Cineworld Group plc (LSE:CINE)’s Quant Target Rate Sits at 0.03340 For Portfolios

A recent look at ownership and volatility brings us to a 0.03340 target portfolio weight (as a decimal) for Cineworld Group plc (LSE:CINE) Target …

A recent look at ownership and volatility brings us to a 0.03340 target portfolio weight (as a decimal) for Cineworld Group plc (LSE:CINE) Target weight is the volatility adjusted recommended stock position size for a position in your portfolio. The maximum target weight is 7% for any given stock. The indicator is based off of the 100 day volatility reading and calculates a target weight accordingly. If a stock has been more volatile of late, the lower the target weight will be. The 3-month volatility stands at 33.401600 (decimal). This is the normal returns and standard deviation of the stock price over three months annualized.

Investors may need to sometimes be reminded of the risks involved with stock market investing. Figuring out the individual capacity for risk may involve gauging the possible impact that real losses can have not only on the stock portfolio, but the investor’s mindset as well. Preparing for risk before jumping into the market can help put things in perspective. Investors who wait until holdings suddenly start dropping may be in for quite a shock when things go haywire. Many risk related errors can be addressed with proper calculations up front. Being aware of risk and managing the portfolio accordingly can be a big factor in the long-standing success of the investor.

50/200 Simple Moving Average Cross

Cineworld Group plc (LSE:CINE) has a 0.86806 50/200 day moving average cross value. Cross SMA 50/200 (SMA = Simple Moving Average) and is calculated as follows:

Cross SMA 50/200 = 50 day moving average / 200day moving average. If the Cross SMA 50/200 value is greater than 1, it tell us that the 50 day moving average is above the 200 day moving average (golden cross), indicating an upward moving share price.

On the other hand if the Cross SMA 50/200 value is less than 1, this shows that the 50 day moving average is below the 200 day moving average (a death cross), and tells us that share prices has fallen recently and may continue to do so.

Returns and Margins

Taking look at some key returns and margins data we can note the following:

Cineworld Group plc (LSE:CINE) has Return on Invested Capital of 0.115100, with a 5-year average of 0.255772 and an ROIC quality score of 10.210446. Why is ROIC important? It’s one of the most fundamental metrics in determining the value of a given stock. It helps potential investors determine if the firm is using it’s invested capital to return profits.

Successful investors are typically well aware of portfolio holdings at any given time. They tend to regularly review the portfolio to make sure that the combination of stocks is in line with goals and contributing to the outlined strategy. There may be times when everything seems to be in order after a thorough portfolio review. Other times, there may be a few changes that can be made. Maybe there are one or two names that have been over performing providing a big boost to the portfolio. On the other end, there could be a few stocks that are impacting the portfolio in a negative way and they may need to be addressed. Although constant portfolio monitoring may not be overly necessary for longer-term investors, regular portfolio examination is generally considered to be a good idea.

Cineworld Group plc (LSE:CINE) of the Travel & Leisure sector closed the recent session at 2.412000 with a market value of $4120248.

In looking at some Debt ratios, Cineworld Group plc (LSE:CINE) has a debt to equity ratio of 2.19993 and a Free Cash Flow to Debt ratio of 0.080389. This ratio provides insight as to how high the firm’s total debt is compared to its free cash flow generated. In terms of Net Debt to EBIT, that ratio stands at 10.38865. This ratio reveals how easily a company is able to pay interest and capital on its net outstanding debt. The lower the ratio the better as that indicates that the company is able to meet its interest and capital payments. Lastly we’ll take note of the Net Debt to Market Value ratio. Cineworld Group plc’s ND to MV current stands at 1.701669. This ratio is calculated as follows: Net debt (Total debt minus Cash ) / Market value of the company.

Drilling down into some additional key near-term indicators we note that the Capex to PPE ratio stands at 0.050613 for Cineworld Group plc (LSE:CINE). The Capex to PPE ratio shows you how capital intensive a company is. Stocks with an increasing (year over year) ratio may be moving to be more capital intensive and often underperform the market. Higher Capex also often means lower Free Cash Flow (Operating cash flow – Capex) generation and lower dividends as companies don’t have the cash to pay dividends if they are investing more in the business.

