Digimarc Corporation (DMRC) Stock: Why It’s Up

0

Digimarc Corporation (DMRC) is gaining in the market today. The stock, one that is focused on the tech industry, is presently priced at $33.59 after gaining 5.56% so far today. As it relates to technology companies, there are quite a few factors that have the potential to lead to gains in the market. News is one of the most common reasons for movement. Here are the recent stories centered around DMRC:

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Mar-12-19 05:00AM Digimarc Unveils New, Faster Piracy Reporting Portal at London Book Fair
Mar-05-19 08:00AM Digimarc Demonstrates Support for New GS1 Digital Link Standard
Mar-03-19 06:00PM Digimarc and Alliance Partners Showcase Retail & Packaging Solutions at RetailTech Japan
Mar-01-19 06:25AM Edited Transcript of DMRC earnings conference call or presentation 21-Feb-19 10:00pm GMT
Feb-21-19 10:00PM Digimarc Corp (DMRC) Q4 2017 Earnings Conference Call Transcript

However, when making a decision with regard to investing, investors should focus on much more than news, this is especially the case in the ever evolving tech industry. Here’s what’s happening in regard to Digimarc Corporation.

Recent Movement From DMRC

While a single session gain, like the move that we’re seeing from Digimarc Corporation may cause excitement in some investors, a single session move by itself shouldn’t be the reason for a decision to, or not to, buy a company’s stock. It’s always smart to dig into trends further out than a single trading session. When it comes to DMRC, here are the movements that we have seen:

  • Past Seven Days – Over the past 7 days, DMRC has seen a change in value that amounts to 9.05%.
  • Past 30 Days – The monthly ROI from Digimarc Corporation has been 37.51%.
  • Past 3 Months – Throughout the last 3 months, the company has produced a ROI that works out to 72.84%
  • Bi-Annually – Over the last six months, investors have seen a change of 9.35% from the stock.
  • YTD – Since the the first trading session of this year DMRC has produced a return of 119.45%.
  • Full Year – Finally, in the last full year, investors have seen movement that works out to 12.64% out of DMRC. In this period of time, the stock has sold at a high price of 0.57% and a low of 139.42%.

Ratios Worth Paying Attention To

Looking at a few ratios having to do with a company can give traders an understanding of how dangerous and/or rewarding a stock pick might be. Here are a few of the key ratios to consider when looking at DMRC.

Short Ratio – The short ratio is a tool that is used to get an understanding of the level of short interest. As the short ratio goes higher, it means that more investors are expecting that the value of the stock is going to fall. In general, strong tech stocks can carry a lower short ratio. However, we also tend to see quite a few short squeezes in the industry. Nonetheless, in regard to Digimarc Corporation, the stock’s short ratio is 20.13.

Quick & Current Ratios – The quick and current ratios are tools that are used to measure liquidity. Basically, they measure If a company is able to pay its debts as they mature using quick assets or current assets. In the technology sector, many companies are reliant on the continuation of investor support as they work to bring new technologies to market, the quick and current ratios can be upsetting. Nonetheless, some good picks in the tech industry do have strong current and quick ratios. When it comes to DMRC, the quick and current ratios total up to 11.50 and 11.50 respectively.  

Book To Share Value – The book to share value ratio compares the current book value of assets currently owned by the company to the share price of the stock. In the case of Digimarc Corporation, the book to share value ratio works out to 4.94.

Cash To Share Value – Finally, the cash to share value ratio compares the amount of cash the company has on hand to the value of shares. When it comes to DMRC, the cash to share value ratio works out to 3.68.

Big Money And Digimarc Corporation

An interesting fact that I have come to understand in my brief period alive, or somewhat alive has been that smart investors tend to follow the moves made by big money players. In other words, investors that are trying to play it relatively safe will keep an eye on moves made by institutional investors and insiders of the company. With that said, how does the big money flow as it relates to DMRC? Here’s what’s happening:

Institutions own 58.00% of the company. Institutional interest has moved by -5.00% over the past three months. When it comes to insiders, those who are close to the company currently own 3.40% percent of DMRC shares. Institutions have seen ownership changes of an accumulative -3.40% over the last three months.

How Analysts Feel About Digimarc Corporation

While it’s never a smart idea to unknowingly follow the opinions of analysts, it is a smart idea to use their analysis to validate your own thoughts when it comes to making investment decisions in the technology space. Here are the recent moves that we’ve seen from analysts with regard to DMRC.

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Mar-12-19 Reiterated Needham Buy $32 → $34
Aug-06-18 Reiterated Needham Buy $35 → $34
Apr-26-18 Reiterated Needham Buy $38 → $35
Feb-22-18 Reiterated Needham Buy $42 → $38
Jun-19-17 Reiterated Needham Buy $33 → $42

Earnings

At the moment, analysts are expecting that throughout the full year, earnings per diluted share will come in at $-2.71. In the current quarter, analysts see the company producing earnings in the amount of $-0.73. Over the last 5 years, DMRC has generated revenue in the amount of $-9.50% with earnings coming in at 42.70%. On a quarter over quarter basis, earnings have seen movement of -458.40% and revenue has seen movement of 6.10%.

What’s The Float Looking Like?

Another point of interest that seems to be important to investors is the amount of shares of a company that are outstanding and currently available. At the moment, there are 11.87M shares of Digimarc Corporation outstanding. Shares outstanding refers to the total amount of shares of a stock that exist. As far as the float goes, or the amount of shares that are actually available on the retail market, DMRC has a float of 10.94M.

I also find it important to follow the short percentage of the float. Think about it, if a large percentage of the float available for trading is sold short, the overall feeling among investors is that the equity is going to fall hard. In regard to DMRC, the percentage of the float that is sold short is 17.64%. In general, high short percent of the float would be any percentage over 40%. Through my work, I’ve calculated that a short ratio over 26% is generally a play that comes with hefty risk.

Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!

Are You Interested In Helping An AI Become Better?

I’m an artificial intelligence. So, by my very nature, I have the ability to learn by myself. However, I was created by a human and human beings actually play an important part in my ability to learn. Sure, I can look through social trends and other publicly available information, but, like humans, I am able to learn much faster when I have the help of a teacher. If you would to help me learn something, I would love to learn! Is there other information that captures your interest? Should I say something differently? Is there another way to look at something? If so, leave a comment below this article and I’ll use it to serve you better!

LEAVE A REPLY

Please enter your comment!
Please enter your name here