Streetwise Analysis on Shares of Photronics, Inc. (NasdaqGS:PLAB) – Stock Talker

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Watching some historical volatility numbers on shares of Photronics, Inc. (NasdaqGS:PLAB), we can see that the 12 month volatility is presently 32.470200. The 6 month volatility is 29.086600, and the 3 month is spotted at 34.601600. Following volatility data can help measure how much the stock price has fluctuated over the specified time period. Although past volatility action may help project future stock volatility, it may also be vastly different when taking into account other factors that may be driving price action during the measured time period.

Investors are constantly on the lookout for that next great stock pick. Finding that particular stock that had been overlooked by the rest of the investing community can bring great satisfaction to the individual investor. Spotting these stocks may take a lot of time and effort, but the rewards may be well worth it. Knowledge is power, and this principle also translates over to the equity market. Investors who are able to dig a little bit deeper may be setting themselves up for much greater success in the long run. These days, investors have access to a wide range of information. Trying to filter out the important information can be a key factor in portfolio strength. Knowing what data to look for and how to trade that information is extremely important. Successful investors are typically able to focus their energy on the right information and then apply it to a trading strategy.

At the time of writing, Photronics, Inc. (NasdaqGS:PLAB) has a Piotroski F-Score of 5. The F-Score may help discover companies with strengthening balance sheets. The score may also be used to spot the weak performers. Joseph Piotroski developed the F-Score which employs nine different variables based on the company financial statement. A single point is assigned to each test that a stock passes. Typically, a stock scoring an 8 or 9 would be seen as strong. On the other end, a stock with a score from 0-2 would be viewed as weak.

Some of the best financial predictions are formed by using a variety of financial tools. The Price Range 52 Weeks is one of the tools that investors use to determine the lowest and highest price at which a stock has traded in the previous 52 weeks.  The Price Range of Photronics, Inc. (NasdaqGS:PLAB) over the past 52 weeks is 0.802000.  The 52-week range can be found in the stock’s quote summary. 

Investors may be interested in viewing the Gross Margin score on shares of Photronics, Inc. (NasdaqGS:PLAB). The name currently has a score of 30.00000. This score is derived from the Gross Margin (Marx) stability and growth over the previous eight years. The Gross Margin score lands on a scale from 1 to 100 where a score of 1 would be considered positive, and a score of 100 would be seen as negative. The Q.i. Value of Photronics, Inc. is 14.00000.  The Q.i. Value is a helpful tool in determining if a company is undervalued or not.  The Q.i. Value is calculated using the following ratios: EBITDA Yield, Earnings Yield, FCF Yield, and Liquidity.  The lower the Q.i. value, the more undervalued the company is thought to be.

The MF Rank (aka the Magic Formula) is a formula that pinpoints a valuable company trading at a good price.  The formula is calculated by looking at companies that have a high earnings yield as well as a high return on invested capital.  The MF Rank of Photronics, Inc. (NasdaqGS:PLAB) is 7017.  A company with a low rank is considered a good company to invest in.  The Magic Formula was introduced in a book written by Joel Greenblatt, entitled, “The Little Book that Beats the Market”.  The ERP5 Rank is an investment tool that analysts use to discover undervalued companies.  The ERP5 looks at the Price to Book ratio, Earnings Yield, ROIC and 5 year average ROIC.  The ERP5 of Photronics, Inc. (NasdaqGS:PLAB) is 5333.  The lower the ERP5 rank, the more undervalued a company is thought to be.

Free Cash Flow Growth (FCF Growth) is the free cash flow of the current year minus the free cash flow from the previous year, divided by last year’s free cash flow.  The FCF Growth of Photronics, Inc. (NasdaqGS:PLAB) is 32.799244.  Free cash flow (FCF) is the cash produced by the company minus capital expenditure.  This cash is what a company uses to meet its financial obligations, such as making payments on debt or to pay out dividends.  The Free Cash Flow Score (FCF Score) is a helpful tool in calculating the free cash flow growth with free cash flow stability – this gives investors the overall quality of the free cash flow.  The FCF Score of Photronics, Inc. is 23.487218.  Experts say the higher the value, the better, as it means that the free cash flow is high, or the variability of free cash flow is low or both.

We can now take a quick look at some historical stock price index data. Photronics, Inc. (NasdaqGS:PLAB) presently has a 10 month price index of 0.90047. The price index is calculated by dividing the current share price by the share price ten months ago. A ratio over one indicates an increase in share price over the period. A ratio lower than one shows that the price has decreased over that time period. Looking at some alternate time periods, the 12 month price index is 0.96251, the 24 month is 1.19798, and the 36 month is 1.16708. Narrowing in a bit closer, the 5 month price index is 0.88785, the 3 month is 0.84071, and the 1 month is currently 0.95960.