When watching the day to day movements of the market, investors often have to be careful not to let external factors cloud their judgment. From time to time, there may be certain stocks taking off that look highly tempting to purchase. Getting into a position based on short-term price movements may be a specific strategy for some, but it may be highly costly for others. Even if a stock has been on a big run that the investor might have missed out on, there is no guarantee that the run will continue higher. Although there may be potential in highly publicized stocks, it may be wise for investors to do their own research and then decide if the stock fits with the overall goals.

In addition to Capex to PPE we can look at Cash Flow to Capex. This ration compares a stock’s operating cash flow to its capital expenditure and can identify if a firm can generate enough cash to meet investment needs. Investors are looking for a ratio greater than one, which indicates that the firm can meet that need. Comparing to other firms in the same industry is relevant for this ratio. Cineworld Group plc (LSE:CINE)’s Cash Flow to Capex stands at 3.214528.

Near-Term Growth Drilldown

Now we’ll take a look at some key growth data as decimals. One year cash flow growth ratio is calculated on a trailing 12 months basis and is a one year percentage growth of a firm’s cash flow from operations. This number stands at 0.67471 for Cineworld Group plc (LSE:CINE). The one year Growth EBIT ratio stands at 1.19694 and is a calculation of one year growth in earnings before interest and taxes. The one year EBITDA growth number stands at 1.43242 which is calculated similarly to EBIT Growth with just the addition of amortization.

Taking even a further look we note that the 1 year Free Cash Flow (FCF) Growth is at 0.71380. The one year growth in Net Profit after Tax is 0.31838 and lastly sales growth was 0.77632.

One of the biggest obstacles standing in the way of the individual investor is unrealistic expectations. Many times, investors will have an incorrect vision of what they expect to get from their investments in terms of actual returns. Creating unrealistic expectations can lead to overextending risk in the future. If an investor loses patience and thinks that they should be seeing bigger returns than they are currently generating, this may cause them to enter into a few ill advised trades in order to try to hit that previously determined number. Setting realistic, attainable goals may help the investor immensely, not just in terms of future returns, but in terms of the psyche as well.

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Man Group plc (LSE:EMG) Cash Flow Changes -0.68844 YoY

Man Group plc (LSE:EMG) has seen cash flow growth over the past year of -0.68844. Cash flow and cash flow growth can reveal to an investor how …

Man Group plc (LSE:EMG) has seen cash flow growth over the past year of -0.68844. Cash flow and cash flow growth can reveal to an investor how quickly the firm is generating inflows of cash from their business operations.

Investors constantly have to weigh risk against reward when trying to extract profits and maximum value from the stock market. Making educated investment decisions typically requires dedication, rational thinking, and self-control. Once the individual investor starts developing good habits, they can start to eliminate the bad ones that may be costing them enormous amounts of hard earned money. Everybody is prone to make mistakes at some point, and being able to realize what contributed to the mistake can help with corrective actions. Repeating the same mistakes over and over again in the stock market will most likely lead the investor down the wrong path.

In taking a look at some other key growth stats we note that the one year Growth EBIT ratio stands at -0.41091 for Man Group plc (LSE:EMG) and is a calculation of one year growth in earnings before interest and taxes. The one year EBITDA growth number stands at -0.28457 which is calculated similarly to EBIT Growth with just the addition of amortization.

Taking even a further look we note that the 1 year Free Cash Flow (FCF) Growth is at -0.66344. The one year growth in Net Profit after Tax is 0.08240 and lastly sales growth was -0.11860.

Man Group plc (LSE:EMG) has a present suggested portfolio ownership rate of 0.03480 (as a decimal) ownership. Target weight is the volatility adjusted recommended position size for a stock in your portfolio. The maximum target weight is 7% for any given holding. The indicator is based off of the 100 day volatility reading and calculates a target weight accordingly. The more recent volatility of a stock, the lower the target weight will be. The 3-month volatility stands at 25.537000 (decimal). This is the normal returns and standard deviation of the stock price over three months annualized.

Diving down into some additional near-term indicators we see that the Capex to PPE ratio stands at 0.057471 for Man Group plc (LSE:EMG). The Capex to PPE ratio shows you how capital intensive a company is. Stocks with an increasing (year over year) ratio may be moving to be more capital intensive and often underperform the market. Higher Capex also often means lower Free Cash Flow (Operating cash flow – Capex) generation and lower dividends as companies don’t have the cash to pay dividends if they are investing more in the business.

