European Lithium (Germany) Buy Hold or Sell Recommendation
PF8 Stock | EUR 0.04 0.0001 0.24% |
Assuming the 90 days horizon and your above-average risk tolerance, our recommendation regarding European Lithium Limited is 'Strong Sell'. Macroaxis provides European Lithium buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding PF8 positions. The advice algorithm takes into account all of European Lithium's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting European Lithium's buy or sell advice are summarized below:
Real Value 0.0379 | Hype Value 0.04 | Market Value 0.0415 | Naive Value 0.0451 |
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell European Lithium Limited given historical horizon and risk tolerance towards European Lithium. When Macroaxis issues a 'buy' or 'sell' recommendation for European Lithium Limited, the advice is generated through an automated system that utilizes algorithms and statistical models.
European |
Execute European Lithium Buy or Sell Advice
The European recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on European Lithium Limited. Macroaxis does not own or have any residual interests in European Lithium Limited or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute European Lithium's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Out of control | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Responds to the market | Details | |
Analyst Consensus | Not Available | Details | |
Reporting Quality (M-Score) | Inapplicable | Details |
European Lithium Trading Alerts and Improvement Suggestions
European Lithium generated a negative expected return over the last 90 days | |
European Lithium has some characteristics of a very speculative penny stock | |
European Lithium has high historical volatility and very poor performance | |
The company has accumulated 953.73 K in total debt with debt to equity ratio (D/E) of 0.03, which may suggest the company is not taking enough advantage from borrowing. European Lithium has a current ratio of 0.28, 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 European Lithium until it has trouble settling it off, either with new capital or with free cash flow. So, European Lithium'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 European Lithium sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for European to invest in growth at high rates of return. When we think about European Lithium's use of debt, we should always consider it together with cash and equity. | |
The entity reported the revenue of 29.72 K. Net Loss for the year was (12.32 M) with profit before overhead, payroll, taxes, and interest of 177.44 K. | |
European Lithium Limited has accumulated about 410.05 K in cash with (4.12 M) of positive cash flow from operations. | |
Roughly 14.0% of European Lithium outstanding shares are owned by corporate insiders |
European Lithium Returns Distribution Density
The distribution of European Lithium's historical returns is an attempt to chart the uncertainty of European Lithium's future price movements. The chart of the probability distribution of European Lithium daily returns describes the distribution of returns around its average expected value. We use European Lithium Limited price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of European Lithium returns is essential to provide solid investment advice for European Lithium.
Mean Return | 0.03 | Value At Risk | -7.37 | Potential Upside | 7.56 | Standard Deviation | 4.92 |
Return Density |
Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of European Lithium 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.
European Lithium 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 European Lithium or Basic Materials 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 European Lithium'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 European 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 NYSE Composite | -0.21 | |
β | Beta against NYSE Composite | 1.80 | |
σ | Overall volatility | 3.53 | |
Ir | Information ratio | -0.02 |
European Lithium Volatility Alert
European Lithium Limited shows above-average downside volatility for the selected time horizon. European Lithium Limited is a penny stock. Although European Lithium may be in fact a good investment, many penny stocks are subject to artificial price hype. Make sure you completely understand the upside potential and downside risk of investing in European Lithium Limited. We encourage investors to look for signals such as message board hypes, claims of breakthroughs, email spams, sudden volume upswings, and other similar hype indicators. We also encourage traders to check biographies and work history of company officers before investing in instruments with high volatility. You can indeed make money on European 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.European Lithium Fundamentals Vs Peers
Comparing European Lithium'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 European Lithium's direct or indirect competition across all of the common fundamentals between European Lithium and the related equities. This way, we can detect undervalued stocks with similar characteristics as European Lithium or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of European Lithium's fundamental indicators could also be used in its relative valuation, which is a method of valuing European Lithium by comparing valuation metrics with those of similar companies.
Better Than Average | Worse Than Average | Compare European Lithium to competition |
Fundamentals | European Lithium | Peer Average |
Return On Equity | -0.22 | -0.31 |
Return On Asset | -0.0676 | -0.14 |
Operating Margin | (11.55) % | (5.51) % |
Current Valuation | 73.03 M | 16.62 B |
Shares Outstanding | 1.45 B | 571.82 M |
Shares Owned By Insiders | 13.89 % | 10.09 % |
Shares Owned By Institutions | 0.35 % | 39.21 % |
Price To Book | 1.52 X | 9.51 X |
Price To Sales | 367.54 X | 11.42 X |
Revenue | 29.72 K | 9.43 B |
Gross Profit | 177.44 K | 27.38 B |
EBITDA | (11.88 M) | 3.9 B |
Net Income | (12.32 M) | 570.98 M |
Cash And Equivalents | 410.05 K | 2.7 B |
Total Debt | 953.73 K | 5.32 B |
Debt To Equity | 0.03 % | 48.70 % |
Current Ratio | 0.29 X | 2.16 X |
Book Value Per Share | 0.05 X | 1.93 K |
Cash Flow From Operations | (4.12 M) | 971.22 M |
Earnings Per Share | (0.01) X | 3.12 X |
Number Of Employees | 13 | 18.84 K |
Beta | 1.89 | -0.15 |
Market Capitalization | 63.77 M | 19.03 B |
Total Asset | 79.3 M | 29.47 B |
Z Score | 39.6 | 8.72 |
Net Asset | 79.3 M |
European Lithium Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as European . 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 | 19715.14 | |||
Daily Balance Of Power | (0.03) | |||
Rate Of Daily Change | 1.0 | |||
Day Median Price | 0.043 | |||
Day Typical Price | 0.0425 | |||
Price Action Indicator | (0) | |||
Period Momentum Indicator | (0.0001) |
About European Lithium Buy or Sell Advice
When is the right time to buy or sell European Lithium Limited? Buying financial instruments such as European 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.
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Check out European Lithium 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. You can also try the Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.
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When running European Lithium's price analysis, check to measure European Lithium'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 European Lithium is operating at the current time. Most of European Lithium's value examination focuses on studying past and present price action to predict the probability of European Lithium's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move European Lithium's price. Additionally, you may evaluate how the addition of European Lithium to your portfolios can decrease your overall portfolio volatility.
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