Aspen Technology Stock Price To Earnings To Growth
| AZPN Stock | USD 239.26 3.26 1.38% |
Aspen Technology fundamentals help investors to digest information that contributes to Aspen Technology's financial success or failures. It also enables traders to predict the movement of Aspen Stock. The fundamental analysis module provides a way to measure Aspen Technology's intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Aspen Technology stock.
Aspen | Price To Earnings To Growth |
Aspen Technology Company Price To Earnings To Growth Analysis
Aspen Technology's PEG Ratio indicates the potential value of an equity instrument and is calculated by dividing Price to Earnings (P/E) ratio into earnings growth rate. Most analysts and investors prefer this measure to a Price to Earnings (P/E) ratio because it incorporates the future growth of a firm. The low PEG ratio usually implies that an equity instrument is undervalued; whereas PEG of 1 may indicate that an equity is reasonably priced under given expectations of future growth.
Current Aspen Technology Price To Earnings To Growth | 4.48 X |
Most of Aspen Technology's fundamental indicators, such as Price To Earnings To Growth, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Aspen Technology is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Aspen Price To Earnings To Growth Driver Correlations
Understanding the fundamental principles of building solid financial models for Aspen Technology is extremely important. It helps to project a fair market value of Aspen Stock properly, considering its historical fundamentals such as Price To Earnings To Growth. Since Aspen Technology's main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of Aspen Technology's historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of Aspen Technology's interrelated accounts and indicators.
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Generally speaking, PEG ratio is a 'quick and dirty' way to measure how the current price of a firm's stock relates to its earnings and growth rate. The main benefit of using PEG ratio is that investors can compare the relative valuations of companies within different industries without analyzing their P/E ratios.
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Aspen Price Earnings To Growth Ratio
Price Earnings To Growth Ratio |
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Based on the latest financial disclosure, Aspen Technology has a Price To Earnings To Growth of 4.4842 times. This is 165.34% higher than that of the Software sector and significantly higher than that of the Information Technology industry. The price to earnings to growth for all United States stocks is 8.3% higher than that of the company.
Aspen Price To Earnings To Growth Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Aspen Technology's direct or indirect competition against its Price To Earnings To Growth to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Aspen Technology could also be used in its relative valuation, which is a method of valuing Aspen Technology by comparing valuation metrics of similar companies.Aspen Technology is currently under evaluation in price to earnings to growth category among its peers.
Aspen Technology ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, Aspen Technology's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Aspen Technology's managers, analysts, and investors.Environmental | Governance | Social |
Aspen Fundamentals
| Return On Equity | -8.0E-4 | ||||
| Return On Asset | -0.0038 | ||||
| Profit Margin | (0.01) % | ||||
| Operating Margin | 0.12 % | ||||
| Current Valuation | 14.79 B | ||||
| Shares Outstanding | 63.25 M | ||||
| Shares Owned By Insiders | 58.04 % | ||||
| Shares Owned By Institutions | 48.34 % | ||||
| Number Of Shares Shorted | 1.35 M | ||||
| Price To Earning | 62.82 X | ||||
| Price To Book | 1.17 X | ||||
| Price To Sales | 13.42 X | ||||
| Revenue | 1.13 B | ||||
| Gross Profit | 331.87 M | ||||
| EBITDA | 419.54 M | ||||
| Net Income | (9.77 M) | ||||
| Cash And Equivalents | 382.46 M | ||||
| Cash Per Share | 5.93 X | ||||
| Total Debt | 98 M | ||||
| Debt To Equity | 0.03 % | ||||
| Current Ratio | 3.48 X | ||||
| Book Value Per Share | 202.57 X | ||||
| Cash Flow From Operations | 338.18 M | ||||
| Short Ratio | 5.66 X | ||||
| Earnings Per Share | (0.14) X | ||||
| Price To Earnings To Growth | 4.48 X | ||||
| Target Price | 242.46 | ||||
| Number Of Employees | 1.19 K | ||||
| Beta | 0.75 | ||||
| Market Capitalization | 15.13 B | ||||
| Total Asset | 14.07 B | ||||
| Retained Earnings | (51.16 M) | ||||
| Working Capital | 538.66 M | ||||
| Current Asset | 240.14 M | ||||
| Current Liabilities | 164.02 M | ||||
| Annual Yield | 0.01 % | ||||
| Net Asset | 14.07 B |
About Aspen Technology Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Aspen Technology's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Aspen Technology using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Aspen Technology based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Pair Trading with Aspen Technology
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 Aspen Technology 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 Aspen Technology will appreciate offsetting losses from the drop in the long position's value.Moving together with Aspen Stock
Moving against Aspen Stock
| 0.81 | EB | Eventbrite Class A | PairCorr |
| 0.77 | ML | MoneyLion | PairCorr |
| 0.74 | KC | Kingsoft Cloud Holdings | PairCorr |
| 0.7 | AI | C3 Ai Inc | PairCorr |
| 0.67 | DV | DoubleVerify Holdings Sell-off Trend | PairCorr |
The ability to find closely correlated positions to Aspen Technology could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Aspen Technology 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 Aspen Technology - 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 Aspen Technology to buy it.
The correlation of Aspen Technology 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 Aspen Technology moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Aspen Technology 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 Aspen Technology 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.Additional Information and Resources on Investing in Aspen Stock
When determining whether Aspen Technology offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Aspen Technology's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Aspen Technology Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Aspen Technology Stock:Check out Aspen Technology Piotroski F Score and Aspen Technology Altman Z Score analysis. To learn how to invest in Aspen Stock, please use our How to Invest in Aspen Technology guide.You can also try the Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Is Application Software space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Aspen Technology. If investors know Aspen will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Aspen Technology listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.682 | Earnings Share (0.14) | Revenue Per Share 17.697 | Quarterly Revenue Growth 0.069 | Return On Assets (0) |
The market value of Aspen Technology is measured differently than its book value, which is the value of Aspen that is recorded on the company's balance sheet. Investors also form their own opinion of Aspen Technology's value that differs from its market value or its book value, called intrinsic value, which is Aspen Technology's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Aspen Technology's market value can be influenced by many factors that don't directly affect Aspen Technology's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Aspen Technology's value and its price as these two are different measures arrived at by different means. Investors typically determine if Aspen Technology is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Aspen Technology'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.