Takung Art Co Ltd. is a virtual marketplace in Hong Kong for trading artwork. Takung’s platform allows access to the art owners, dealers, and artists to an art trading marketplace that is huge and where they can communicate and connect with many investors from across the globe. More about the Takung art stock in this write-up as it proceeds.
Takung art news and stocks
The company’s shares dropped by 92.9% in costs over the last year, and 44.1% in the previous three months. In 2021, TKAT had made clear that it intends to enter the non-fungible tokens or NFT stock market.
These digital items include video, art, and music that remain stored on the digital ledger, a blockchain that underpins several digital currencies. But many risks are associated with this market, one of them being that it is highly volatile. And this is one factor that could impact the performance of the Takung art stock in the coming months.
What are the factors that might impact the performance of the stocks shortly?
Check out some of the factors that could impact the performance of these stocks.
- Profitability is poor- Takung art’s 0.04% trailing one year CAPEX or Sales multiple is 99.1% below the 3.95% industry average. The trailing 12-month amount from operations of $42.31 million is 85.9% below the $299.40 million industry average. Aside from the above, the trailing-12 months ROA, net income margin, and the ROC are in the negative 11.5%, 171.4%, and 30.3%, respectively.
- Stretched valuation- When it comes to forward EV/Sales, Takung art stock’s 5.92x is 134.9% more than 5.92x the industry average. TKAT’s 5.16x forward Price/Sales is 212% more than the 1.65x industry average.
- Uncertainty reflected by POWR Ratings – An overall D rating applies for TKAT, equivalent to sell in the proprietary POWR Rating system. The POWR ratings are found by considering 118 distinct aspects, and each aspect weighs to an optimal degree.
The proprietary rating system evaluates every stock based on eight categories. This stock has a D for value and an F grade for Stability. The stock’s 3.25 beta is in tandem with the Stability grade. Aside from that, the company’s valuations show consistency with the value grade.
Among 71 stocks that fall in the category of F-rates internet industry, TKAT shows a ranking of #56.
While the company has plans to enter the NFT stock market, which might appeal to investors, and its stocks surged, one of the concerns for any investor could be the long-term gains or profitability from this stock.
It is important to know and explore all the aspects of Takung art stock before deciding to invest in it.
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