |
Warren Buffett once said, "Be fearful when others are greedy and greedy when others are fearful." This sentiment rings true for E2open Parent Holdings, a company that, despite facing significant challenges, presents intriguing opportunities for investors. With a market capitalization of $874.54 million and a gross profit of $431.27 million, E2open demonstrates a solid foundation in the software application industry. However, the high probability of bankruptcy at 73.51% and a current ratio of 0.77X indicate financial vulnerabilities that cannot be ignored. Investors might find the company's low price-to-book ratio of 0.60X appealing, suggesting potential undervaluation, but they should remain cautious and conduct thorough due diligence before diving in.
Will E2open price decline impact its balance sheet?
E2open Parent Holdings recently faced a notable drawdown of 23.87%, sparking concerns about its potential impact on the company's financial health. While stock price changes don't directly affect financial statements, such a decline can sway investor sentiment and complicate efforts to raise capital or refinance debt. If the market views this drop as indicative of deeper issues, it could lead to increased scrutiny from creditors and investors, potentially limiting financial flexibility. It's essential for E2open to tackle any operational or strategic challenges to reassure stakeholders and stabilize its market position.
Despite its low volatility, with a skewness of -2.62 and kurtosis of 13.27, understanding these metrics can help investors navigate market trends and manage risk, especially during volatile periods.Considering the recent developments, E2open Parent Holdings might not be as risky as it initially appears. While the market value sits at
2.77, slightly below its real value of
3.28, this discrepancy suggests a potential opportunity for value investors. Analysts have a consensus to hold, with the lowest estimated target price at 3.21, indicating that the stock might have room to grow. Despite some negative headlines, the fundamentals suggest that the situation isn't as dire as it seems, making it a stock worth keeping an eye on for those willing to weather short-term volatility..
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Rifka Kats is a Member of Macroaxis Editorial Board. Rifka writes about retail product and service companies from the perspective of a regular consumer and sophisticated investor at the same time. She is passionate about corporate ethics and equality in the workforce.
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