Park Electrochemical (NASDAQ:PKE) is showing promising signs with a Potential Upside of
2.88, suggesting there's room for gains if momentum picks up. With a Price Quote of
15.29 and a Market Risk Adjusted Performance of 0.3754, the stock is catching attention for traders looking to ride the aerospace & defense wave.
Main Points
The asset utilization ratio shows how efficiently a company turns its assets into revenue. For Park Electrochemical, this figure stands at 50.8%, meaning it earns about 51 cents for every dollar invested in assets. When this ratio rises, it signals better efficiency in using assets to generate sales. However, the company's net profit margin is just 0.09%, indicating very slim profits—any slight dip in revenue could push it into loss territory. This margin is notably below industry averages. Similarly, the net operating margin is only 0.14%, so for every $100 in sales, the company makes just 14 cents in operating income. These tight margins suggest that Park Electrochemical operates in a highly competitive environment, and it may need to refine its strategy to boost profitability.
The successful prediction of Park Electrochemical
stock price could yield a significant profit to investors. But is it possible? The efficient-market hypothesis suggests that all published
stock prices of traded companies, such as Park Electrochemical, already reflect all publicly available information. This academic statement is a fundamental principle of many financial and investing theories used today. However, the typical investor usually disagrees with a 'textbook' version of this hypothesis and continually tries to find mispriced stocks to increase returns. We use internally-developed statistical techniques to arrive at
the intrinsic value of Park Electrochemical based on Park Electrochemical hews, social hype, general headline patterns, and widely used
predictive technical indicators. We also calculate exposure to Park Electrochemical's
market risk, different
technical and
fundamental indicators, relevant financial multiples and ratios, and then
comparing them to Park Electrochemical's related companies.
Use Technical Analysis to project Park expected Price
Park Electrochemical technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Park Electrochemical technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Park Electrochemical trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions.
More Info...Park Electrochemical Gross Profit
Park Electrochemical Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Park Electrochemical 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 Park Electrochemical Gross Profit growth over the last 10 years. Please check Park Electrochemical's
gross profit and other
fundamental indicators for more details.
A Deeper Perspective On Park Electrochemical
The latest bullish price patterns experienced by current Park Electrochemical shareholders may encourage shareholders to take a closer look at the company as it is trading at a share price of
15.29 on very low momentum in trading volume. The company executives have been very successful in rebalancing the company assets at opportune times to take advantage of market volatility in
June. The stock standard deviation of daily returns for 90 days investing horizon is currently 1.42. The below-average Stock volatility is a good sign for longer-term investment options and for buy-and-hold investors.
Current Deferred Revenue Breakdown
Park Electrochemical's Current Deferred Revenue is increasing over the years with slightly volatile fluctuation. Current Deferred Revenue is expected to dwindle to about 3.8
M. Current Deferred Revenue usually refers to revenue that has been collected but not yet earned, typically from prepaid service contracts or subscriptions. This amount is considered a liability until the service is provided or the subscription period ends. At present, Park Electrochemical's Current Deferred Revenue is projected to increase significantly based on the last few years of reporting.
| 2010 | 3 Million |
| 2014 | 4.14 Million |
| 2015 | 2.94 Million |
| 2016 | 3.02 Million |
| 2017 | 4.11 Million |
| 2024 | 4.72 Million |
| 2025 | 3.79 Million |
As Warren Buffett once said, "Price is what you pay, value is what you get," and Park Electrochemical (NASDAQ:PKE) seems to be trading at a compelling valuation with a target price of 26 and a potential upside of nearly 2.88. The company boasts a solid market cap of around 303.52 million and a current ratio of 17.40X, indicating strong liquidity, while its revenue of 62.03 million supports its modest net income of 5.88 million. Despite a low operating margin of just 0.14%, the stock's risk-adjusted performance of 0.2547 and a beta of 0.4 suggest limited volatility, making it attractive for cautious investors. With a price-to-earnings ratio of 45.43X and a debt-to-equity ratio of zero, PKE offers a unique blend of growth potential and financial stability, but the relatively high probability of bankruptcy at nearly 50% warrants careful consideration before jumping in.
Park Electrochemical is likely to close below $14.98 next week
Recent spikes in Park Electrochemical's semi-deviation have pushed above 1.16, indicating heightened volatility and some uncertainty around its stock. This increase suggests the stock could face downward pressure, possibly closing below $14.98 next week. Watching these volatility signals can offer clues about short-term moves. Despite this, the stock’s skewness of 0.97 and kurtosis of 2.89 point to relatively stable risk levels. Understanding how volatility shifts in different market conditions helps investors gauge potential risks and opportunities.
During downturns, increased volatility can weigh on Park Electrochemical’s price, prompting some to rebalance their portfolios by shifting into other assets. Staying alert to these signals can help traders navigate the ups and downs more effectively.Investing in Park Electrochemical (PKE) presents a mixed picture. While the stock shows some potential upside, with an estimated target price of around
26, the overall analyst consensus leans toward a "Strong Sell," highlighting significant caution. The valuation metrics suggest the stock might be overhyped, with a hype value of 15.37 and a real market value close to 13.13. If you're considering a position, be mindful of the possible downside risk, which could push the price down to around 14.36. Given these factors, it’s essential to weigh whether the potential gains outweigh the risks, especially in a market environment that seems uncertain for this particular stock..
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Nico Santiago is a PR Contributor to Macroaxis Editorial Board. Nico is a relatively new author here at Macroaxis and he likes to work on advertising and sponsored content and marketing for the company. Nico spends most of his time surfing when the weather is nice and he spends the rest of the year writing for various blogs and companies, as he works on his upcoming books, The Rise of the Financial Machines and Time Series Modelling with AI.
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