Luna Innovations Stock Buy Hold or Sell Recommendation

LUNA
 Stock
  

USD 6.28  0.02  0.32%   

Given the investment horizon of 90 days and your above-average risk tolerance, our recommendation regarding Luna Innovations is 'Hold'. Macroaxis provides Luna Innovations buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding LUNA positions. The advice algorithm takes into account all of Luna Innovations' available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Luna Innovations' buy-and-hold perspective. Additionally, see Luna Innovations 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 Luna Innovations and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Luna Innovations.

Execute Luna Innovations Buy or Sell Advice

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

Time Horizon

Risk Tolerance

Execute Advice
Sell Luna InnovationsBuy Luna Innovations
Hold

Volatility

Slightly riskyDetails

Hype Condition

Over hypedDetails

Current Valuation

UndervaluedDetails

Odds of Distress

LowDetails

Economic Sensitivity

Hyperactively responds to market trendsDetails

Analyst Consensus

BuyDetails

Financial Strenth (F Score)

StrongDetails

Financial Leverage

InapplicableDetails

Reporting Quality (M-Score)

Unlikely ManipulatorDetails
For the selected time horizon Luna Innovations has a Risk Adjusted Performance of 0.1084, Jensen Alpha of 0.1636, Total Risk Alpha of 0.0879, Sortino Ratio of 0.0637 and Treynor Ratio of 0.1462
We provide investment recommendation to complement the last-minute expert consensus on Luna Innovations. Our dynamic recommendation engine harnesses a multidimensional algorithm to analyze the entity's potential to grow using all technical and fundamental data available at the time. To make sure Luna Innovations is not overpriced, please verify all Luna Innovations fundamentals, including its total debt, beta, and the relationship between the ebitda and cash flow from operations . Given that Luna Innovations has a number of shares shorted of 516.65 K, we recommend you to check Luna Innovations market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Luna Innovations Trading Alerts and Improvement Suggestions

Luna Innovations has very high historical volatility over the last 90 days
The company reported the previous year's revenue of 89 M. Net Loss for the year was (1.37 M) with profit before overhead, payroll, taxes, and interest of 51.56 M.
Luna Innovations has a strong financial position based on the latest SEC filings
About 58.0% of the company shares are owned by institutional investors
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Luna Innovations current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Luna Innovations 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. Luna Innovations 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 Price10.69
Target Median Price10.38
Target High Price14.00
Recommendation Mean1.70
Number Of Analyst Opinions4
Target Low Price8.00
Average Consensus Buy
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.

Luna Innovations Returns Distribution Density

The distribution of Luna Innovations' historical returns is an attempt to chart the future uncertainty of Luna Innovations' future price movements. The chart of the probability distribution of Luna Innovations stock daily returns describes the distribution of returns around its average expected value. We use Luna Innovations price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Luna Innovations returns is essential to provide solid investment advice for Luna Innovations stock.
Mean Return0.33Value At Risk-6.07
Potential Upside6.28Standard Deviation4.06
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Luna Innovations 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.

Luna Innovations Cash Flow Accounts

201720182019202020212022 (projected)
Capital Expenditure(1.35 M)(385.89 K)(541 K)(278 K)(1.41 M)(1.45 M)
Depreciation Amortization and Accretion2.53 M1.22 M2.5 M2.97 M4.63 M3.7 M
Net Cash Flow or Change in Cash and Cash Equivalents24.18 M5.48 M(17.45 M)(9.65 M)1.45 M1.57 M
Issuance Purchase of Equity Shares(1.03 M)630.42 K(1.77 M)1.72 M2.93 M3.16 M
Issuance Repayment of Debt Securities(1.89 M)(1.88 M)(665 K)19.93 M(4.19 M)(4.3 M)
Net Cash Flow from Financing(2.92 M)(1.25 M)(2.44 M)21.65 M(1.26 M)(1.3 M)
Net Cash Flow from Investing26.18 M10.04 M(19.82 M)(34.16 M)(1.77 M)(1.81 M)
Net Cash Flow from Operations915.04 K(3.31 M)4.8 M2.86 M4.48 M4.84 M
Share Based Compensation715.09 K627.86 K1.54 M2.13 M2.96 M2.41 M

Luna Innovations 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 Luna Innovations or Technology 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 Luna Innovations stock'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 Luna Innovations 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
0.16
β
Beta against DOW2.19
σ
Overall volatility
4.07
Ir
Information ratio 0.06

Luna Innovations Volatility Alert

Luna Innovations shows above-average downside volatility for the selected time horizon. We advise investors to inspect Luna Innovations further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Luna Innovations future alpha. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Luna Innovations' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Luna Innovations' 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.

