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RISK CONCERN
Investment Strategy, Risk Analysis, and Insights by Chartered Professionals
Eaton Vance Ltd Dur Inc (XNYS:EVV) In-Depth Stock/Fundamental/Options Analysis Today
Primary Facts
EVV
Name:
Eaton Vance Ltd Dur Inc (XNYS:EVV)
Sector:
194.18M
Industry:
Asset Management
CEO:
Total Employees:
-
Our Technological Advancement Rating
Our Rating:
-
-
ANALYSIS OF ALL CRITICAL FACTORS & RISKS RELATED TO THE STOCK & FUNDAMENTAL/LONG-TERM ANALYSIS OF EATON VANCE LTD DUR INC(EVV) AS PER DATA ANALYSIS OF LAST 3 YEARS AND COMPARISON WITH COMPETITORS/PEERS, AND ASSET MANAGEMENT INDUSTRY. DATE: 07/09/2022
Primary Targets/Price Insights
Previous Close ($) :
10.56
One Month Price Target:
$10.62
Six Month Price Target :
$10.92
Likely Price in One Year's Time:
Ticker:
$11.28
Likely Trading Range Today Under (Normal Volatility)
$10.53
Price Upper limit ($) :
$10.59
Price Lower limit ($) :
Crash Risk Prep/Key Price Levels (High Volatility/Risk)
Price, as per data analysis, isn't likely to fall below:
Today:
$10.22
This week:
$9.81
This month :
$9.06
Other Primary facts
Market Cap:
1.30B
Market Cap Classification:
Small Cap
Number of Shares
IPO Date:
-
Best/Worst Daily Performance (Last 3+ Years)
Highest Daily Appreciation:
9.81%
-21.26%
Worst Daily Decline:
Our Options Trading Entry Points
Iron Condor entry points for options expiring in 1 week's time
Low risk (<2%) entry points
Buy Call:
Sell Call:
Buy Put:
Sell Put:
$12.12
$11.41
$9.00
$9.71
Medium risk (<10%) entry points
Buy Call
Sell Call
$11.18
Buy Put:
Sell Put:
$11.03
$9.93
$10.09
These entry points can be used for other strategies, such as butterflies, straddles, etc.
Risk-Adjusted returns (Sharpe Ratio) of
EVV
Sharpe Ratio:
-1.71%
Comparison:
EVV, is amongst the top 40% stocks with lowest risk-adjusted returns
Sharpe ratio is -312.44% lower than the industry
& is -174.94% lower than the market/S&P 500 average
Average Returns/Yield of
EVV
Daily returns:
-0.02%
Weekly returns:
-0.09%
Monthly returns:
-0.35%
Yearly returns:
9.18%
Comparison of returns:
Average annual returns/yield (last 3 years) is -145.51% below industry average
Classification:
EVV, is amongst the top 40% lowest yielding stocks in terms of daily returns
Results of T-Test of Returns:
0.14
Statistical test of Returns:
EVV has yielded returns statistically similar to the market
Volatility (measured by Standard Deviation)
Daily Volatility:
1.54%
Weekly Volatility:
3.44%
Monthly Volatility:
6.88%
Yearly Volatility:
23.82%
Volitlilty of last five days (Measured by Standard Deviation)
Average Volatility of this Week:
0.96%
Volatility in last five trading days has been -37.24% below long-term volatility
Value at Risk Analysis (VaR)
Daily VaR:
-3.17%
Weekly VaR:
-7.10%
Monthly VaR:
-14.20%
How Much Can the price of
EVV
Decline in a Recession?
Likely price decline in a recession:
Base case (decline):
-13%
Worst case (decline):
-49.18%
This translates to price declining to:
$9.21
This translates to price declining to:
$5.37
Severe Crash Probability
Risk of crash in next 6/12 months: Low (<25%)
What is Value at Risk (VaR)?
