Is RPM International (NYSE:RPM) outlook still optimistic?

RPM
 Stock
  

USD 103.71  0.15  0.14%   

As many millenniums are trying to avoid basic materials space, it makes sense to summarize RPM International a little further and try to understand its current market patterns. As expected, RPM International is starting to reaffirm its true potential as stakeholders are becoming more and more confident in the future outlook. The company returns are highly related to returns on the market. As market weaves, the company is expected to follow. Steady basic indicators of the company may also denote signals of medium-term gains for RPM International stakeholders. RPM International is scheduled to announce its earnings tomorrow.
Published over a month ago
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This firm's average rating is Hold from 10 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on RPM International market sentiment investors' perception of the future value of RPM International. Let us look at a few aspects of RPM International technical analysis. About 86.0% of the company shares are owned by institutional investors. RPM International last dividend was issued on the 14th of July 2022. The entity had 5:4 split on the 9th of December 1997.
Using predictive technical analysis, we will analyze different prices and returns patterns and diagnose historical swings to determine the real value of RPM International. In general, we focus on analyzing RPM International stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build RPM International's daily price indicators and compare them against related drivers such as momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional technical analysis and fundamental analysis, we attempt to find the most accurate representation of RPM International's intrinsic value. In addition to deriving basic predictive indicators for RPM International, we also check how macroeconomic factors affect RPM International price patterns. Please read more on our technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed many market ups and downs, frequently view the market will even out over time. This tendency of RPM International'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 RPM International 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 RPM International. Your research has to be compared to or analyzed against RPM International's peers to derive any actionable benefits. When done correctly, RPM International'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 RPM International.

How important is RPM International's Liquidity

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

Closer look at RPM International Downside Variance

RPM International has current Downside Variance of 2.09. Downside Variance (or DV) is measured by target semi-variance and is termed downside volatility. It is expressed in percentages and therefore allows for rankings in the same way as variance. One way to view downside volatility is the annualized variance of returns below the target.

Downside Variance is the probability-weighted squared below-target returns. The squaring of the below-target returns has the effect of penalizing failures at an exponential rate. This is consistent with observations made on the behavior of individual decision-making under.

Downside Variance 
 = 
SUM(RET DEV)2 
N(ER) 
 = 
2.09
SUM = Summation notation
RET DEV = Actual returns deviation over selected period
N(ER) = Number of points with returns less than expected return for the period

Another 3 percent hike for RPM International

New skewness is at 0.57.
As of the 4th of October, RPM International holds the semi deviation of 1.32, and Risk Adjusted Performance of 0.1129. Concerning fundamental indicators, the technical analysis model allows you to check practical technical drivers of RPM International, as well as the relationship between them. Put it differently, you can use this information to find out if the company will indeed mirror its model of past market data, or the prices will eventually revert. We were able to interpolate data for nineteen technical drivers for RPM International, which can be compared to its competitors. Please check RPM International standard deviation, maximum drawdown, as well as the relationship between the Maximum Drawdown and expected short fall to decide if RPM International is priced more or less accurately, providing market reflects its current price of 86.65 per share. Given that RPM International has jensen alpha of 0.2218, we recommend you to check out RPM International's recent market performance to make sure the company can sustain itself at some point in the future.

Our Final Take On RPM International

While many other companies within the specialty chemicals industry are still a little expensive, even after the recent corrections, RPM International may offer a potential longer-term growth to stakeholders. While some stakeholders may not share our view, we believe it may be a good time to increase your existing holdings in RPM International. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to RPM International.

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 Rifka Kats do not own shares of RPM International. Please refer to our Terms of Use for any information regarding our disclosure principles.

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