OneConnect Stock Buy Hold or Sell Recommendation

OCFT
 Stock
  

USD 1.85  0.14  8.19%   

Given the investment horizon of 90 days and your highly speculative risk level, our recommendation regarding OneConnect Financial Technology is 'Buy'. Macroaxis provides OneConnect Financial buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding OCFT positions. The advice algorithm takes into account all of OneConnect Financial's available fundamental, technical, and predictive indicators you will find on this site.
  
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The advice is provided from OneConnect Financial's buy-and-hold perspective. Please check OneConnect Financial 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 OneConnect and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards OneConnect Financial Technology.

Execute OneConnect Financial Buy or Sell Advice

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

Time Horizon

Risk Tolerance

Execute Advice
Sell OneConnect FinancialBuy OneConnect Financial
Buy

Volatility

Slightly riskyDetails

Hype Condition

StaleDetails

Current Valuation

UndervaluedDetails

Odds of Distress

Below AverageDetails

Economic Sensitivity

Almost mirrors the marketDetails

Analyst Consensus

BuyDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon OneConnect Financial Technology has a Risk Adjusted Performance of 0.0596, Jensen Alpha of 0.3584, Total Risk Alpha of 0.8863, Sortino Ratio of 0.0791 and Treynor Ratio of 0.1973
We provide trade recommendations to complement the recent expert consensus on OneConnect Financial. Our dynamic recommendation engine exercises a multidimensional algorithm to analyze the firm's potential to grow using all technical and fundamental data available at the time. To make sure OneConnect Financial is not overpriced, please check all OneConnect Financial fundamentals, including its total debt, market capitalization, and the relationship between the gross profit and short ratio . Please also confirm OneConnect Financial number of shares shorted to check out your buy or sell decision is consistent with all fundamental data available and that the company can sustain itself in the current economic cycle.

OneConnect Financial Trading Alerts and Improvement Suggestions

OneConnect Financial may become a speculative penny stock
OneConnect Financial has very high historical volatility over the last 90 days
The company reported the previous year's revenue of 4.13 B. Net Loss for the year was (1.28 B) with profit before overhead, payroll, taxes, and interest of 1.44 B.
OneConnect Financial Technology currently holds about 4.49 B in cash with (404.33 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 11.52, which can makes it an attractive takeover target, given it will continue generating positive cash flow.
Roughly 15.0% of the company outstanding shares are owned by corporate insiders
Latest headline from pulse2.com: OneConnect Financial Stock Why It Increased Over 5 percent Today - Pulse 2.0

OneConnect Financial current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. OneConnect 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. OneConnect 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 Price2.56
Target Median Price2.16
Target High Price3.74
Recommendation Mean2.80
Number Of Analyst Opinions5
Target Low Price1.57
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.

OneConnect Financial Returns Distribution Density

The distribution of OneConnect Financial's historical returns is an attempt to chart the future uncertainty of OneConnect Financial's future price movements. The chart of the probability distribution of OneConnect Financial stock daily returns describes the distribution of returns around its average expected value. We use OneConnect Financial Technology price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of OneConnect Financial returns is essential to provide solid investment advice for OneConnect Financial stock.
Mean Return0.19Value At Risk-6.41
Potential Upside8.67Standard Deviation5.19
 Return Density 
      Distribution 
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of OneConnect Financial 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.

OneConnect Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as OneConnect Financial is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading OneConnect Financial Technology backward and forwards among themselves. OneConnect Financial's institutional investor refers to the entity that pools money to purchase OneConnect Financial'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.
Security TypeSharesValue
Capital Research Global InvestorsCommon Shares6.4 M9.1 M
Vanguard Group IncCommon Shares4.5 M6.3 M
Sb Investment Advisers Uk LtdCommon Shares4.3 M6.1 M
Krane Funds Advisors LlcCommon Shares4.1 M5.8 M
State Street CorpCommon Shares3.9 M5.5 M
Millennium Management LlcCommon Shares2.7 M3.9 M
Blackrock IncCommon Shares2.7 M3.8 M
Note, although OneConnect Financial's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

OneConnect Financial 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 OneConnect Financial 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 OneConnect Financial 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 OneConnect 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
0.36
β
Beta against DOW0.92
σ
Overall volatility
4.93
Ir
Information ratio 0.07

OneConnect Financial Volatility Alert

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

OneConnect Financial Implied Volatility

OneConnect Financial's implied volatility exposes the market's sentiment of OneConnect Financial Technology stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if OneConnect Financial'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 OneConnect Financial stock will not fluctuate a lot when OneConnect Financial's options are near their expiration.