Luna Innovations Implied Volatility

Luna Innovations' implied volatility" href="/stock-options/LUNA/Luna-Innovations">Luna Innovations' implied volatility exposes the market's sentiment of Luna Innovations stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Luna Innovations' implied volatility" href="/stock-options/LUNA/Luna-Innovations">Luna Innovations' 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 Luna Innovations stock will not fluctuate a lot when Luna Innovations' options" href="/stock-options/LUNA/Luna-Innovations">Luna Innovations' options are near their expiration.

Luna Innovations Fundamentals Vs Peers

Comparing Luna Innovations' 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 Luna Innovations' direct or indirect competition across all of the common fundamentals between Luna Innovations and the related equities. This way, we can detect undervalued stocks with similar characteristics as Luna Innovations or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Luna Innovations' fundamental indicators could also be used in its relative valuation, which is a method of valuing Luna Innovations by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Luna Innovations to competition
FundamentalsLuna InnovationsPeer Average
Return On Equity(1.63) %(0.31) %
Return On Asset(1.54) %(0.14) %
Profit Margin12.68 %(1.27) %
Operating Margin(3.79) %(5.51) %
Current Valuation227.42 M16.62 B
Shares Outstanding31.97 M571.82 M
Shares Owned by Insiders4.14 %10.09 %
Shares Owned by Institutions57.91 %39.21 %
Number of Shares Shorted516.65 K4.71 M
Price to Earning16.61 X28.72 X
Price to Book2.50 X9.51 X
Price to Sales2.22 X11.42 X
Revenue89 M9.43 B
Gross Profit51.56 M27.38 B
EBITDA1.21 M3.9 B
Net Income(1.37 M)570.98 M
Cash and Equivalents10.79 M2.7 B
Cash per Share0.33 X5.01 X
Total Debt28.42 M5.32 B
Debt to Equity0.31 %48.70 %
Current Ratio2.55 X2.16 X
Book Value Per Share2.47 X1.93 K
Cash Flow from Operations5.04 M971.22 M
Short Ratio1.20 X4.00 X
Earnings Per Share(0.01) X3.12 X
Number of Employees38518.84 K
Beta1.23-0.15
Market Capitalization197.24 M19.03 B
Total Asset58.13 M29.47 B
Retained Earnings(17.53 M)9.33 B
Working Capital23.42 M1.48 B
Current Asset38.75 M9.34 B
Current Liabilities15.33 M7.9 B
   Acquisition by Anderson N Leigh of 1888 shares of Luna Innovations subject to Rule 16b-3 [view details]

Luna Innovations Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Luna Innovations . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
Accumulation Distribution7258.31
Daily Balance Of Power0.0588
Rate Of Daily Change1.0
Day Median Price6.21
Day Typical Price6.23
Market Facilitation Index0.0
Price Action Indicator0.08

About Luna Innovations Buy or Sell Advice

When is the right time to buy or sell Luna Innovations? Buying financial instruments such as Luna Innovations Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the stock 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. Although Luna Innovations investors may find it confusing at the beginning, most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2019 2020 2021 2022 (projected)
Receivables18.77 M24.95 M20.91 M22.56 M
Inventories10.29 M23.6 M22.49 M24.27 M

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Candy and Soda
Candy and Soda Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Candy and Soda theme has 11 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 Candy and Soda Theme or any other thematic opportunities.
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Additionally, see Luna Innovations 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 Luna Innovations information on this page should be used as a complementary analysis to other Luna Innovations' 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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.

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When running Luna Innovations price analysis, check to measure Luna Innovations' 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 Luna Innovations is operating at the current time. Most of Luna Innovations' value examination focuses on studying past and present price action to predict the probability of Luna Innovations' future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Luna Innovations' price. Additionally, you may evaluate how the addition of Luna Innovations to your portfolios can decrease your overall portfolio volatility.
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Is Luna Innovations' 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 Luna Innovations. If investors know Luna Innovations 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 Luna Innovations 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
-0.88
Market Capitalization
211.4 M
Quarterly Revenue Growth YOY
0.071
Return On Assets
-0.0154
Return On Equity
-0.0163
The market value of Luna Innovations is measured differently than its book value, which is the value of Luna Innovations that is recorded on the company's balance sheet. Investors also form their own opinion of Luna Innovations' value that differs from its market value or its book value, called intrinsic value, which is Luna Innovations' 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 Luna Innovations' market value can be influenced by many factors that don't directly affect Luna Innovations' 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 Luna Innovations' value and its price as these two are different measures arrived at by different means. Investors typically determine Luna Innovations value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Luna Innovations' 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.