Successful stock market traders generally have a keen ability to cut losses short and let winners run. This may sound easy, but novice traders have the tendency to actually extend losses and fail to secure profits. New stock market traders may encounter a few different scenarios when starting out. They may make a few early trades that prove to be big winners, or they may get taken to the cleaner right out of the gate. When a trader experiences big wins from the start, this may create an inflated sense of confidence. On the flip side, a string of early losses can be so discouraging that the trader throws in the towel without really even getting into the game.

In looking at some key ratios we note that the Piotroski F Score stands at 4 (1 to 10 scale) and the ERP5 rank holds steady at 5529. The Q.I. Value of Man Group plc (LSE:EMG) currently reads 36.00000 on the Quant scale. The Free Cash Flow score of 0.553336 is also swinging some momentum at investors. The Great Britain based firm is currently valued at 7533.

Some other notable ratios include the Accrual Ratio of 0.201789, the Altman Z score of 2.122824, a Montier C-Score of 2.00000 and a Value Composite rank of 42.

Following a pre-defined trading system might be a solid choice for securing profits in the stock market. Defining goals before creating a plan can be a good way to start the trader off on the right path. There are bound to be many ups and downs throughout the trading process. Being able to manage wins and losses may be one of the most important factors to becoming a successful trader. Without a researched plan, traders may realize how quick the losses can pile up. Properly managing risk, position size, entry and exit points, and stops, may come with experience, but it is typically necessary in order to stay above water in the fast paced market environment.

In addition to Capex to PPE we can look at Cash Flow to Capex. This ration compares a stock’s operating cash flow to its capital expenditure and can identify if a firm can generate enough cash to meet investment needs. Investors are looking for a ratio greater than one, which indicates that the firm can meet that need. Comparing to other firms in the same industry is relevant for this ratio. Man Group plc (LSE:EMG)’s Cash Flow to Capex stands at 8.266667.

Investors looking to secure stock market profits may be tweaking an existing strategy or looking to devise a brand new one. As the stock market keeps charging higher, investors will have to figure out how they want to play the next few months. Identifying market tops and possible correction levels may be very tricky. With the markets trading at current levels, the situation for the average investor may be widely varied. Some investors will be trading with a shorter-term plan, while others may be focused on a longer-term investment time frame. There are many financial professionals who are predicting a sharp reversal in the stock market, but there are also those who believe that the upswing will keep pushing stocks higher over the coming months. Investors will need to decide for themselves which way they think the momentum is going to swing and prepare accordingly.

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Direct Line Insurance Group plc (LSE:DLG)’s Cash Flow Moves 0.50551 Placing Shares Under the …

Investors looking to take advantage of cash heavy shares, they might look first to the cash flow of a company, and how fast that is growing. Direct Line …

Investors looking to take advantage of cash heavy shares, they might look first to the cash flow of a company, and how fast that is growing. Direct Line Insurance Group plc (LSE:DLG) currently has one year cash flow growth of 0.50551 1yr Growth Cash Flow = 1 year percentage growth of a company’s Cash Flow from operations (Cash Flow Statement). Analyzing cash flow can alert shareholders to potential dangers that may result from a lack of liquidity. Looking at the positive or negative movement of a company’s reported free cash flow will help determine if it has the necessary funds to finance capital expenditures and keep paying dividends.

Some investors may succeed spectacularly in the market while others fail. There is an emotional component to trading and investing which can pose a big obstacle to trading success. Investors frequently try to optimize every decision for success, but sometimes things just don’t work out as planned. Consistently beating the market may involve heavy amounts of homework, and a necessary rebalancing of the portfolio. In fast paced markets, indecision can have a drastic impact. Investors may have all the bases covered but fail to make a trade based only on the fear of being wrong. Individual investors may need to conquer self-doubt in order to reach optimal performance when picking stocks. This may not come as easily for some as it does for others. When the market is winning, investors may become too complacent given the ease of gains. Staying on top of the investing scene even when everything is good may help to prepare if conditions change and the climate starts to worsen.

Direct Line Insurance Group plc (LSE:DLG) of the Nonlife Insurance sector closed the recent session at 2.969000 with a market value of $5005012.