OneConnect Financial Fundamentals Vs Peers

Comparing OneConnect Financial'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 OneConnect Financial's direct or indirect competition across all of the common fundamentals between OneConnect Financial and the related equities. This way, we can detect undervalued stocks with similar characteristics as OneConnect Financial or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of OneConnect Financial's fundamental indicators could also be used in its relative valuation, which is a method of valuing OneConnect Financial by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare OneConnect Financial to competition
FundamentalsOneConnect FinancialPeer Average
Return On Equity(29.18) %(0.31) %
Return On Asset(9.44) %(0.14) %
Profit Margin(31.02) %(1.27) %
Operating Margin(36.97) %(5.51) %
Current Valuation(2.95 B)16.62 B
Shares Outstanding389.99 M571.82 M
Shares Owned by Insiders15.47 %10.09 %
Shares Owned by Institutions14.65 %39.21 %
Number of Shares Shorted2.48 M4.71 M
Price to Earning(12.84) X28.72 X
Price to Book0.15 X9.51 X
Price to Sales0.15 X11.42 X
Revenue4.13 B9.43 B
Gross Profit1.44 B27.38 B
EBITDA(1.43 B)3.9 B
Net Income(1.28 B)570.98 M
Cash and Equivalents4.49 B2.7 B
Cash per Share11.52 X5.01 X
Total Debt970.15 M5.32 B
Debt to Equity0.25 %48.70 %
Current Ratio1.34 X2.16 X
Book Value Per Share10.89 X1.93 K
Cash Flow from Operations(404.33 M)971.22 M
Short Ratio1.90 X4.00 X
Earnings Per Share(0.55) X3.12 X
Price to Earnings To Growth(2.66) X4.89 X
Number of Employees3.84 K18.84 K
Beta0.48-0.15
Market Capitalization635.69 M19.03 B
Total Asset9.53 B29.47 B
Retained Earnings(4.11 B)9.33 B
Working Capital2.33 B1.48 B
Current Asset7.42 B9.34 B

OneConnect Financial Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as OneConnect . 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 Distribution63009.04
Daily Balance Of Power0.875
Rate Of Daily Change1.08
Day Median Price1.77
Day Typical Price1.8
Price Action Indicator0.15

About OneConnect Financial Buy or Sell Advice

When is the right time to buy or sell OneConnect Financial Technology? Buying financial instruments such as OneConnect 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 OneConnect Financial 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.

Use Investing Ideas to Build Portfolios

In addition to having OneConnect Financial 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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Macroaxis Index Theme
An experimental equal-weighted index theme of selected equities generated based on Macroaxis rating and scoring system. The Macroaxis Index theme has 51 constituents.
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 Macroaxis Index Theme or any other thematic opportunities.
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Please check OneConnect Financial 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 OneConnect Financial information on this page should be used as a complementary analysis to other OneConnect Financial'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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.

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When running OneConnect Financial price analysis, check to measure OneConnect Financial'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 OneConnect Financial is operating at the current time. Most of OneConnect Financial's value examination focuses on studying past and present price action to predict the probability of OneConnect Financial's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move OneConnect Financial's price. Additionally, you may evaluate how the addition of OneConnect Financial to your portfolios can decrease your overall portfolio volatility.
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Is OneConnect Financial'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 OneConnect Financial. If investors know OneConnect 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 OneConnect Financial listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Market Capitalization
690.3 M
Quarterly Revenue Growth YOY
0.24
Return On Assets
-0.11
Return On Equity
-0.31
The market value of OneConnect Financial is measured differently than its book value, which is the value of OneConnect that is recorded on the company's balance sheet. Investors also form their own opinion of OneConnect Financial's value that differs from its market value or its book value, called intrinsic value, which is OneConnect Financial'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 OneConnect Financial's market value can be influenced by many factors that don't directly affect OneConnect Financial'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 OneConnect Financial's value and its price as these two are different measures arrived at by different means. Investors typically determine OneConnect Financial value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, OneConnect Financial'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.