Is The9 Stock a Good Investment?
The9 Investment Advice | NCTY |
- Examine The9's financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research The9's leadership team and their track record. Good management can help The9 navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Interactive Home Entertainment space and any emerging trends that could impact The9's business and its evolving consumer preferences.
- Compare The9's performance and market position to its competitors. Analyze how The9 is positioned in terms of product offerings, innovation, and market share.
- Check if The9 pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about The9's stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in The9 Ltd ADR stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if The9 Ltd ADR is a good investment.
Sell | Buy |
Strong Hold
Market Performance | Solid | Details | |
Volatility | Somewhat reliable | Details | |
Hype Condition | Under hyped | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Almost mirrors the market | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Not Available | Details | |
Financial Strenth (F Score) | Strong | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Examine The9 Stock
Researching The9's stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). The company recorded a loss per share of 5.77. The9 Ltd ADR last dividend was issued on the 29th of January 2009. The entity had 1:10 split on the 2nd of October 2023.
To determine if The9 is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding The9's research are outlined below:
| The9 Ltd ADR is way too risky over 90 days horizon | |
| The9 Ltd ADR appears to be risky and price may revert if volatility continues | |
| The9 Ltd ADR currently holds about 429.22 M in cash with (46.32 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 18.21, which can makes it an attractive takeover target, given it will continue generating positive cash flow. | |
| The9 Ltd ADR has a strong financial position based on the latest SEC filings | |
| Latest headline from gurufocus.com: NCTY Stock Experiences Sharp Decline Amid Market Volatility |
The9 uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in The9 Ltd ADR. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to The9's previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 6th of May 2024 Upcoming Quarterly Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View |
Know The9's Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as The9 is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading The9 Ltd ADR backward and forwards among themselves. The9's institutional investor refers to the entity that pools money to purchase The9's securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Independent Advisor Alliance | 2024-09-30 | 16.2 K | Barclays Plc | 2024-06-30 | 0.0 | Tower Research Capital Llc | 2024-09-30 | 604 | Advisor Group Holdings, Inc. | 2024-09-30 | 310 | Rhumbline Advisers | 2024-09-30 | 247 | Group One Trading, Lp | 2024-09-30 | 231 | Ubs Group Ag | 2024-09-30 | 116 | Ridgewood Investments Llc | 2024-09-30 | 50.0 | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 38.0 | Coppell Advisory Solutions Llc | 2024-09-30 | 30.0 | Bank Of America Corp | 2024-09-30 | 10.0 |
The9's market capitalization trends
The company currently falls under 'Small-Cap' category with a current market capitalization of 157.63 M.Market Cap |
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The9's profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.05 | 0.06 | |
| Return On Capital Employed | (1.58) | (1.66) | |
| Return On Assets | 0.05 | 0.06 | |
| Return On Equity | 0.10 | 0.10 |
Determining The9's profitability involves analyzing its financial statements and using various financial metrics to determine if The9 is a good buy. For example, gross profit margin measures The9's profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of The9's profitability and make more informed investment decisions.
Please note, the imprecision that can be found in The9's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of The9 Ltd ADR. Check The9's Beneish M Score to see the likelihood of The9's management manipulating its earnings.
Evaluate The9's management efficiency
The9 Ltd ADR has return on total asset (ROA) of (0.2035) % which means that it has lost $0.2035 on every $100 spent on assets. This is way below average. Similarly, it shows a return on stockholder's equity (ROE) of (1.3815) %, meaning that it created substantial loss on money invested by shareholders. The9's management efficiency ratios could be used to measure how well The9 manages its routine affairs as well as how well it operates its assets and liabilities. At this time, The9's Return On Tangible Assets are fairly stable compared to the past year. Return On Assets is likely to rise to 0.06 in 2024, whereas Return On Capital Employed is likely to drop (1.66) in 2024. At this time, The9's Non Current Assets Total are fairly stable compared to the past year. Other Assets is likely to rise to about 13.6 M in 2024, whereas Total Assets are likely to drop slightly above 345.5 M in 2024.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 368.16 | 713.31 | |
| Tangible Book Value Per Share | 368.16 | 556.14 | |
| Enterprise Value Over EBITDA | (2.15) | (2.26) | |
| Price Book Value Ratio | 0.13 | 0.13 | |
| Enterprise Value Multiple | (2.15) | (2.26) | |
| Price Fair Value | 0.13 | 0.13 | |
| Enterprise Value | 56.1 M | 53.3 M |
Understanding the operational decisions made by The9 management offers insights into its financial robustness. This evaluation is crucial for assessing the stock's investment potential.
