Softech Stock Analysis
| SOFT Stock | USD 0.0001 0.00 0.00% |
SofTech holds a debt-to-equity ratio of 0.039. SofTech's financial risk is the risk to SofTech stockholders that is caused by an increase in debt.
Asset vs Debt
Equity vs Debt
SofTech's liquidity is one of the most fundamental aspects of both its future profitability and its ability to meet different types of ongoing financial obligations. SofTech's cash, liquid assets, total liabilities, and shareholder equity can be utilized to evaluate how much leverage the Company is using to sustain its current operations. For traders, higher-leverage indicators usually imply a higher risk to shareholders. In addition, it helps SofTech Pink Sheet's retail investors understand whether an upcoming fall or rise in the market will negatively affect SofTech's stakeholders.
For most companies, including SofTech, marketable securities, inventories, and receivables are the most common assets that could be converted to cash. However, for SofTech, the most critical issue when managing liquidity is ensuring that current assets are properly aligned with current liabilities. If they are not, SofTech's management will need to obtain alternative financing to ensure there are always enough cash equivalents on the balance sheet to meet obligations.
Given that SofTech's debt-to-equity ratio measures a Company's obligations relative to the value of its net assets, it is usually used by traders to estimate the extent to which SofTech is acquiring new debt as a mechanism of leveraging its assets. A high debt-to-equity ratio is generally associated with increased risk, implying that it has been aggressive in financing its growth with debt. Another way to look at debt-to-equity ratios is to compare the overall debt load of SofTech to its assets or equity, showing how much of the company assets belong to shareholders vs. creditors. If shareholders own more assets, SofTech is said to be less leveraged. If creditors hold a majority of SofTech's assets, the Company is said to be highly leveraged.
SofTech is overvalued with Real Value of 8.4E-5 and Hype Value of 1.0E-4. The main objective of SofTech pink sheet analysis is to determine its intrinsic value, which is an estimate of what SofTech is worth, separate from its market price. There are two main types of SofTech's stock analysis: fundamental analysis and technical analysis.
The SofTech pink sheet is traded in the USA on PINK Exchange, with the market opening at 09:30:00 and closing at 16:00:00 every Mon,Tue,Wed,Thu,Fri except for officially observed holidays in the USA.
SofTech |
SofTech Pink Sheet Analysis Notes
About 60.0% of the company outstanding shares are owned by corporate insiders. The company has price-to-book ratio of 0.08. Typically companies with comparable Price to Book (P/B) are able to outperform the market in the long run. SofTech had not issued any dividends in recent years. The entity had 1:20 split on the 8th of June 2011. SofTech, Inc. develops, markets, distributes, and supports computer aided design , and product data management and collaboration computer solutions for the product lifecycle management industry primarily in North America, Europe, and Asia. The company was founded in 1969 and is headquartered in Lowell, Massachusetts. Softech operates under SoftwareApplication classification in the United States and is traded on OTC Exchange. It employs 25 people.The quote for SofTech is published daily by the National Quotation Bureau and the company does not need to meet minimum requirements or file with the SEC. To find out more about SofTech contact the company at 978-513-2700 or learn more at https://www.softech.com.SofTech Investment Alerts
| SofTech generated a negative expected return over the last 90 days | |
| SofTech has some characteristics of a very speculative penny stock | |
| SofTech has a very high chance of going through financial distress in the upcoming years | |
| The company reported the previous year's revenue of 4.18 M. Net Loss for the year was (673 K) with profit before overhead, payroll, taxes, and interest of 2.65 M. | |
| SofTech currently holds about 345 K in cash with (359 K) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.46, which can makes it an attractive takeover target, given it will continue generating positive cash flow. | |
| Roughly 60.0% of the company outstanding shares are owned by corporate insiders |
SofTech Market Capitalization
The company currently falls under 'Nano-Cap' category with a current market capitalization of 105.52 K. Market capitalization usually refers to the total value of a company's stock within the entire market. To calculate SofTech's market, we take the total number of its shares issued and multiply it by SofTech's current market price. To manage market risk and economic uncertainty, many investors today build portfolios that are diversified across equities with different market capitalizations. However, as a general rule, conservative investors tend to hold large-cap stocks, and those looking for more risk prefer small-cap and mid-cap equities.SofTech Profitablity
The company has Profit Margin (PM) of 0.55 %, which maeans that even a very small decline in it revenue will erase profits resulting in a net loss. This is way below average. Similarly, it shows Operating Margin (OM) of (0.24) %, which suggests for every $100 dollars of sales, it generated a net operating loss of $0.24.Technical Drivers
In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of SofTech, as well as the relationship between them.SofTech Price Movement Analysis
The output start index for this execution was twenty-three with a total number of output elements of thirty-eight. The Bollinger Bands is very popular indicator that was developed by John Bollinger. It consist of three lines. SofTech middle band is a simple moving average of its typical price. The upper and lower bands are (N) standard deviations above and below the middle band. The bands widen and narrow when the volatility of the price is higher or lower, respectively. The upper and lower bands can also be interpreted as price targets for SofTech. When the price bounces off of the lower band and crosses the middle band, then the upper band becomes the price target.
SofTech Debt to Cash Allocation
SofTech currently holds 39 K in liabilities with Debt to Equity (D/E) ratio of 0.04, which may suggest the company is not taking enough advantage from borrowing. SofTech has a current ratio of 0.98, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Debt can assist SofTech until it has trouble settling it off, either with new capital or with free cash flow. So, SofTech'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 SofTech sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for SofTech to invest in growth at high rates of return. When we think about SofTech's use of debt, we should always consider it together with cash and equity.SofTech Assets Financed by Debt
Typically, companies with high debt-to-asset ratios are said to be highly leveraged. The higher the ratio, the greater risk will be associated with the SofTech's operation. In addition, a high debt-to-assets ratio may indicate a low borrowing capacity of SofTech, which in turn will lower the firm's financial flexibility.About SofTech Pink Sheet Analysis
Pink Sheet analysis is the technique used by a trader or investor to examine and evaluate how SofTech prices is reacting to, or reflecting on a current market direction and economic conditions. It can be used to make informed decisions about market timing, and when buying or selling SofTech shares will generate the highest return on investment. We also built our pink sheet analysis module to help investors to gain an insight into the world economy as a whole, the stock market, thematic ideas. a specific sector, or an individual Pink Sheet such as SofTech. By using and applying SofTech Pink Sheet analysis, traders can create a robust methodology for identifying SofTech entry and exit points for their positions.
SofTech, Inc. develops, markets, distributes, and supports computer aided design , and product data management and collaboration computer solutions for the product lifecycle management industry primarily in North America, Europe, and Asia. The company was founded in 1969 and is headquartered in Lowell, Massachusetts. Softech operates under SoftwareApplication classification in the United States and is traded on OTC Exchange. It employs 25 people.
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Additional Tools for SofTech Pink Sheet Analysis
When running SofTech's price analysis, check to measure SofTech'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 SofTech is operating at the current time. Most of SofTech's value examination focuses on studying past and present price action to predict the probability of SofTech's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move SofTech's price. Additionally, you may evaluate how the addition of SofTech to your portfolios can decrease your overall portfolio volatility.