Continental Stock Buy Hold or Sell Recommendation

CAL
 Stock
  

USD 29.97  0.45  1.48%   

Considering the 90-day investment horizon and complete risk avoidance on your part, our recommendation regarding Caleres is 'Strong Sell'. Macroaxis provides Continental buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding CAL positions. The advice algorithm takes into account all of Continental's available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Continental's buy-and-hold perspective. Continue to Continental Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. We conduct extensive research on individual companies such as Continental and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Caleres.

Execute Continental Buy or Sell Advice

The Continental recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Caleres. Macroaxis does not own or have any residual interests in Caleres or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Continental's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell ContinentalBuy Continental
Strong Sell

Volatility

Details

Hype Condition

Details

Current Valuation

Details

Odds of Distress

Details

Economic Sensitivity

Details

Analyst Consensus

Details

Financial Strenth (F Score)

Details

Financial Leverage

Inapplicable
Details

Reporting Quality (M-Score)

Details
For the selected time horizon Caleres has a Mean Deviation of 3.19, Semi Deviation of 3.5, Standard Deviation of 5.12, Variance of 26.18, Downside Variance of 13.44 and Semi Variance of 12.22
Our investment recommendation module complements current analysts and expert consensus on Continental. It analyzes the firm potential to grow using all fundamental, technical, and market related data available at the time. To make sure Continental is not overpriced, please confirm all Continental fundamentals, including its gross profit, debt to equity, and the relationship between the price to book and cash and equivalents . Given that Continental has a price to earning of 49.16 X, we suggest you to validate Caleres market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Continental Trading Alerts and Improvement Suggestions

Continental is way too risky over 90 days horizon
Continental appears to be risky and price may revert if volatility continues
Caleres was previously known as CALERES INC and was traded on New York Stock Exchange under the symbol BWS.
The company has 876.43 M in debt with debt to equity (D/E) ratio of 2.45, meaning that the company heavily relies on borrowing funds for operations. Continental has a current ratio of 0.85, suggesting that it has not enough short term capital to pay financial commitments when the payables are due. Debt can assist Continental until it has trouble settling it off, either with new capital or with free cash flow. So, Continental's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Continental sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Continental to invest in growth at high rates of return. When we think about Continental's use of debt, we should always consider it together with cash and equity.
Continental has a strong financial position based on the latest SEC filings
Over 96.0% of Continental shares are held by institutions such as insurance companies
On 29th of June 2022 Continental paid $ 0.07 per share dividend to its current shareholders
Latest headline from MacroaxisInsider: Continental exotic insider transaction detected

Continental current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Continental analyst recommendations are determined by taking all analyst recommendations and averaging them as Strong Buy, Buy, Hold, Strong Sell or Sell. There is no one specific way to measure analysis performance other than comparing it to the past results via a very sophisticated attribution analysis. Continental analyst consensus and target price projections should be used in combination with other traditional techniques such as stock price forecasting, technical analysis, earnings estimate, and various momentum models.
Target Mean Price36.00
Target Median Price36.00
Target High Price40.00
Recommendation Mean2.00
Number Of Analyst Opinions4
Target Low Price32.00
The consensus estimates and target price estimation comprises individual analyst assessments, and may or may not mutch the Macroaxis buy or sell advice. It is determined by taking an average of all analyst recommendations and classifying them as Strong Buy, Buy, Hold, or Sell.

Continental Returns Distribution Density

The distribution of Continental's historical returns is an attempt to chart the uncertainty of Continental's future price movements. The chart of the probability distribution of Continental stock daily returns describes the distribution of returns around its average expected value. We use Caleres price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Continental returns is essential to provide solid investment advice for Continental.
Mean Return0.44Value At Risk-6.58
Potential Upside7.01Standard Deviation5.12
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Continental historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Continental Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Continental or Consumer Cyclical sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Continental's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Continental stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over DOW
0.31
β
Beta against DOW1.54
σ
Overall volatility
5.17
Ir
Information ratio 0.07

Continental Volatility Alert

Caleres shows above-average downside volatility for the selected time horizon. We advise investors to inspect Caleres further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Continental future alpha. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Continental's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Continental's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.

Continental Implied Volatility

Continental's implied volatility exposes the market's sentiment of Caleres stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Continental's implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Continental stock will not fluctuate a lot when Continental's options are near their expiration.

Continental Fundamentals Vs Peers

Comparing Continental's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Continental's direct or indirect competition across all of the common fundamentals between Continental and the related equities. This way, we can detect undervalued stocks with similar characteristics as Continental or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Continental's fundamental indicators could also be used in its relative valuation, which is a method of valuing Continental by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Continental to competition
FundamentalsContinentalPeer Average
Return On Equity64.38 %(0.31) %
Return On Asset8.59 %(0.14) %
Profit Margin6.31 %(1.27) %
Operating Margin10.51 %(5.51) %
Current Valuation1.76 B16.62 B
Shares Outstanding38.09 M571.82 M
Shares Owned by Insiders4.39 %10.09 %
Shares Owned by Institutions96.01 %39.21 %
Number of Shares Shorted2.75 M4.71 M
Price to Earning49.16 X28.72 X
Price to Book3.77 X9.51 X
Price to Sales0.39 X11.42 X
Revenue2.87 B9.43 B
Gross Profit1.23 B27.38 B
EBITDA301.99 M3.9 B
Net Income174.59 M570.98 M
Cash and Equivalents33.72 M2.7 B
Cash per Share0.92 X5.01 X
Total Debt876.43 M5.32 B
Debt to Equity2.45 %48.70 %
Current Ratio0.87 X2.16 X
Book Value Per Share7.87 X1.93 K
Cash Flow from Operations117.75 M971.22 M
Short Ratio4.24 X4.00 X
Earnings Per Share0.60 X3.12 X
Price to Earnings To Growth0.43 X4.89 X
Number of Employees5.2 K18.84 K
Beta2.01-0.15
Market Capitalization1.13 B19.03 B
Total Asset1.3 B29.47 B
Retained Earnings485.63 M9.33 B
Working Capital484.77 M1.48 B
Current Asset875.07 M9.34 B
   Continental exotic insider transaction detected [view details]

About Continental Buy or Sell Advice

When is the right time to buy or sell Caleres? Buying financial instruments such as Continental Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2010 2014 2020 2022 (projected)
Receivables129.22 M162.18 M122.24 M136.25 M
Inventories547.53 M618.41 M596.81 M599.95 M

Use Investing Ideas to Build Portfolios

In addition to having Continental in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

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Small Blend
Small Blend Theme
Fund or Etfs that invest in stocks of small to mid-sized entities that have characteristics of both growth and value companies. The Small Blend theme has 40 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Small Blend Theme or any other thematic opportunities.
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Continue to Continental Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. Note that the Continental information on this page should be used as a complementary analysis to other Continental's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Portfolio File Import module to quickly import all of your third-party portfolios from your local drive in csv format.

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Is Continental's industry 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 Continental. If investors know Continental 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 Continental 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 YOY
7.25
Market Capitalization
1.1 B
Quarterly Revenue Growth YOY
0.15
Return On Assets
0.0859
Return On Equity
0.64
The market value of Continental is measured differently than its book value, which is the value of Continental that is recorded on the company's balance sheet. Investors also form their own opinion of Continental's value that differs from its market value or its book value, called intrinsic value, which is Continental'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 Continental's market value can be influenced by many factors that don't directly affect Continental'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 Continental's value and its price as these two are different measures arrived at by different means. Investors typically determine Continental value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Continental'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.