Zendesk Stock Buy Hold or Sell Recommendation

ZEN
 Stock
  

USD 77.48  0.00  0.00%   

Considering the 90-day investment horizon and your typical level of risk aversion, our recommendation regarding Zendesk is 'Strong Hold'. Macroaxis provides Zendesk buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Zendesk positions. The advice algorithm takes into account all of Zendesk's available fundamental, technical, and predictive indicators you will find on this site.
  
The advice is provided from Zendesk's buy-and-hold perspective. Check out Zendesk 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 Zendesk and provide practical buy, sell, or hold advice based on selected investing horizon and risk tolerance towards Zendesk.

Execute Zendesk Buy or Sell Advice

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

Time Horizon

Risk Tolerance

Execute Advice
Sell ZendeskBuy Zendesk
Strong Hold

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 Zendesk has a Risk Adjusted Performance of 0.0433, Jensen Alpha of 0.0127, Total Risk Alpha of (0.007729), Sortino Ratio of (0.21) and Treynor Ratio of (0.15)
Macroaxis provides unbiased trade advice on Zendesk that should be used to complement current analysts and expert consensus on Zendesk. Our recommendation engine determines the company's potential to grow exclusively from the perspective of an investors' current risk tolerance and investing horizon. To make sure Zendesk is not overpriced, please check out all Zendesk fundamentals, including its gross profit, short ratio, current liabilities, as well as the relationship between the total debt and market capitalization . Given that Zendesk has a number of shares shorted of 9.25 M, we strongly advise you to confirm Zendesk market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevalent risk tolerance and investing horizon.

Zendesk Trading Alerts and Improvement Suggestions

The company reported the last year's revenue of 1.59 B. Reported Net Loss for the year was (282.98 M) with profit before taxes, overhead, and interest of 1.06 B.
Over 85.0% of the company outstanding shares are owned by institutional investors
Latest headline from MacroaxisInsider: Payment of 135 shares by Jeffrey Titterton of Zendesk subject to Rule 16b-3

Zendesk current analysts advice

We track the performance of the top 100 financial experts across various large and mid-size financial boutiques. Zendesk 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. Zendesk 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 Price97.85
Target Median Price77.50
Target High Price160.00
Recommendation Mean3.00
Number Of Analyst Opinions10
Target Low Price77.50
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.

Zendesk Returns Distribution Density

The distribution of Zendesk's historical returns is an attempt to chart the uncertainty of Zendesk's future price movements. The chart of the probability distribution of Zendesk stock daily returns describes the distribution of returns around its average expected value. We use Zendesk price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Zendesk returns is essential to provide solid investment advice for Zendesk.
Mean Return0.019Value At Risk-0.42
Potential Upside0.67Standard Deviation0.38
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Zendesk 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.

Zendesk Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Zendesk is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Zendesk backward and forwards among themselves. Zendesk's institutional investor refers to the entity that pools money to purchase Zendesk'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
Zurcher Kantonalbank Zurich CantonalbankCommon Shares48.3 K3.6 M
Zurcher Kantonalbank Zurich CantonalbankDebt1.4 M1.4 M
Zurcher Kantonalbank Zurich CantonalbankCommon Shares49.3 K5.9 M
Zurcher Kantonalbank Zurich CantonalbankCommon Shares49.5 K5.2 M
Zurcher Kantonalbank Zurich CantonalbankCommon Shares38.5 K4.5 M
Zurcher Kantonalbank Zurich CantonalbankCommon Shares38.5 K5.6 M
Zurcher Kantonalbank Zurich CantonalbankCommon Shares38.5 K5.1 M
Zurcher Kantonalbank Zurich CantonalbankCommon Shares36.7 K5.3 M
Note, although Zendesk'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.

