Time Warner Inc. (TWX) rides on speculation as price-earnings ratio gets thrust of -9.3

Shares might increase by more than the market growth during bull markets and drop more than the index in bear markets, this is evident by the company’s underlying asset volatile value is at 0.97.

With current ratio of 1.5 company has at least twice as many short-term assets than short-term liabilities, equating 1.5 current ratio to its conspirators , might not be perfect , yet are more resilient than earlier .

With present market headwinds not removed completely, business will most likely see Earnings to price decline by 4.73% in terms of YTD growth , and with company earnings to price forecasted to rise at 7.80% one can initiate early buy before the prices becomes expensive .

Company’s outstanding shares currently at $69856.62 M and has seen active investors interest boosted by strong market cap in Services sector. At current trends analysts expect earning can boost better than expected .

As per forecast by anaysts company earnings over the next fiscal shows signs of down turn .. Peg at 1.92x provides higher value while considering the company’s potential returns into account.

Time Warner Inc. is expected to do slightly above than the index returns. In a research report David Miller from Loop Capital has HoldAnd with the price target set to 103 from 102 reflecting an upside of 0.98%Supported by a string of factors, sector saw a change of 0.80 closing at 8808.05Supported by a up-down ratio of 0.90x, total MFI closed at $-1170.37mn. With respect to block trades, money flow ended $-1297.09mn with tick up at $2056.22mn and tick down at $3353.31mn led an up /down ratio of 0.61x.

Time Warner Inc. is having support at bearish zone as it continues to hit resistance at 81.77, however analysts feel that the traders are right in maintaining levels even though price is trading below the 200 SM avg by -8.93%.

Current EPS projection at 8.88% indicate that management is in line with respect to expansion above PE 17.07. Price earnings multiple of 17.07 does not seem to have potential for high returns .

Currently Time Warner Inc. has gross ROA of 7.90% of yield, and is slightly above for the Services sector . With solid Market-to-Book ratio at 2.56 company is in positive position to pay off debts.

With 20.40% ROE, management seems more keen in utilizing the equity base which in turn gives a better return to investors . Time Warner Inc. continues to remain 4.55% above from its 52 W . The stock currently trades near its 52 week high and might reach further highs and higher lows.

Company moving through RSI implies end of trend in no trade zone and its recommended to be traded cautiously. It is always fair to compare Quick Ratio ratio to that of peers in the same Services sector , and Time Warner Inc. has $1.3 of liquid assets available to cover each $1 of current debt .

Share this post