Risk Fundamentals
EVV is a 0.21% riskier investment compared to the market/S&P 500 & is -14.15% less risky than Nasdaq(IXIC)
Risk (measured by volatility) is -40.84% below industry average
Overall, it is amongst the top 50% most risky stocks
Beta Examination of
EVV
Beta in relation to market/S&P 500--1.02
Expected beta in 1 year's time:
0.738
Expected beta in 3 year's time:
1.043
Unlevered (debt free) Beta:
-
Beta in relation to Nasdaq (XNAS):
0.462
Beta in relation to all global stocks::
0.549
Beta Comparison & Analysis
Beta of competitors/peers::
0.798
Beta is 27.42% higher than peers
Average Industry Beta:
1.694
Beta is -39.97% below industry average
Sustainable Growth Rate Analysis
Sustainable growth rate for this stock/firm:
-
-
Alpha provided | Alpha Analysis
Alpha provided:
-0.143
Alpha is 156.53% above industry average alpha yield
Alpha is -910% below the market average
Analysis of Cost of Capital of
EVV
Equity cost of capital:
0.101
Equity cost of capital is -31.44% below industry mean WACC
Unlevered (without debt) cost of capital:
-
Before-tax cost of debt:
1.80%
After-tax cost of debt:
1.42%
Overall debt rating:
Highest AAA investment grade
Weighted average cost of capital (WACC):
1.42%
WACC is 10.76% above industry mean WACC
Key Per-Share Metrics & Analysis
Revenue per share:
-
Revenue growth rate per share of (3Y):
0.75
Annual revenue growth rate is 218.34% above the industry average
EPS:
-$0.07
Expected Annual growth rate of EPS (3Y):
40.04%
Expected future EPS growth rate is 44.16% higher than the Asset Management industry
Free cash flow (FCF) per share:
$1.98
Balance sheet equity growth per share: 20.78%
Equity growth rate per share is -1.67% lower than the industry
Debt per share
-
EBITDA per share
-
Valuation Analysis Today of
EVV
P/E Ratio:
-
P/E Ratio of Competitors/Peers:
23.97
-
-
EVV is -1034.23% undervalued if valued using industry average P/E ratio
Share value as per dividend discount (DDM) model: $13.30
Present value of the expected future dividends only: $3.95
P/S (Price to Sales ratio):
12.26
Price to sales ratio is 78.91% above the industry mean
P/B (Price to book value ratio):
0.75
Price to free cash flow: 5.33
Price to free cash flow ratio is -46.33% lower than the industry
Net income growth rate (3Y):
373.47%
Net income growth rate is 156.89% higher than the average industry net income growth rate
Dividend Analysis
Dividend payout rate: 228.70%
Dividend yeild: 3.79%
Previous Dividend: $0.10
Previous adjusted dividend: $0.10
Previous Dividend: $0.40
-
-
Average dividend payment (long-term): $0.10
Average dividend increase/decrease (growth rate) % per period: 0.00%
-
-
-
-
-
-
Dividend History:
2022-06-10--$0.10
2022-04-08--$0.10
2022-02-10--$0.10
2022-05-11--$0.10
2022-03-10--$0.10
2022-01-12--$0.10
-
In-depth Debt & Leverage Analysis
Debt to equity ratio:
42.24%
Net debt to equity ratio:
29.44%
Debt to assets ratio:
29.70%
Net debt to assets ratio:
20.81%
Debt-to-asset ratio is -43.18% below industry average
Ability to repay debt:
Interest coverage ratio:
6.97
Interest coverage ratio is -88.28% less than industry average
Looking forward:
Debt growth rate:
8.57%
Annual debt growth is -224% lower than industry average debt growth rate
Debt repayment rate in previous year: 100.00%
Analysis of Key Statistics
Correlation of price movement with the market:
0.609
Statistical significance of correlation:
EVV has a statistically significant correlation with the market
Average Correlation of the industry with the market:
0.576
Stock price is 5.74% more correlated with the market, compared to the industry average correlation
R Squared (percentage of price movement explained by movement of the market):
0.576
Correlation of price movement with Nasdaq (^IXIC):
0.016
Covariance of price movement with the market:
0.014
Kurtosis
65.252
Returns have severe fat-tails (leptokurtic), i.e., returns considerably higher or lower than the mean returns are considerably more likely, compared to assets with normally distributed returns
Skewness of returns:
-3.999