Taking look at some key returns data we can note the following:

Direct Line Insurance Group plc (LSE:DLG) has Return on Invested Capital of 0.108085, with a 5-year average of 0.067251 and an ROIC quality score of 3.978292. Why is ROIC important to potential investors? It’s one of the most fundamental metrics in determining the value of a firm’s shares. It helps potential investors determine if the company is using it’s invested capital to return profits.

Drilling down into some additional key near-term indicators we note that the Capex to PPE ratio stands at 0.045638 for Direct Line Insurance Group plc (LSE:DLG). The Capex to PPE ratio shows you how capital intensive a company is. Stocks with an increasing (year over year) ratio may be moving to be more capital intensive and often underperform the market. Higher Capex also often means lower Free Cash Flow (Operating cash flow – Capex) generation and lower dividends as companies don’t have the cash to pay dividends if they are investing more in the business.

In addition to Capex to PPE we can look at Cash Flow to Capex. This ration compares a stock’s operating cash flow to its capital expenditure and can identify if a firm can generate enough cash to meet investment needs. Investors are looking for a ratio greater than one, which indicates that the firm can meet that need. Comparing to other firms in the same industry is relevant for this ratio. Direct Line Insurance Group plc (LSE:DLG)’s Cash Flow to Capex stands at 57.264706.

Investors may be intent on creating unique strategies when approaching the equity markets. Individuals with longer-term mindsets may have completely different strategies than those who trade in the short-term. Whatever class they fall under, investors may have to decide how aggressive they want to be in order to capitalize on these strategies. Navigating the bull market may make things a bit easier for some and much harder for others. Many investors will set their sights on dips and corrections. This may prove to be a successful strategy, but this may also create many missed opportunities. Keeping track of key economic data along with market trends and earnings information typically seems to be a boon to any strategy. Highly active traders may keep close watch after the markets have a sleepy session or two. Investors staying the course might actually be relieved when activity cools a bit.

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Near-Term Growth Drilldown

Now we’ll take a look at some key growth data as decimals. One year cash flow growth ratio is calculated on a trailing 12 months basis and is a one year percentage growth of a firm’s cash flow from operations. This number stands at 0.50551 for Direct Line Insurance Group plc (LSE:DLG). The one year Growth EBIT ratio stands at -0.08257 and is a calculation of one year growth in earnings before interest and taxes. The one year EBITDA growth number stands at -0.09043 which is calculated similarly to EBIT Growth with just the addition of amortization.

Taking even a further look we note that the 1 year Free Cash Flow (FCF) Growth is at 0.46199. The one year growth in Net Profit after Tax is 0.10999 and lastly sales growth was -0.04349.

In looking at some Debt ratios, Direct Line Insurance Group plc (LSE:DLG) has a debt to equity ratio of 0.16678 and a Free Cash Flow to Debt ratio of 1.594831. This ratio provides insight as to how high the firm’s total debt is compared to its free cash flow generated. In terms of Net Debt to EBIT, that ratio stands at -1.15309. This ratio reveals how easily a company is able to pay interest and capital on its net outstanding debt. The lower the ratio the better as that indicates that the company is able to meet its interest and capital payments. Lastly we’ll take note of the Net Debt to Market Value ratio. Direct Line Insurance Group plc’s ND to MV current stands at -0.162579. This ratio is calculated as follows: Net debt (Total debt minus Cash ) / Market value of the company.

With most major indexes showing strength, it is safe to assume that many investors may have their heads in the clouds. With many stocks frequently hitting new milestone highs, investors may be scrambling to make sure that they aren’t missing out on possible returns. Maybe some stocks have been doing well, but others not in the portfolio have been doing much better. There is rarely any substitute for hard work and dedication. Investors may get complacent with stocks that they are familiar with. Branching out into uncharted waters may help broaden the horizon and start the gears grinding for new trading ideas. Traders and investors will no doubt be closely monitoring the markets as we move into the second half of the year. It remains to be seen whether optimism or pessimism will rule going in to the next round of quarterly earnings reporting.

50/200 Simple Moving Average Cross

Direct Line Insurance Group plc (LSE:DLG) has a 0.92842 50/200 day moving average cross value. Cross SMA 50/200 (SMA = Simple Moving Average) and is calculated as follows:

Cross SMA 50/200 = 50 day moving average / 200day moving average. If the Cross SMA 50/200 value is greater than 1, it tell us that the 50 day moving average is above the 200 day moving average (golden cross), indicating an upward moving share price.

