Heico Stock Story

HEI
 Stock
  

USD 130.30  1.06  0.81%   

It seems as Heico Corp may not have a good chance to recover from the current drop as its shares fell again. This firm current daily volatility is 1.78 percent, with a beta of 0.87 and an alpha of 0.02 over DOW. While some millenniums are indifferent towards current market swings, it makes sense to concentrate on Heico Corp based on its technical indicators. We will look into some reasons why it is still possible for Heico Corp to maintain above-average margins while minimizing volatility.
Published over a month ago
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Heico Corp Current Investor Sentiment

Investor biases related to Heico Corp's public news can be used to forecast risks associated with investment in Heico. The trend in average sentiment can be used to explain how an investor holding Heico can time the market purely based on public headlines and social activities around Heico Corp. Please note that most equiteis that are difficult to arbitrage are affected by market sentiment the most.
Heico Corp's market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Heico Corp's and other traded tickers. The bigger the bubble, the more accurate is the estimated score. Higher bars for a given day show more participation in the average Heico Corp's news discussions. The higher the estimate score, the more favorable is the investor's outlook on Heico Corp.

Heico Corp Maximum Pain Price across 2022-07-15 Option Contracts

Heico Corp's options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Heico Corp close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Heico Corp's options.
Is Heico Corp (NYSE:HEI) stock way too aggressive for baby boomers?
Heico Corp has roughly 124.82 M in cash with 414.86 M of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.92.
Macroaxis provides investment recommendation on Heico Corp to complement and cross-verify current analyst consensus on Heico Corp. Our trade recommendations engine determines the entity's potential to grow exclusively from the perspective of an investor's current risk tolerance and investing horizon.
Investing in Heico Corp, just like investing in any other equity instrument, is characterized by a strong risk-return correlation. High risks mean high returns and low risk means lower expected returns. Risk management is the act of identifying and assessing the potential risk and developing strategies to minimize these risks and earn maximum possible profits while holding Heico Corp along with other instruments in the same portfolio. Using conventional technical analysis and fundamental analysis to select individual securities into a portfolio complements risk management and adds value to overall investors' investing strategies.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of Heico Corp's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy. Please use the tools below to analyze the current value of Heico Corp in the context of predictive analytics.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Heico Corp. Your research has to be compared to or analyzed against Heico Corp's peers to derive any actionable benefits. When done correctly, Heico Corp's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy towards taking a position in Heico Corp.

How important is Heico Corp's Liquidity

Heico Corp financial leverage refers to using borrowed capital as a funding source to finance Heico Corp ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Heico 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 Heico 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 Heico Corp, but it might be worth checking our own buy vs. sell analysis

Heico Corp Correlation with Peers

Investors in Heico can reduce exposure to individual asset risk by holding a diversified portfolio of assets in addition to a long position in Heico Corp. Diversification will allow for the same portfolio return with reduced risk. The correlation table of Heico Corp and its peers is a two-dimensional matrix that shows the correlation coefficient between pairs of securities Heico is related in some way. The cells in the table are color-coded to highlight significantly positive and negative relationships. Each cell shows the correlation between one pair of equities and can be used to run pair trading strategies or create efficient portfolios with your current brokerage.
Please check volatility of Heico for more details

Heico Corp exotic insider transaction detected

Legal trades by Heico Corp insiders are very common, as founders, directors, or employees of any publicly traded firm often have stock or stock options. These trades are made public in the United States through the filing of Form 4 of the Securities and Exchange Commission. Below entry was recorded recently and is publicly available as an insider trade:
Heico insider trading alert for general transaction of class a common stock by Laurans Mendelson, COB and CEO, on 25th of May 2022. This event was filed by Heico Corp with SEC on 2021-12-29. Statement of changes in beneficial ownership - SEC Form 4. Laurans Mendelson currently serves as chairman of the board, chief executive officer and director of Heico Corp [view details]   
Note, although insider trading is legal, in the United States, Canada, Australia, and Germany, for mandatory reporting purposes, corporate insiders are defined as a company's officers, directors, and any beneficial owners of more than 10% of a class of the company's equity securities.

What is driving Heico Corp Investor Appetite?

Heico Corp holds Efficiency (Sharpe) Ratio of -0.0478, which attests that the entity had -0.0478% of return per unit of risk over the last 3 months. Macroaxis standpoint towards determining the risk of any stock is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. Heico Corp exposes twenty-eight different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to check out Heico Corp market risk adjusted performance of (0.13), and Risk Adjusted Performance of (0.08) to validate the risk estimate we provide.
Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

Heico Corp has 93 percent chance to stay above $135 in 2 months

Current market risk adjusted performance is at -0.13. Heico Corp exhibits very low volatility with skewness of -0.21 and kurtosis of -0.46. However, we advise investors to further study Heico Corp technical indicators to make sure 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 Heico 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 Heico 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.

Heico Corp Implied Volatility

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

Our Bottom Line On Heico Corp

While some companies in the aerospace & defense industry are either recovering or due for a correction, Heico may not be as strong as the others in terms of longer-term growth potentials. To conclude, as of the 22nd of May 2022, we believe that at this point, Heico Corp is undervalued with very small probability of distress within the next 2 years. Our ongoing Buy-Hold-Sell recommendation on the company is Strong Hold.

Editorial Staff

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 Ellen Johnson do not own shares of Heico Corp. Please refer to our Terms of Use for any information regarding our disclosure principles.

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