Perspecta Inc. [NYSE:PRSP]: Analyst Rating and Earnings
Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding Perspecta Inc. [PRSP], the latest average analyst recommendation we can see is from the quarter closing in March. On average, stock market experts give PRSP an Outperform rating. Its stock price has been found in the range of 41.49 to 53.76. This is compared to its latest closing price of $19.65.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Perspecta Inc. [PRSP] is sitting at 2.00. This is compared to 1 month ago, when its average rating was 2.00.
For the quarter ending in Sep-18 Perspecta Inc. [PRSP] generated $1.07 billion in sales. That’s 1.48% higher than the average estimate of $1.05 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Tomorrow After Market Close (Confirmed).
Fundamental Analysis of Perspecta Inc. [PRSP]
Now let’s turn to look at profitability: with a current Operating Margin for Perspecta Inc. [PRSP] sitting at +11.17 and its Gross Margin at +17.63.
Turning to investigate this organization’s capital structure, Perspecta Inc. [PRSP] has generated a Total Debt to Total Equity ratio of 11.14. Similarly, its Total Debt to Total Capital is 10.02, while its Total Debt to Total Assets stands at 8.26. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 5.28, and its Long-Term Debt to Total Capital is 4.75. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 7.36 and its Total Debt to EBITDA Value is 0.63. The Enterprise Value to Sales for this firm is now 1.26.
Shifting the focus to workforce efficiency, Perspecta Inc. [PRSP] earns $366,104 for each employee under its payroll. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.71 and its Current Ratio is 0.71. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Let’s now turn our attention to trading performance: Perspecta Inc. [PRSP] has 166.62M shares outstanding, amounting to a total market cap of $3.27B. Its stock price has been found in the range of 15.74 to 27.68. At its current price, it has moved by -28.63% from its 52-week high, and it has moved 25.51% from its 52-week low.
This stock’s Beta value is currently , which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 49.92. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Perspecta Inc. [PRSP] a Reliable Buy?
Perspecta Inc. [PRSP] 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.