On the other hand if the Cross SMA 50/200 value is less than 1, this shows that the 50 day moving average is below the 200 day moving average (a death cross), and tells us that share prices has fallen recently and may continue to do so.

Investors may be trying to decide if the current market environment remains bullish. It can be extremely difficult to decide when to sell, especially when data seems positive and most signs are pointing higher. Jumping in to buy stocks on a pullback may seem like a good idea, but following specific sectors may become increasingly more important. Following long-term trends may help the investor see the bigger picture of what has been going on with a specific stock or sector. Deciding to sell a winner after a big run can be tempting, but knowing the underlying causes for the run may help identify if there may indeed be more room for gains. Avoiding common investing pitfalls may take many years to master, but it may end up determining long-term success.

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Wed., Sept. 11: Tilray; Willow Biosciences; FTC warns on CBD claims; Canopy Rivers; PI Financial

The announcement comes one day after Tilray said that it has finalized plans to merge with the private equity firm Privateer Holdings Inc., which is …

Cannabis Professional’s daily roundup of industry news. View archive here.

Tilray has signed an agreement with U.S. investment bank Cowen and Company that will see Cowen act as broker for up to US$400-million worth of Tilray shares. The majority of cannabis firms reported revenue growth and improved operating cash flow margin in their most recent quarterly financials, according to a Q2 earnings recap by PI Financial Corp. analysts. Eight Capital initiated coverage of Willow Biosciences with a “buy” rating and $4.50 target price. The U.S. Federal Trade Commission said on Tuesday it has issued warnings to three companies for selling CBD-infused products using medical claims that are not backed by credible scientific evidence. Canopy Rivers has formed a strategic advisory board that will “provide guidance to Canopy Rivers’ executive team.”

– Mark Rendell

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Tilray taps Cowen to help sell $400-million worth of shares

Tilray Inc. has signed an agreement with U.S. investment bank Cowen and Company, LLC., that will see Cowen act as broker for up to US$400-million worth of Tilray shares

According to the sales agreement, when Tilray wishes to sell shares, “it will notify Cowen by email notice (or other method mutually agreed to in writing by the parties)… containing the parameters in accordance with which it desires the Placement Shares to be sold.”

“Cowen may sell Placement Shares by any method permitted by law deemed to be an ‘at the market,’” the agreement says. The agreement acknowledges that “there can be no assurance that Cowen will be successful in selling Placement Shares.”

The announcement comes one day after Tilray said that it has finalized plans to merge with the private equity firm Privateer Holdings Inc., which is Tilray’s main backer and largest shareholder, controlling 77 per cent of Tilray shares.

That transaction will see Privateer – whose executive chairman Brendan Kennedy is CEO of Tilray – trade in its current Tilray shares for a new set of Tilray shares, or “cash in lieu of issuing an equivalent number of shares of Tilray.”

The new shares issued to Privateer shareholders will be subject to a two-year lock-up agreement.

“During the first year following the closing of the merger, shares will be released only pursuant to certain offerings or sales arranged by and at the discretion of Tilray,” the company said in a news release on Monday. “Over the course of the second year following closing, the remaining shares will be subject to a staggered release in equal quarterly increments.”

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– Mark Rendell

Most cannabis firms improved operating cash flow margin in quarter: PI Financial

The majority of cannabis firms reported revenue growth and improved operating cash flow margin in their most recent quarterly financials, according to a Q2 Earnings Recap released by PI Financial Corp. analysts on Wednesday.

“Of the 66 cannabis companies in our study, 50 reported quarter over quarter revenue growth with 41 companies reporting improved operating cash flow margin,” wrote analysts Jason Zandberg, Devin and Fayassir Haqna.

“The bad news is that the vast majority of cannabis stocks are not generating operating cash flow while still requiring significant cash expenses to build infrastructure.

“The good news is that most cannabis companies demonstrated a significant improvement in cash flow from calendar Q1 to calendar Q2. Of the 66 companies (both US and Canadian operators…), 41 reported an improvement in operating cash flow margin – defined as cash flow from operations (before working capital changes) divided by revenue. We believe these two key metrics will grow in importance as equity markets have softened and refinancing options may not be as plentiful as the past few years,” the analysts wrote.

