>

ATT Working Capital vs. Beta

<div class='circular--portrait' style='background:#8A0CCF;color: white;font-size:3em;padding-top: 40px;;'>ATT</div>
T -- USA Stock  

Trending

The Drivers Module shows relationships between ATT's most relevant fundamental drivers and provides multiple suggestions of what could possibly affect the performance of ATT over time as well as its relative position and ranking within its peers. Additionally take a look at World Market Map

ATT Beta vs. Working Capital Fundamental Analysis

ATT Price Drivers Relationships

ATT is rated below average in working capital category among related companies. It is rated below average in beta category among related companies .
Working Capital is a measure of company efficiency and operating liquidity. The working capital is usually calculated by subtracting Current Liabilities from Current Assets. It is an important indicator of the firm ability to continue its normal operations without additional debt obligations. .
ATT 
Working Capital 
 = 
Current Assets 
Current Liabilities 
=
(11.82 B)
Working Capital can be positive or negative, depending on how much of current debt the company is carrying on its balance sheet. In general terms, companies that have a lot of working capital will experience more growth in the near future since they can expand and improve their operations using existing resources. On the other hand, companies with small or negative working capital may lack the funds necessary for growth or future operation. Working Capital also shows if the company has sufficient liquid resources to satisfy short-term liabilities and operational expenses.
Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it will be expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
ATT 
Beta 
 = 
Covariance 
Variance 
=
0.58
In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.

ATT Beta Comparison

  Beta 
    
  ATT Comparables 
ATT is rated below average in beta category among related companies.

Beta Analysis

As returns on market increase, ATT returns are expected to increase less than the market. However during bear market, the loss on holding ATT will be expected to be smaller as well.

ATT Fundamental Comparison