Investors are keeping a close eye on shares of Avid Technology, Inc. (NasdaqGS:AVID). The stock has a current six month price index of 1.41667. The six month price index is calculated by dividing the current share price by the share price six months ago. A ratio over one represents an increase in the stock price over the six month time frame. A ratio under one shows that the price has lowered over that defined time period.
As the next round of earnings reports come into the spotlight next quarter, investors may be deciding how to get into the best position to make the most profitable trades. Earnings reports have the ability to influence stock prices dramatically. Sometimes it can be hard to figure out which way the price will go even if the reported numbers are up to snuff. Some investors enjoy the frantic trading opportunities around earnings reports, and others will stay as far away as possible. Even if the investor isn’t planning on making any moves during earnings season, it may be wise to follow what companies are reporting. If the numbers from a certain holding come in way out of whack, it may be necessary to do some in-depth research to try and find out the reason. Investors that make sure that all the bases are covered will typically find it easier to make sense out of certain anomalies that pop up in the markets from time to time. Putting in the extra time and effort to understand the ins and outs of a particular stock may help boost the novice investor up to the next level. Every investor wants their trades to be profitable, and doing that little extra piece of homework could be just what the finance doctor ordered for staying on top of the stock market.
The Gross Margin Score is calculated by looking at the Gross Margin and the overall stability of the company over the course of 8 years. The score is a number between one and one hundred (1 being best and 100 being the worst). The Gross Margin Score of Avid Technology, Inc. (NasdaqGS:AVID) is 21.00000. The more stable the company, the lower the score. If a company is less stable over the course of time, they will have a higher score.
Stock market investors are typically searching for solid quality companies to help boost the portfolio. There are plenty of quality companies out there, the tricky part may be determining what constitutes as quality. Many investors look for companies that are solid sales leaders within a market that is growing. Going further, investors may be studying a company’s proven track record and gauging the competence of current management. Adding other factors such as brand recognition and prospects for steady growth, investors may eventually find a company that is worth taking the risk for future returns.
Free Cash Flow Growth (FCF Growth) is the free cash flow of the current year minus the free cash flow from the previous year, divided by last year’s free cash flow. The FCF Growth of Avid Technology, Inc. (NasdaqGS:AVID) is 1.094908. Free cash flow (FCF) is the cash produced by the company minus capital expenditure. This cash is what a company uses to meet its financial obligations, such as making payments on debt or to pay out dividends. The Free Cash Flow Score (FCF Score) is a helpful tool in calculating the free cash flow growth with free cash flow stability – this gives investors the overall quality of the free cash flow. The FCF Score of Avid Technology, Inc. (NasdaqGS:AVID) is 1.988316. Experts say the higher the value, the better, as it means that the free cash flow is high, or the variability of free cash flow is low or both.
Investors keeping an eye on shares of Avid Technology, Inc. (NasdaqGS:AVID) may be examining the company’s FCF or Free Cash Flow as well. FCF is a measure of the financial performance of a company. FCF is calculated by subtracting capital expenditures from operating cash flow. Currently, Avid Technology, Inc. has an FCF score of 1.988316. The FCF score is an indicator that is calculated by combining free cash flow stability with free cash flow growth. Typically, a higher FCF score value would indicate high free cash flow growth. The company currently has an FCF quality score of -0.574845. The free quality score helps estimate free cash flow stability. FCF quality is calculated as the 12 ltm cash flow per share over the average of the cash flow numbers. With this score, it is generally considered that the lower the ratio, the better.
Successful investors are usually adept at expecting and reacting to sudden change. Things may be all roses when the markets are riding the bulls higher, but environments shift and can leave investors suddenly in the lurch. When times are good, investors may be well served by maintaining a watchful eye on the portfolio. Becoming complacent when everything seems to be working can become a disaster very quickly without the proper attention. Setting up a plan for different market scenarios can greatly benefit the investor. Routinely studying portfolio contents may help when the need to release some underperformers comes. Keeping close tabs on the portfolio may also help fend off a personal panic if events take a dramatic turn for the worse.
Investors may also be watching company stock volatility data. Avid Technology, Inc. (NasdaqGS:AVID)’s 12 month volatility is presently 57.727000. The 6 month volatility is 58.887900, and the 3 month is noted at 64.387100. Stock price volatility may be used to identify changes in market trends. When markets become very volatile, this may point to a change in investor sentiment. Watching volatility in combination with other technical indicators may help investors discover important trading information.
One way to completely avoid market mistakes is to not invest at all. Of course, that could end up to be the greatest mistake of all. Investors will occasionally make some mistakes, as that comes with the territory. The key as with most things in life is to figure out how to learn from past mistakes and use that knowledge to make better decisions going forward. Pinpointing exactly what went wrong may help shed some light on what needs improvement. Sometimes, investors will suffer losses and become discouraged right out of the gate. The tendency is to then try to recoup losses by taking even bigger risks which can lead to complete disaster. One of the biggest differences between successful investors and failed investors is the willingness and ability to learn from past personal mistakes.