– Mark Rendell

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Eight Capital begins coverage of Willow Biosciences

Investment dealer Eight Capital said this week it initiated coverage of Willow Biosciences Inc. with a “buy” rating and $4.50 target price due to the company’s potential to transform the cannabinoid production industry with “faster, cheaper and of higher quality than current methods.”

Calgary, Alta.-based Willow Biosciences, which has experience with opioid biosynthesis and is in the research and development stage with cannabinoids, was trading at 60 cents a share on the Canadian Securities Exchange when the note was published. “The recent sell-off in the cannabis sector has resulted in a steep correction in the share price and represents a very attractive entry point and risk-to-reward opportunity for long-term investors seeking to benefit from the disruptive potential of biosynthesis in the cannabis industry,” said Eight Capital Research Analyst Ammar Shah in a note.

Eight Capital forecast the company will generate billions of dollars in revenues in the “back half of the next decade.”

Willow Biosciences will eventually need to establish agreements with consumer packaged goods and pharmaceutical companies to serve end-users, and management is believed to be in active discussions with large players, the investment dealer said. “Management’s previous experience with patent approvals gives us confidence in the company’s ability to secure intellectual property assets,” Eight Capital said. “We anticipate that this will translate to successful filings which could serve as an early de-risking event given the large swath of other entities attempting to achieve biosynthetic cannabinoid production.”

– Marcy Nicholson

U.S. FTC issues warning to companies selling CBD-infused products

The top U.S. consumer and trade regulator said on Tuesday it had warned three companies selling products infused with cannabidiol that it was illegal to advertise that such products could fight disease without providing credible scientific evidence.

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The Federal Trade Commission said the three unidentified companies claimed, without providing substantiation, that CBD can treat more than two dozen conditions including cancer, Alzheimer’s, multiple sclerosis, schizophrenia, epilepsy, diabetes, psoriasis, and AIDS.

The companies, which sell oils, tinctures, capsules, gummies and creams, have 15 days to inform the FTC about how they will address the warning.

– Reuters

Canopy Rivers forms strategic advisory board

Canopy Rivers Inc. announced on Wednesday the formation of a strategic advisory board, that will “provide guidance to Canopy Rivers’ executive team.”

The first three members of the board are John Ruffolo, the former CEO of OMERS Ventures; Meg Lovell, former corporate and commercial counsel at Imperial Brands PLC; and Philip Donne, the former president of Campbell Canada and former president and CEO of Kellogg Canada.

Rivers also announced that Daniel Pearlstein, EVP, Strategy, is no longer with the company. Mr. Pearlstein joined Rivers last spring, after leaving an equity research job at Eight Capital.

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– Mark Rendell

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Direct Line Insurance Group plc (LSE:DLG) Adjusted Slope Reading Hits -3.46880

Shares of Direct Line Insurance Group plc (LSE:DLG) are showing an adjusted slope average of the past 125 and 250 days of -3.46880. The Adjusted …

Shares of Direct Line Insurance Group plc (LSE:DLG) are showing an adjusted slope average of the past 125 and 250 days of -3.46880. The Adjusted Slope 125/250d indicator is equal to the average annualized exponential regression slope, over the past 125 and 250 trading days, multiplied by the coefficient of determination (R2). The purpose of this calculation is to provide a longer term average adjusted slope value that evens out large stock price movements by using the average. This indicator is useful in helping find stocks that have been on a smooth upward trend over the past 6 months to a year.

When dealing with the stock market, investors have to be constantly on their toes. Investors who have had success in the past using a certain method for stock picking may eventually realize that the method no longer produces the same results as it once did. Expecting that the market environment will change and being able to react to those changes can greatly help the investor when the time comes. While investor confidence can be a positive thing, complacency can lead to future frustration and poor portfolio performance. Seasoned investors know that no bull market will last forever just as no bear market will last forever. Being prepared for any situation can greatly help the investor navigate the market when changes do occur.

Direct Line Insurance Group plc (LSE:DLG) of the Nonlife Insurance sector closed the recent session at 2.847000 with a market value of $4808806.



Investor Target Weight

Direct Line Insurance Group plc (LSE:DLG) has a current suggested portfolio rate of 0.05580 (as a decimal) ownership. Target weight is the volatility adjusted recommended position size for a stock in your portfolio. The maximum target weight is 7% for any given stock. The indicator is based off of the 100 day volatility reading and calculates a target weight accordingly. The more recent volatility of a stock, the lower the target weight will be. The 3-month volatility stands at 14.541700 (decimal). This is the normal returns and standard deviation of the stock price over three months annualized.

