Our trade recommendation on Temenos Group (OTC:TMNSF) based on the latest fundamentals

TMNSF
 Stock
  

USD 59.17  5.83  8.97%   

One of the important factors of profitable assets selection is to know the future growth potential of an asset before buying its shares. This post will digest Temenos Group. We will look into reasons why it is still very possible for the company to generate above-average returns. Will shareholders continue to hold, or should we expect a sell-off?
Published over two months ago
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Temenos Group is OVERVALUED at 67.55 per share with modest projections ahead.
Temenos Group Ag owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.0221, which indicates the firm had -0.0221% of return per unit of risk over the last 3 months. Macroaxis standpoint towards measuring 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. Temenos Group Ag exposes twenty-six different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to validate Temenos Group coefficient of variation of (4,594), and Risk Adjusted Performance of (0.019962) to confirm the risk estimate we provide.
Typically, a company's financial statements are the reports that show the financial position of the company. There are three main documents that fall into the category of financial statements. These documents include Temenos AG income statement, its balance sheet, and the statement of cash flows. Potential Temenos AG investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Temenos AG investors may use each financial statement separately, they are all related. The changes in Temenos AG's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Temenos AG's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
The goal of Temenos AG fundamental analysis is to do accurate financial forecasts. There are several possible objectives to fundamental analysis, such as projecting of Temenos AG performance into the future periods or doing a reasonable stock valuation. The intrinsic value of Temenos AG shares is the value that is considered the true value of the share. If the intrinsic value of Temenos is higher than its market price, buying is generally recommended. If it is equal to the market price, it is recommended to hold; and if it is less than the market price, then one should sell all shares Temenos AG.
Please read more on our fundamental analysis page.

And What about dividends?

A dividend is the distribution of a portion of Temenos AG earnings, decided and managed by the company's board of directors and paid to a class of its shareholders. Note, announcements of dividend payouts are generally accompanied by a proportional increase or decrease in a company's stock price. Temenos AG dividend payments follow a chronological order of events, and the associated dates are important to determine the shareholders who qualify for receiving the dividend payment. Temenos one year expected dividend income is about USD0.99 per share.
Investing in stocks that pay dividends, such as otc pink sheet of Temenos AG, is one of many strategies that are good for long-term investments. Ex-dividend dates are significant because investors in Temenos AG must own a stock before its ex-dividend date to receive its next dividend.
This type of analysis is very useful when you want to generate a past dividend schedule and payout information for Temenos AG. Then that information in the form of graph and calendar can be used to fully explain how Du Pont dividends can provide a real clue to its valuation.

How important is Temenos AG's Liquidity

Temenos AG financial leverage refers to using borrowed capital as a funding source to finance Temenos AG ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Temenos AG 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 Temenos AG's total debt and its cash.

How does Temenos utilize its cash?

To perform a cash flow analysis of Temenos AG, investors first need to understand how to read the cash flow statement. A cash flow statement shows the amount of cash Temenos AG is receiving and how much cash it distributes out in a given period. The Temenos AG cash flow statement breaks down these inflows and outflows into different buckets, including operating activities, investing activities, and financing activities.

Another Deeper Perspective

Although in the United States, the Securities and Exchange Commission has enforced strong rules to prevent insiders from engaging in insider trading, finding insiders among active shareholders of Temenos Group is not uncomon. Institutional investor usually refers to an organization that invests money in Temenos Group on behalf of clients or other money managers. Buying and selling of large positions of Temenos Group stock by institutional investors can create supply and demand imbalances that result in sudden price moves of Temenos Group stock. Let's take a look at how the ownership of Temenos is distributed among investors.

Ownership Allocation

Temenos Group Ag shows a total of seventy-four million six hundred seventy thousand outstanding shares. Over half of Temenos Group Ag outstanding shares are owned by institutional holders. These institutional holders are typically referred to corporate investors that take positions in a given instrument to benefit from reduced trade commissions. Consequently, these institutions are subject to different rules and regulation than regular investors in Temenos Group Ag. Please watch out for any change in the institutional holdings of Temenos Group as this could mean something significant has changed or about to change at the company. Please note that no matter how much assets the company owns, if the real value of the company is less than the current market value, you may not be able to make money on it.


Retail Investors
24.71%
Insiders
11.52%
Institutions
63.77%
Retail Investors24.71
Insiders11.52
Institutions63.77

Chances of Temenos Group shareholders to go ballistic

Skewness is down to 1.78. It may indicate a possible volatility dip. Temenos Group Ag exhibits very low volatility with skewness of 1.78 and kurtosis of 13.71. However, we advise investors to further study Temenos Group Ag 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 Temenos Group's otc stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Temenos Group's otc 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.

Our Takeaway on Temenos Group Investment

Although some firms in the software—application industry are either recovering or due for a correction, Temenos Group may not be performing as strong as the other in terms of long-term growth potentials. With a less-than optimistic outlook for your 90 days horizon, it may be a good time to sell some or all of your Temenos Group holdings as it seems the potential growth was already fully factored into the current price. 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 Temenos Group.

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 Temenos AG. Please refer to our Terms of Use for any information regarding our disclosure principles.

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