DTE Energy dips -2.14
 | By Ellen Johnson | Macroaxis Story |
In this story I am going to address all ongoing DTE Energy shareholders. I will look into why despite ongoing dip, the longer-term fundamental drivers of the firm are still sound. The company chance of financial distress is now about 48.0 percent. What is DTE Energy Target Price Odds to finish over Current Price? Pertaining to normal probability distribution, the odds of DTE Energy to move above current price in 30 days from now is about 57.12%. The DTE Energy probability density function shows the probability of DTE Energy Stock to fall within a particular range of prices over 30 days . Considering 30-days investment horizon, DTE Energy has beta of -0.2698 suggesting as returns on benchmark increase, returns on holding DTE Energy are expected to decrease at a much smaller rate. During bear market, however, DTE Energy is likely to outperform the market. Additionally, the company has a negative alpha implying that the risk taken by holding this equity is not justified. DTE Energy is significantly underperforming Russell 2000 .
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Reviewed by Gabriel Shpitalnik
The entity has beta of 0.62. As returns on market increase, DTE Energy returns are expected to increase less than the market. However, during bear market, the loss on holding DTE Energy will be expected to be smaller as well. This firm dividends can provide a clue to current valuation of the stock. DTE Energy one year expected dividend income is about $2.52 per share. Earning per share calculations of DTE Energy is based on official Zacks consensus of 3 analysts regarding the entity future annual earnings. Given the historical accuracy of 91.2%, the future earnings per share of the company is estimated to be 6.535 with lowest and highest values of 6.5 and 6.59 respectively. Please note that this consensus of annual earnings estimates for the stock is an estimate of EPS before non-recurring items and including employee stock options expenses.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as DTE Energy. Your research has to be compared to or analyzed against DTE Energy's peers to derive any actionable benefits. When done correctly, DTE Energy's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in DTE Energy.
There are currently many different techniques concerning forecasting the market as a whole as well as predicting future values of individual securities such as DTE Energy. Regardless of method or technology, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Predictive Modules for DTE Energy
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of DTE Energy's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
How important is DTE Energy's Liquidity
DTE Energy financial leverage refers to using borrowed capital as a funding source to finance DTE Energy ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. DTE Energy financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to DTE Energy's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of DTE Energy's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the breakdown between DTE Energy's total debt and its cash.
DTE Energy Gross Profit
DTE Energy Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing DTE Energy 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 DTE Energy Gross Profit growth over the last 10 years. Please check DTE Energy's gross profit and other fundamental indicators for more details.
Detailed Perspective On DTE Energy
DTE Energy reported last year revenue of 13.27 B. Total Income to common stockholders was 1.09 B with profit before taxes, overhead, and interest of 3.15 B. The recent decline in stock price could raise concerns from investors as the firm closed today at a share price of 100.82 on 1,131,356 in volume. The company directors and management have failed to build on market volatilities in April. However, diversifying your overall positions with DTE Energy may protect your principal portfolio during upcoming market swings. The stock standard deviation of daily returns for 30 days (very short) investing horizon is currently 5.42. The very high volatility is mostly attributed to the latest market swings and not very good earning reports from some ot the DTE Energy partners. DTE Energy preserves 2.26 of price to book. DTE Energy is selling for 101.04. This is -2.14 percent down. Today highest was 103.58. DTE Energy Earnings Before Interest Taxes and Depreciation Amortization USD is rather stable at the moment. The companys Electric segment generates, purchases, distributes, and sells electricity to approximately 2.2 million residential, commercial, and industrial customers in southeastern Michigan. The company was founded in 1903 and is headquartered in Detroit, Michigan. DTE Energy operates under UtilitiesRegulated Electric classification in USA and is traded on BATS Exchange. It employs 10700 people.In closing, we believe that at this point DTE Energy is under valued with close to average odds of financial turmoil within the next 2 years. Our current buy-sell advice on the firm is Strong Sell.
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