Drilling down into some additional key near-term indicators we note that the Capex to PPE ratio stands at 0.045638 for Direct Line Insurance Group plc (LSE:DLG). The Capex to PPE ratio shows you how capital intensive a company is. Stocks with an increasing (year over year) ratio may be moving to be more capital intensive and often underperform the market. Higher Capex also often means lower Free Cash Flow (Operating cash flow – Capex) generation and lower dividends as companies don’t have the cash to pay dividends if they are investing more in the business.

There are many different strategies that investors use when entering the stock market. Beating the market is no easy task, and many veteran investors would echo that sentiment. When following the day to day happenings in the stock market, it can be easy to get distracted. There is a lot of emphasis on what is happening in the moment, and it can be tempting for investors to get caught up in the chaos. Everyday market fluctuations can sometimes cause investors to second guess their stock selections. Investors who are able to filter out the noise and focus on the most pertinent information may find themselves in an elevated position in relation to the rest of the investing field.

In addition to Capex to PPE we can look at Cash Flow to Capex. This ration compares a stock’s operating cash flow to its capital expenditure and can identify if a firm can generate enough cash to meet investment needs. Investors are looking for a ratio greater than one, which indicates that the firm can meet that need. Comparing to other firms in the same industry is relevant for this ratio. Direct Line Insurance Group plc (LSE:DLG)’s Cash Flow to Capex stands at 57.264706.

Debt

In looking at some Debt ratios, Direct Line Insurance Group plc (LSE:DLG) has a debt to equity ratio of 0.16678 and a Free Cash Flow to Debt ratio of 1.594831. This ratio provides insight as to how high the firm’s total debt is compared to its free cash flow generated. In terms of Net Debt to EBIT, that ratio stands at -1.15309. This ratio reveals how easily a company is able to pay interest and capital on its net outstanding debt. The lower the ratio the better as that indicates that the company is able to meet its interest and capital payments. Lastly we’ll take note of the Net Debt to Market Value ratio. Direct Line Insurance Group plc’s ND to MV current stands at -0.169546. This ratio is calculated as follows: Net debt (Total debt minus Cash ) / Market value of the company.

Investors might be reviewing portfolio performance over the last six months. Many investors will be tracking shares that are trading near important levels such as the 52-week high and 52-week low. When a stock is trading near new 52-week high, investors may have to decide whether they should sell or hold on for future gains. Stocks that are moving towards a new 52-week low may also be worth keeping an eye on. There are many factors that can have an impact on the health of a particular stock. This is one reason why stock picking can be extremely tough at times. Because there are always so many things to monitor, it may be next to impossible to build a formula that will continually beat the market. Even after all the applicable information has been examined, the investor still has to make sense of the data and figure out what to do with it. Knowing how to use company data can end up being the difference between handsome gains and crippling losses.

Near-Term Growth Drilldown

Now we’ll take a look at some key growth data as decimals. One year cash flow growth ratio is calculated on a trailing 12 months basis and is a one year percentage growth of a firm’s cash flow from operations. This number stands at 0.50551 for Direct Line Insurance Group plc (LSE:DLG). The one year Growth EBIT ratio stands at -0.08257 and is a calculation of one year growth in earnings before interest and taxes. The one year EBITDA growth number stands at -0.09043 which is calculated similarly to EBIT Growth with just the addition of amortization.

Taking even a further look we note that the 1 year Free Cash Flow (FCF) Growth is at 0.46199. The one year growth in Net Profit after Tax is 0.10999 and lastly sales growth was -0.04349.

Investors might be reviewing portfolio performance over the last six months. Many investors will be tracking shares that are trading near important levels such as the 52-week high and 52-week low. When a stock is trading near new 52-week high, investors may have to decide whether they should sell or hold on for future gains. Stocks that are moving towards a new 52-week low may also be worth keeping an eye on. There are many factors that can have an impact on the health of a particular stock. This is one reason why stock picking can be extremely tough at times. Because there are always so many things to monitor, it may be next to impossible to build a formula that will continually beat the market. Even after all the applicable information has been examined, the investor still has to make sense of the data and figure out what to do with it. Knowing how to use company data can end up being the difference between handsome gains and crippling losses.

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