Dover Stock Story

DOV

- USA Stock

USD 133.06 3.30 2.54%

Macroaxis Story

It looks like Barnes will continue to recover faster as its price went down 1.21% today to Dover Corp's 0.71%. As many rational traders are trying to avoid industrials space, it makes sense to focus on Dover Corp a little further and understand how it stands against Barnes and other similar entities. We are going to recap some of the competitive aspects of both Dover and Barnes.

Published over three months ago

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Will Barnes sophisticated investors switch to Dover (NYSE:DOV)?

By analyzing existing basic indicators between Dover Corp and Barnes, you can compare the effects of market volatilities on both companies' prices and check if they can diversify away market risk if combined in one of your portfolios. You can also utilize pair trading strategies for matching a long position in Barnes with a short position in Dover Corp. Check out our pair correlation module for more information.

Let's begin by analyzing the assets.

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. Dover Corp has an asset utilization ratio of 89.47 percent. This indicates that the company is making $0.89 for each dollar of assets. An increasing asset utilization means that Dover Corp is more efficient with each dollar of assets it utilizes for everyday operations.

Will Barnes sophisticated investors switch to Dover (NYSE:DOV)?

How important is Dover Corp's Liquidity

Dover Corp financial leverage refers to using borrowed capital as a funding source to finance Dover Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Dover Corp financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Please check the breakdown between Dover Corp's total debt and its cash.

What do experts say?

Stock analysis is a method for investors and traders to make buying and selling decisions. By studying and evaluating past and current data, investors and traders attempt to gain an edge in the markets by making informed decisions.

It is good to see analyst projects for Dover Corp, but it might be worth checking our own buy vs. sell analysis

A Deeper look at Dover

Revenue is income that a firm generates from business activities such us rendering services or selling goods to customers. It is a crucial part of a business and an essential item when evaluating a company's financial statements. Revenues from a firm's primary business operations can be reported on the income statement as sales revenue, net sales, or simply sales, depending on the industry in which a given company operates.
Revenue is typically recorded when cash or cash equivalents are exchanged for services or goods and can include product or services discounts, promotions, as well as early payments on invoices or services rendered in advance.

Revenue Breakdown

Lets now check Dover Corp revenue. Based on the latest financial disclosure, Dover Corp reported 7.7 B of revenue. This is 120.09% higher than that of the Industrials sector and significantly higher than that of the Specialty Industrial Machinery industry. The revenue for all United States stocks is 18.39% higher than that of Dover Corp. As for Barnes we see revenue of 1.24 B, which is much higher than that of the Specialty Industrial Machinery

DOV

7.7 B

DOV	7.7 Billion	86.13
Sector	0.0	0.0
B	1.24 Billion	13.87

Dover Corp is projected to stay a bit over $172 in February

Variance is down to 1.7. It may cause a possible volatility fall. Dover Corp has relatively low volatility with skewness of -0.64 and kurtosis of 1.54. However, we advise all investors to independently investigate Dover Corp to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Dover Corp'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 Dover Corp'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.

Dover Corp Implied Volatility

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

Our Takeaway on Dover Corp Investment

When is the right time to buy or sell Dover Corp? Buying stocks such as Dover Corp isn't very hard. However, what challenging for most investors is doing it at the right time. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.

To conclude, as of the 27th of January 2022, our research shows that Dover Corp is a rather very steady investment opportunity with a low chance of financial distress in the next two years. From a slightly different view, the entity currently appears to be undervalued. Our actual 90 days advice on the venture is Buy.

Editorial Staff

Gabriel Shpitalnik is a Member of Macroaxis Editorial Board. Gabriel is a young entrepreneur and writes predominantly on the business, technology, and finance sector. He likes to analyze different equity instruments across a wide range of industries focusing primarily on consumer products and evolving technologies. View Profile

This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Gabriel Shpitalnik do not own shares of Dover Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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