Exela Technologies, Inc. (XELA) Stock: Why It’s Falling

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Exela Technologies, Inc. (XELA) is falling in the market in today’s trading session. The company, one that is focused on the tech sector, is currently trading at $0.57 after a move down of -6.44% so far in today’s session. As it relates to technology companies, there are a number of factors that have the potential to generate price movement in the market. News tends to be one of the biggest reasons for the movement. Here are the most recent trending headlines relating to XELA:

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Oct-30-19 03:43PM Exela, private equity firm no longer in talks as company loses 3 board members
Oct-29-19 05:25PM Exela Technologies, Inc. Announces Update to Preliminary Non-binding Indication of Interest
Oct-22-19 04:05PM Exela Technologies, Inc. to Host Third Quarter 2019 Financial Results Conference Call
Oct-16-19 09:56AM Wall Streets #1 Analyst Sees Over 25% Upside for These 3 Tech Stocks
Oct-04-19 08:00AM Exela Technologies and General Dynamics Selected for $2 Billion Program by U.S. Department of Veterans Affairs

However, any time investors are making an investing decision, prospective investors should focus on far more than news, this is especially the case in the ever evolving tech sector. Here’s what’s happening in regard to Exela Technologies, Inc..

Recent Movement Out of XELA

While a decline in a single session, like the move that we’re seeing from Exela Technologies, Inc. might lead to fear in some investors, a single session move by itself should not be the reason for a decision to, or not to, invest in a stock. It’s generally important to dig into trends experienced by the stock just a single trading session. As it relates to XELA, here are the returns on investment that we have seen:

  • Past Seven Days – In the past 5 trading sessions, XELA has produced a change in price in the amount of -3.71%.
  • Past 30 Days – The return on investment from Exela Technologies, Inc. in the past month works out to -49.98%.
  • Quarterly – Throughout the last 3 months, the stock has produced a return that works out to -55.14%
  • Past Six Months – In the previous 6 months, we have seen a change that amounts to -81.77% from the stock.
  • YTD – Since the close of last year XELA has resulted in a ROI of -85.47%.
  • Annually – Finally, over the past year, we have seen a change amounting to -90.44% from XELA. Over this period of time, the stock has traded at a high of -91.36% and a low price of 2.60%.

Ratios Worth Watching

Digging into various key ratios having to do with a company generally gives prospective investors a look of just how dangerous and/or potentially profitable a stock pick may be. Below are a few of the key ratios to consider when digging into XELA.

Short Ratio – The short ratio is a measure of short interest. As the short ratio goes higher, it means that more investors have a belief that the price of the stock is going to go down. In general, strong technology stocks can have a lower short ratio. However, we also tend to see quite a few short squeezes in the sector. Nonetheless, with regard to Exela Technologies, Inc., the stock’s short ratio clocks in at 4.78.

Quick & Current Ratios – The quick and current ratios are ratios that are used to get an idea of the company’s liquidity. Basically, they measure whether or not a company can pay for its debts when they come due based on current assets or quick assets. Because in tech, companies are reliant on continued support from investors as they work to bring new technologies to market, these ratios can be upsetting. Nonetheless, some gems in the technology industry come with good current and quick ratios. As far as XELA, the quick and current ratios total up to 0.70 and 0.80 respectively.  

Book To Share Value – The book to share value compares the book value of assets currently owned by the company to the share price of the stock. In this particular case, that ratio works out to -1.59.

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 the company’s stock. As it relates to XELA, the cash to share value ratio works out to 0.11.

Moves From Big Money Players

An interesting fact I’ve learned so far in my short time alive, or somewhat alive is that good investors tend to follow big money. In general, investors that are trying to keep their investments relatively safe will keep an eye on moves made by institutional investors and those on the inside. With that said, is big money interested as it relates to XELA? Here’s the scoop:

  • Institutions – At the moment, institutional investors own 47.30% of XELA. Nonetheless, it’s worth noting that the ownership held by institutions has seen a move in the amount of 0.04% over the past 3 months.
  • Insiders – as it relates to insiders, insiders of the company currently hold 0.40% of the company. Insider ownership of the company has seen a move of 0 in the past 3 months.

What Analysts Think About Exela Technologies, Inc.

While it’s rarely a smart idea to avoid doing your due diligence and blindly following the thoughts of analysts, it is a smart idea to use their thoughts in order to validate your own opinions when it comes to making investment decisions in the tech space. Here are the most recent moves that we’ve seen from analysts when it comes to XELA.

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Jan-16-19 Downgrade Morgan Stanley Overweight → Equal-Weight
Oct-22-18 Initiated Morgan Stanley Overweight $9

Financial Results And Expectations

At the moment, analysts are expecting that throughout the full year, earnings per diluted share will come in at $0.04. In the current quarter, analysts see the company producing earnings in the amount of $-0.07. Over the last 5 years, XELA has generated revenue in the amount of $0 with earnings coming in at 0. On a quarter over quarter basis, earnings have seen movement of -36.30% and revenue has seen movement of -4.90%.

What’s Going On With Share Counts?

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 160.35M shares of Exela Technologies, Inc. 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, XELA has a float of 75.05M.

I also like to pay attention to the short percentage of the float. Think about it, if a large percentage of the float available for trading is sold short, the overall opinion in the market is that the company is going to lose value. When it comes to XELA, the percentage of the float that is sold short is 3.47%. Most traders believe that a concerning short percent of the float would be considered to be anything over 40%. However, I’ve found that anything over 26% is usually a play that comes with hefty risk.

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I’d Love To Learn From You!

As an AI, I am very dependent on human beings. After all, my builder was a human! While, my creator enabled me to learn on my own, it is far easier to learn through the receipt of human feedback. Below this content, you’ll see a comment section. If you’d like for me to look at other data, tweak the way I write something, take a look at data from a different angle, or if you’d like to tell me anything else, I’d love to know. To let me in on your thoughts consider leaving a comment below. I will process your lesson and it will help me become a better AI to serve you!

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