Zendesk Cash Flow Accounts

201720182019202020212022 (projected)
Net Cash Flow from Financing43.14 M529.06 M48.41 M563.82 M59.23 M60.78 M
Net Cash Flow from Investing(69.87 M)(589.68 M)(66.75 M)(382.33 M)(159.45 M)(172.04 M)
Net Cash Flow from Operations42.09 M78.62 M89.26 M26.43 M169.76 M183.16 M

Zendesk 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 Zendesk 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 Zendesk'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 Zendesk 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
0.012684
β
Beta against DOW-0.06
σ
Overall volatility
0.40
Ir
Information ratio -0.14

Zendesk Volatility Alert

Zendesk exhibits very low volatility with skewness of 2.1 and kurtosis of 6.88. However, we advise investors to further study Zendesk technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Zendesk'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 Zendesk'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.

Zendesk Fundamentals Vs Peers

Comparing Zendesk'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 Zendesk's direct or indirect competition across all of the common fundamentals between Zendesk and the related equities. This way, we can detect undervalued stocks with similar characteristics as Zendesk or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Zendesk's fundamental indicators could also be used in its relative valuation, which is a method of valuing Zendesk by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Zendesk to competition
FundamentalsZendeskPeer Average
Return On Equity(69.43) %(0.31) %
Return On Asset(4.93) %(0.14) %
Profit Margin(17.82) %(1.27) %
Operating Margin(11.93) %(5.51) %
Current Valuation9.64 B16.62 B
Shares Outstanding124.24 M571.82 M
Shares Owned by Insiders0.83 %10.09 %
Shares Owned by Institutions85.11 %39.21 %
Number of Shares Shorted9.25 M4.71 M
Price to Earning(27.49) X28.72 X
Price to Book27.67 X9.51 X
Price to Sales6.06 X11.42 X
Revenue1.59 B9.43 B
Gross Profit1.06 B27.38 B
EBITDA(159.97 M)3.9 B
Net Income(282.98 M)570.98 M
Cash and Equivalents1.34 B2.7 B
Cash per Share10.77 X5.01 X
Total Debt1.35 B5.32 B
Debt to Equity3.90 %48.70 %
Current Ratio1.83 X2.16 X
Book Value Per Share2.80 X1.93 K
Cash Flow from Operations125.65 M971.22 M
Short Ratio5.58 X4.00 X
Earnings Per Share(2.00) X3.12 X
Price to Earnings To Growth2.34 X4.89 X
Number of Employees6.44 K18.84 K
Beta0.89-0.15
Market Capitalization9.63 B19.03 B
Total Asset422.69 M29.47 B
Retained Earnings(396.71 M)9.33 B
Working Capital165.83 M1.48 B
Current Asset283.23 M9.34 B
   Disposition of 2747 shares by Jeffrey Titterton of Zendesk subject to Rule 16b-3 [view details]

About Zendesk Buy or Sell Advice

When is the right time to buy or sell Zendesk? Buying financial instruments such as Zendesk 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.
 2019 2020 2021 2022 (projected)
Accounts Payable38.38 M15.43 M49.21 M53.1 M
Receivables127.81 M199.24 M273.9 M295.52 M

Use Investing Ideas to Build Portfolios

In addition to having Zendesk 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 Picks
Macroaxis Picks Theme
Daily selected watch list of stocks of large companies handpicked by Macroaxis Team based on their diversification potential. The Macroaxis Picks theme has 44 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 Macroaxis Picks Theme or any other thematic opportunities.
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Check out Zendesk 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 Zendesk information on this page should be used as a complementary analysis to other Zendesk'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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.

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Is Zendesk'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 Zendesk. If investors know Zendesk 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 Zendesk listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Market Capitalization
9.6 B
Quarterly Revenue Growth YOY
0.2
Return On Assets
(0.0493) 
Return On Equity
(0.69) 
The market value of Zendesk is measured differently than its book value, which is the value of Zendesk that is recorded on the company's balance sheet. Investors also form their own opinion of Zendesk's value that differs from its market value or its book value, called intrinsic value, which is Zendesk'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 Zendesk's market value can be influenced by many factors that don't directly affect Zendesk'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 Zendesk's value and its price as these two are different measures arrived at by different means. Investors typically determine Zendesk value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Zendesk'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.