On Monday, shares of Office Depot, Inc. (NASDAQ:ODP) marked $2.01 per share versus a previous $2.06 closing price. With having a -2.43% loss, an insight into the fundamental values of Office Depot, Inc., investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. ODP showed a fall of -22.09% within its YTD performance, with highs and lows between $1.83 – $3.82 during the period of 52 weeks, compared to the simple moving average of -28.34% in the period of the last 200 days.
BofA/Merrill equity researchers changed the status of Office Depot, Inc. (NASDAQ: ODP) shares from “Buy” to a “Underperform” rating in the report published on May 9th, 2019. Other analysts, including JP Morgan, also published their reports on ODP shares. JP Morgan repeated the rating from the previous report, marking ODP under “Underweight” rating, in the report published on October 30th, 2017. Additionally, ODP shares got another “Buy” rating from BofA/Merrill, setting a target price of $6 on the company’s shares, according to the report published in September 5th, 2017. On May 10th, 2017, Telsey Advisory Group Reiterated an Market Perform rating and increased its price target from $4.40 to $5.25. On the other hand, Loop Capital Initiated the “Hold” rating for ODP shares, as published in the report on December 13th, 2016. Telsey Advisory Group seems to be going bullish on the price of ODP shares, based on the price prediction for ODP, indicating that the shares will jump from $5 to $4.50, giving the shares “Market Perform” rating based on their report from October 28th, 2016. Another “Sell” rating came from UBS, providing a prediction for $4.50 price target according to the report published in May 11th, 2016.
The present dividend yield for ODP owners is set at 0.05, marking the return investors will get regardless of the company’s performance in the upcoming period.However, in order for the company to be able to pay its dividends, just like it is the case with Office Depot, Inc., the company needs to provide a healthy cash flow, currently at the value of 4.98. In addition, the growth of sales from quarter to quarter is recording -2.20%, hinting the company’s progress in the upcoming progress.
In order to gain a clear insight on the performance of Office Depot, Inc. (ODP) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 3.30% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 0.80 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.
Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while ODP is currently recording an average of 6.27M in volumes. The volatility of the stock on monthly basis is set at 5.22%, while the weekly volatility levels are marked at 5.89%with 6.91% of gain in the last seven days. Additionally, long-term investors are predicting the target price of $2.63, indicating growth from the present price of $2.01, which can represent yet another valuable research and analysis points that can help you decide whether to invest in ODP or pass.What to Look for When Analyzing Office Depot, Inc. Shares?
Office Depot, Inc. (ODP) is based in the USA and it represents one of the well-known company operating with Services sector. If you wish to compare ODP shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 15.58 for Office Depot, Inc., while the value 5.79 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 0.13 is supported by the yearly ESP growth of 20.40%.
Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 1.30%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 93.30% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.Are Institutional Investors Increasing Stakes in ODP Shares?
It appears that more than several institutional investors and hedge funds decided to increase stakes in ODP in the recent period. That is how BlackRock Fund Advisors now has an increase position in ODP by 0.72% in the first quarter, owning 74.93 million shares of ODP stocks, with the value of $146.87 million after the purchase of an additional 532,944 shares during the last quarter. In the meanwhile, The Vanguard Group, Inc. also increased their stake in ODP shares changed 28.58% in the first quarter, which means that the company now owns 57.8 million shares of company, all valued at $113.28 million after the acquisition of additional 12,847,786 shares during the last quarter.
LSV Asset Management acquired a new position in Office Depot, Inc. during the first quarter, with the value of $52 million, and Towle & Co. increased their stake in the company’s shares by 0.71% in the first quarter, now owning 86,306 shares valued at $24.15 million after the acquisition of the additional 12.32 million shares during the last quarter. In the end, Northern Trust Investments, Inc. increased their position by 11.27% during the first quarter, now owning 11.59 million ODP shares, now holding the value of $22.71 million in ODP with the purchase of the additional 30,113 shares during the period of the last quarter. At the present, 93.30% of ODP shares are in the ownership of institutional investors.