Beta 1.907 |
Basic technical analysis of The9 Stock
As of the 19th of December, The9 has the Risk Adjusted Performance of 0.2061, semi deviation of 3.08, and Coefficient Of Variation of 402.52. In relation to fundamental indicators, the technical analysis model makes it possible for you to check existing technical drivers of The9 Ltd ADR, as well as the relationship between them.The9's Outstanding Corporate Bonds
The9 issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. The9 Ltd ADR uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most The9 bonds can be classified according to their maturity, which is the date when The9 Ltd ADR has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
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Understand The9's technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing The9's various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | 0.2061 | |||
| Market Risk Adjusted Performance | 1.35 | |||
| Mean Deviation | 3.95 | |||
| Semi Deviation | 3.08 | |||
| Downside Deviation | 3.84 | |||
| Coefficient Of Variation | 402.52 | |||
| Standard Deviation | 5.6 | |||
| Variance | 31.37 | |||
| Information Ratio | 0.2432 | |||
| Jensen Alpha | 1.36 | |||
| Total Risk Alpha | 1.25 | |||
| Sortino Ratio | 0.3547 | |||
| Treynor Ratio | 1.34 | |||
| Maximum Drawdown | 27.07 | |||
| Value At Risk | (5.53) | |||
| Potential Upside | 11.99 | |||
| Downside Variance | 14.75 | |||
| Semi Variance | 9.51 | |||
| Expected Short fall | (5.05) | |||
| Skewness | 1.15 | |||
| Kurtosis | 2.49 |
| Risk Adjusted Performance | 0.2061 | |||
| Market Risk Adjusted Performance | 1.35 | |||
| Mean Deviation | 3.95 | |||
| Semi Deviation | 3.08 | |||
| Downside Deviation | 3.84 | |||
| Coefficient Of Variation | 402.52 | |||
| Standard Deviation | 5.6 | |||
| Variance | 31.37 | |||
| Information Ratio | 0.2432 | |||
| Jensen Alpha | 1.36 | |||
| Total Risk Alpha | 1.25 | |||
| Sortino Ratio | 0.3547 | |||
| Treynor Ratio | 1.34 | |||
| Maximum Drawdown | 27.07 | |||
| Value At Risk | (5.53) | |||
| Potential Upside | 11.99 | |||
| Downside Variance | 14.75 | |||
| Semi Variance | 9.51 | |||
| Expected Short fall | (5.05) | |||
| Skewness | 1.15 | |||
| Kurtosis | 2.49 |
Consider The9's intraday indicators
The9 intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of The9 stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
| Accumulation Distribution | 28782.91 | |||
| Daily Balance Of Power | (0.51) | |||
| Rate Of Daily Change | 0.93 | |||
| Day Median Price | 14.54 | |||
| Day Typical Price | 14.55 | |||
| Price Action Indicator | (0.54) | |||
| Period Momentum Indicator | (1.15) |
The9 Corporate Filings
6K | 16th of December 2024 A report filed by foreign private issuers with SEC. A foreign private issuer is a non-U.S. company with securities traded on U.S. exchanges. | ViewVerify |
| 15th of April 2024 Other Reports | ViewVerify |
The9 Stock media impact
Far too much social signal, news, headlines, and media speculation about The9 that are available to investors today. That information is available publicly through The9 media outlets and privately through word of mouth or via The9 internal channels. However, regardless of the origin, that massive amount of The9 data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of The9 news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of The9 relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to The9's headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive The9 alpha.
The9 Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards The9 can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Additional Tools for The9 Stock Analysis
When running The9's price analysis, check to measure The9'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 The9 is operating at the current time. Most of The9's value examination focuses on studying past and present price action to predict the probability of The9's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move The9's price. Additionally, you may evaluate how the addition of The9 to your portfolios can decrease your overall portfolio volatility.