The share price of New Age Beverages Corporation [NASDAQ: NBEV] inclined by $4.21, presently trading at $4.23. The company’s shares saw 225.38% gains compared to the lowest price in the period of the last 52 weeks, set at $1.30 recorded on 11/07/2019. The last few days have been benevolent to the share price as NBEV fall by -4.98% during the last week, even though the stock is still down by -5.83% compared to -0.22 of all time high it touched on 07/05/19. However, the stock had a poor performance during the past 3 months, roughly losing -9.27%, while additionally gaining 106.37% during the last 12 months. New Age Beverages Corporation is said to have a 12-month price target set at $9.00. That means that the stock has a strong potential to acquire 4.77% increase from the current trading price.
New Age Beverages Corporation [NASDAQ:NBEV]: Analyst Rating and Earnings
Pro stock market traders often keep their attention pointed at what top market analysts have to say regarding a potential equity investment. For New Age Beverages Corporation [NBEV] currently, the latest-available mean analyst rating is for the fiscal quarter that will end in December. On average, stock market experts give NBEV an Outperform rating. Its stock price has been found in the range of 1.30 to 9.99. This is compared to its latest closing price of $4.21.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for New Age Beverages Corporation [NBEV] is sitting at 1.80. This is compared to 1 month ago, when its average rating was 2.00.
For the quarter ending in Mar-19 New Age Beverages Corporation [NBEV] generated $0.06 billion in sales. That’s 5.77% lower than the average estimate of $0.06 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 your eyes peeled for this company’s upcoming financial results publication, which is slated for Tue 13 Aug (In 33 Days).
Fundamental Analysis of New Age Beverages Corporation [NBEV]
Now let’s turn to look at profitability: with a current Operating Margin for New Age Beverages Corporation [NBEV] sitting at -30.84 and its Gross Margin at +13.39, this company’s Net Margin is now -11.20%. 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 -13.52, and its Return on Invested Capital has reached -6.60%. Its Return on Equity is -11.71, and its Return on Assets is -6.84. These metrics suggest that this New Age Beverages Corporation 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, New Age Beverages Corporation [NBEV] has generated a Total Debt to Total Equity ratio of 15.00. Similarly, its Total Debt to Total Capital is 13.04, while its Total Debt to Total Assets stands at 8.08. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 9.71, and its Long-Term Debt to Total Capital is 8.45. 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 -23.23. The Enterprise Value to Sales for this firm is now 3.23, and its Total Debt to Enterprise Value stands at 0.10. New Age Beverages Corporation [NBEV] has a Price to Book Ratio of 2.53.
Shifting the focus to workforce efficiency, New Age Beverages Corporation [NBEV] earns $58,673 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 6.03 and its Total Asset Turnover is 0.29. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.07 and its Current Ratio is 1.74. 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.
New Age Beverages Corporation [NBEV] has 72.32M shares outstanding, amounting to a total market cap of $304.47M. Its stock price has been found in the range of 1.30 to 9.99. At its current price, it has moved down by -57.66% from its 52-week high, and it has moved up 225.38% from its 52-week low.
This stock’s Relative Strength Index (RSI) is at 37.79. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is New Age Beverages Corporation [NBEV] a Reliable Buy?
New Age Beverages Corporation [NBEV] 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.