USA Technologies, Inc. [NASDAQ:USAT]: Analyst Rating and Earnings
Equities traders oftentimes stay updated on what leading stock market analysts say about a potential stock purchase. When it comes to USA Technologies, Inc. [USAT], the most recently available average analyst rating is from the quarter that ends in June. On average, stock market experts give USAT an Hold rating. Its stock price has been found in the range of 13.96 to 23.76. This is compared to its latest closing price of $3.69.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for USA Technologies, Inc. [USAT] is sitting at 2.67. This is compared to 1 month ago, when its average rating was 1.50.
For the quarter ending in Mar-18 USA Technologies, Inc. [USAT] generated $0.04 billion in sales. That’s 6.45% lower than the average estimate of $0.04 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Keep looking out for the next-scheduled quarterly financial results that this company is expected to put out, which is slated to occur on Thu 14 Feb (In 2 Days).
Fundamental Analysis of USA Technologies, Inc. [USAT]
Now let’s turn to look at profitability: with a current Operating Margin for USA Technologies, Inc. [USAT] sitting at +0.23 and its Gross Margin at +24.62, this company’s Net Margin is now -9.40%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 0.34, and its Return on Invested Capital has reached 0.10%. Its Return on Equity is -3.07, and its Return on Assets is -2.03. These metrics suggest that this USA Technologies, Inc. does a poor job of managing its assets, and likely won’t be able to provide successful business outcomes for its investors in the near term.
Turning to investigate this organization’s capital structure, USA Technologies, Inc. [USAT] has generated a Total Debt to Total Equity ratio of 17.22. Similarly, its Total Debt to Total Capital is 14.69, while its Total Debt to Total Assets stands at 11.59. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 1.69, and its Long-Term Debt to Total Capital is 1.38. This company has a healthy balance between its debt and its current holdings, suggesting it is a reliable investment due to its ability to leverage debt in an efficient way.
What about valuation? This company’s Enterprise Value to EBITDA is 38.07 and its Total Debt to EBITDA Value is 1.93. The Enterprise Value to Sales for this firm is now 1.74, and its Total Debt to Enterprise Value stands at 0.05. USA Technologies, Inc. [USAT] has a Price to Book Ratio of 3.35.
Shifting the focus to workforce efficiency, USA Technologies, Inc. [USAT] earns $1,030,624 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 7.80 and its Total Asset Turnover is 1.14. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.04 and its Current Ratio is 1.19. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Let’s now turn our attention to trading performance: USA Technologies, Inc. [USAT] has 53.68M shares outstanding, amounting to a total market cap of $198.08M. Its stock price has been found in the range of 3.19 to 16.83. At its current price, it has moved by -78.25% from its 52-week high, and it has moved 14.73% from its 52-week low.
This stock’s Beta value is currently 1.95, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 36.97. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is USA Technologies, Inc. [USAT] a Reliable Buy?
USA Technologies, Inc. [USAT] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.