Returns are left (negative) skewed; mean returns are lower than median and mode returns
Fundamental Analysis & Dupont Analysis of
EVV
Gross Profit Margin Ratio:
136%
Operating Profit Margin Ratio:
86.05%
Operating profit margin is 82.94% higher than the industry
Net Profit Margin Ratio:
136%
Effective Tax Rate:
-
-
Dupont Method
Net Profit Margin
Return on Equity Ratio (ROE):
×
ROA
=
×
3.42%
Return on equity (ROE) is -86.45% lower than the industry
Financial Leverage
Asset Turnover Ratio (ROA):
2.42%
Return on assets (ROA) is -58.52% lower than the industry
Financial Leverage:
1.4x
Current Ratio:
0
-
Cash Conversion Cycle (days):
81.3
Cash conversion cycle is -90.64% below industry average
The remaining useful life of property plant & equipment is: 2.5 years
Stock based compensation to net income ratio:
-
In-depth Efficiency Analysis
Revenue generated per employee:
-
-
EBITDA generated per employee:
-
-
Profit generated per employee:
-
-
Free cash flow (FCF) generated per employee:
-
-
Assets/Capital per employee
-
-
Research & Development (R&D) Analysis
-
-
Competitors/Peer firms of
EVV
Cornerstone Strat Value (XNYS:CLM)
TOMPKINS FINANCIAL CORPORATION (XNYS:TMP)
Central Securities Corp (XNYS:CET)
ABRDN ASIA-PACIFIC INCOME FUND, INC. (XNYS:FAX)
Cornerstone Total Return (XNYS:CRF)
Reaves Utility Income (XNYS:UTG)
BlackRock Muni Inc II (XNYS:BLE)
PARK NATIONAL CORPORATION (XNYS:PRK)
BlackRock MuniVest (XNYS:MVF)
Current Analyst Ratings
Strong buy�0%
Buy�0%
Hold�0%
Sell�0%
Strong sell�0%
Overall analyst sentiment is: -
Income Statement
Period:
TTM
Date:
3/31/20
Revenue:
108.87M
Cost of Revenue:
Gross Profit:
R&D Expense
General & Admin Expenses:
Selling, General & Admin Expenses
Sales and Marketing Expenses
Other Expenses :
Operating Expenses :
Cost & Expenses :
Interest Income:
Interest Expenses:
Depreciation & Amortization:
EBITDA:
Operating Income:
Other Income Expenses:
Income Before Tax:
Income Tax Expense:
Net Income:
Balance Sheet
Date:
Calendar Year:
Period:
Cash & Cash Equivalents:
Short Term Investments:
Cash & Short Term Investments:
Net Receivables:
Inventory:
Other Current Assets:
Total Current Assets:
PP&E:
Goodwill:
Intangible Assets:
Long Term Investments:
Tax Assets:
Other Non-Current Assets:
Total Non-Current Assets:
Other Assets:
Total Assets:
Accounts Payable:
Short Term Debt:
Tax Payables:
Deferred Revenue:
Other Current Liabilities:
Total Current Liabilities:
Long Term Debt:
Other Non-Current Liabilities:
Total Non Current Liabilities:
Other Liabilities:
Total Liabilities:
Common Stock:
Retained Earnings:
Accumulated Other Comprehensive Loss:
Other Total Stockholders' Equity:
Total Stockholders' Equity:
Total Liabilities and Stockholders' Equity:
Total Investments:
Total Debt:
Net Debt:
44.46M
94.43M
-
1.44M
1.79M
-
-
1.79M
-
10.28M
-
71.63M
93.68M
61.35M
61.35M
-
61.35M
Statement of Cash Flow
Date:
Period:
-
Differed Income Tax :
-
Stock Based Compensation :
-
Change in Working Capital :
43.15M
Accounts Receivables:
-
Other Working Capital:
-
Other Non-Cash Items:
- 199717.27K
Net Cash Provided by Operating Activities:
194.18M
Investments in PP&E:
-
Net Acquisitions:
-
Purchases of Investments:
-
Sales/Maturities of Investments:
Other Investing Activities:
Net Cash Used for Investing Activities:
Debt Repayment:
Common Stock Issued:
Common Stock Repurchased:
Dividend Paid:
Other Financing Activities:
Net Cash Used Provided by Financing Activities:
Effect of FOREX on Changes in Cash:
Net Changes in Cash:
Cash at End of Period:
Cash at Beginning of Period:
Operating Cash Flow:
Capital Expenditure:
Free Cash Flow (FCF):
3/31/21
2021
FY
42.61M
-
42.61M
30.97M
-
-
-
-
-
-
2.46B
-
-
-
2.53B
2.53B
22.01M
-
-
-
-
-
-
-
-
742.78M
742.78M
1.16M
- 167986.32K
-
1.74B
March 31, 2021 at 6:00:00 AM
45.20M
1.79B
2.53B
-
570.00M
527.4M
-
-
-
- 314480.16K
-
-
- 140316.37K
293.00M
- 161796.52K
-
32.38M
59.78M
27.40M
194.18M
-
194.18M
Our Proprietary Portfolio Rating
Our Rating:
-
Price Forecast/Expected Price in Next 5 Years of
EVV
2023
2024
2025
2026
2027
$9.99
$10.67
$11.40
$12.18
$13.01