ABB Ltd [NYSE: ABB] shares went higher by 0.36% from its previous closing of $22.42, now trading at the price of $22.50, also adding 0.08 points. Is ABB stock a buy or should you stay away?
The stock had a rather active trading session with the latest closing, by far recording 1.2 million contracts. Compared to the average trading volume of ABB shares, the company saw a far better performance. Moreover, the stock has a 2.17B float and a +3.05% run over in the last seven days. ABB share price has been hovering between $22.43 and $17.71 lately, and is definitely worthy of attention.
ABB Ltd [NYSE:ABB]: Analyst Rating and Earnings
Its stock price has been found in the range of 17.71 to 22.43. This is compared to its latest closing price of $22.42.
Keep your eyes peeled for this company’s upcoming financial results publication, which is slated for Thu 27 Feb (In 83 Days).
Fundamental Analysis of ABB Ltd [ABB]
Now let’s turn to look at profitability: with a current Operating Margin for ABB Ltd [ABB] sitting at +7.90 and its Gross Margin at +30.98, this company’s Net Margin is now 5.10%. 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 9.52, and its Return on Invested Capital has reached 7.50%. Its Return on Equity is 10.51, and its Return on Assets is 3.44. These metrics suggest that this ABB Ltd 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, ABB Ltd [ABB] has generated a Total Debt to Total Equity ratio of 61.77. Similarly, its Total Debt to Total Capital is 38.18, while its Total
What about valuation? This company’s Enterprise Value to EBITDA is 16.79 and its Total Debt to EBITDA Value is 2.79. The Enterprise Value to Sales for this firm is now 1.81, and its Total Debt to Enterprise Value stands at 0.19. ABB Ltd [ABB] has a Price to Book Ratio of 2.90, a Price to Cash Flow Ratio of 13.97 and P/E Ratio of 33.61. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, ABB Ltd [ABB] earns $185,085 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 3.10 and its Total Asset Turnover is 0.63. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.95 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.
ABB Ltd [ABB] has 2.18B shares outstanding, amounting to a total market cap of $48.90B. Its stock price has been found in the range of 17.71 to 22.43. At its current price, it has moved up by 0.31% from its 52-week high, and it has moved up 27.05% from its 52-week low.
This stock’s Beta value is currently 1.19, which indicates that it is 0.79% more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 77.02. This RSI suggests that ABB Ltd is currently Overbought.
Conclusion: Is ABB Ltd [ABB] a Reliable Buy?
Shares of ABB Ltd [ABB], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.