Rent A Number Of Shares Shorted vs. Operating Margin

RCIIDelisted Stock  USD 26.78  0.51  1.94%   
Based on the key profitability measurements obtained from Rent A's financial statements, Rent A Center may not be well positioned to generate adequate gross income at the moment. It has a very high risk of underperforming in January. Profitability indicators assess Rent A's ability to earn profits and add value for shareholders.
For Rent A profitability analysis, we use financial ratios and fundamental drivers that measure the ability of Rent A to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well Rent A Center utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between Rent A's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of Rent A Center over time as well as its relative position and ranking within its peers.
  
Check out Your Equity Center to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
Please note, there is a significant difference between Rent A's value and its price as these two are different measures arrived at by different means. Investors typically determine if Rent A is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Rent A's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.

Rent A Center Operating Margin vs. Number Of Shares Shorted Fundamental Analysis

Comparative valuation techniques use various fundamental indicators to help in determining Rent A's current stock value. Our valuation model uses many indicators to compare Rent A value to that of its competitors to determine the firm's financial worth.
Rent A Center is currently regarded as top stock in number of shares shorted category among its peers. It also is currently regarded as top stock in operating margin category among its peers . The ratio of Number Of Shares Shorted to Operating Margin for Rent A Center is about  159,336,171 . The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Rent A's earnings, one of the primary drivers of an investment's value.

Rent Operating Margin vs. Number Of Shares Shorted

Number of Shares Shorted is the total amount of shares that are currently sold short by investors. When a stock is sold short, the short seller assumes the responsibility of repurchasing the stock at a lower price. The speculator will make money if the stock goes down in price or will experience a loss if the stock price goes up.

Rent A

Shares Shorted

 = 

Shorted by Public

+

by Institutions

 = 
5.58 M
If a large number of investors decide to short sell an equity instrument within a small period of time, their combined action can significantly affect the price of the stock.
Operating Margin shows how much operating income a company makes on each dollar of sales. It is one of the profitability indicators which helps analysts to understand whether the firm is successful or not making money from everyday operations.

Rent A

Operating Margin

 = 

Operating Income

Revenue

X

100

 = 
0.04 %
A good Operating Margin is required for a company to be able to pay for its fixed costs or payout its debt, which implies that the higher the margin, the better. This ratio is most effective in evaluating the earning potential of a company over time when comparing it against a firm's competitors.

Rent Operating Margin Comparison

Rent A is currently under evaluation in operating margin category among its peers.

Rent A Profitability Projections

The most important aspect of a successful company is its ability to generate a profit. For investors in Rent A, profitability is also one of the essential criteria for including it into their portfolios because, without profit, Rent A will eventually generate negative long term returns. The profitability progress is the general direction of Rent A's change in net profit over the period of time. It can combine multiple indicators of Rent A, where stable trends show no significant progress. An accelerating trend is seen as positive, while a decreasing one is unfavorable. A rising trend means that profits are rising, and operational efficiency may be rising as well. A decreasing trend is a sign of poor performance and may indicate upcoming losses.
Rent-A-Center, Inc., together with its subsidiaries, leases household durable goods to customers on a lease-to-own basis. Rent-A-Center, Inc. was founded in 1960 and is headquartered in Plano, Texas. Rent A operates under Rental Leasing Services classification in the United States and is traded on NASDAQ Exchange. It employs 14290 people.

Rent Profitability Driver Comparison

Profitability drivers are factors that can directly affect your investment outlook on Rent A. Investors often realize that things won't turn out the way they predict. There are maybe way too many unforeseen events and contingencies during the holding period of Rent A position where the market behavior may be hard to predict, tax policy changes, gold or oil price hikes, calamities change, and many others. The question is, are you prepared for these unexpected events? Although some of these situations are obviously beyond your control, you can still follow the important profit indicators to know where you should focus on when things like this occur. Below are some of the Rent A's important profitability drivers and their relationship over time.

Use Rent A in pair-trading

One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Rent A position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Rent A will appreciate offsetting losses from the drop in the long position's value.

Rent A Pair Trading

Rent A Center Pair Trading Analysis

The ability to find closely correlated positions to Rent A could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Rent A when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Rent A - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Rent A Center to buy it.
The correlation of Rent A is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Rent A moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Rent A Center moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Rent A can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.
Pair CorrelationCorrelation Matching

Use Investing Themes to Complement your Rent A position

In addition to having Rent A 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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Utilities ETFs
Utilities ETFs Theme
ETF themes focus on helping investors to gain exposure to a broad range of assets, diversify, and lower overall costs. The Utilities ETFs theme has 13 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 Utilities ETFs Theme or any other thematic opportunities.
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Check out Your Equity Center to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product.
You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..

Other Consideration for investing in Rent Stock

If you are still planning to invest in Rent A Center check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Rent A's history and understand the potential risks before investing.
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