Ecopetrol Sa Adr Stock Buy Hold or Sell Recommendation

EC Stock  USD 11.84  0.51  4.50%   
Allowing for the 90-day total investment horizon and your slightly conservative level of risk, our recommendation regarding Ecopetrol SA ADR is 'Cautious Hold'. Macroaxis provides Ecopetrol buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding EC positions. The advice algorithm takes into account all of Ecopetrol's available fundamental, technical, and predictive indicators you will find on this site. Key drivers impacting Ecopetrol's buy or sell advice are summarized below:
Real Value
11.69
Target Price
12.93
Hype Value
11.84
Market Value
11.84
Naive Value
12.11
A buy or sell recommendation provided by Macroaxis is an automated directive regarding whether to purchase or sell Ecopetrol SA ADR given historical horizon and risk tolerance towards Ecopetrol. When Macroaxis issues a 'buy' or 'sell' recommendation for Ecopetrol SA ADR, the advice is generated through an automated system that utilizes algorithms and statistical models.
  
Check out Ecopetrol Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
In addition, we conduct extensive research on individual companies such as Ecopetrol and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Ecopetrol SA ADR. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in main economic indicators.

Execute Ecopetrol Buy or Sell Advice

The Ecopetrol recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Ecopetrol SA ADR. Macroaxis does not own or have any residual interests in Ecopetrol SA ADR or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Ecopetrol's advice using the current market data and latest reported fundamentals.

Time Horizon

Risk Tolerance

Execute Advice
Sell EcopetrolBuy Ecopetrol
Cautious Hold

Market Performance

Very WeakDetails

Volatility

Not too volatileDetails

Hype Condition

StaleDetails

Current Valuation

Fairly ValuedDetails

Odds Of Distress

LowDetails

Economic Sensitivity

Follows the market closelyDetails

Investor Sentiment

InterestedDetails

Analyst Consensus

HoldDetails

Financial Leverage

Not RatedDetails

Reporting Quality (M-Score)

UnavailableDetails
For the selected time horizon Ecopetrol SA ADR has a Mean Deviation of 1.29, Semi Deviation of 1.76, Standard Deviation of 1.7, Variance of 2.88, Downside Variance of 3.22 and Semi Variance of 3.11
Our trade advice tool can cross-verify current analyst consensus on Ecopetrol SA ADR and to analyze the company potential to grow in the current economic cycle. To make sure Ecopetrol is not overpriced, please confirm all Ecopetrol SA ADR fundamentals, including its number of shares shorted, revenue, cash and equivalents, as well as the relationship between the price to book and ebitda . Given that Ecopetrol SA ADR has a price to book of 1.26 X, we urge you to verify Ecopetrol SA ADR market performance and probability of bankruptcy to ensure the company can sustain itself in the current economic cycle given your prevailing risk tolerance and investing horizon.

Ecopetrol Trading Alerts and Improvement Suggestions

Ecopetrol SA ADR generated a negative expected return over the last 90 days
Latest headline from finance.yahoo.com: Ecopetrol Board Blasts Anti-Oil President Petros Nominees as Unfit

Ecopetrol Returns Distribution Density

The distribution of Ecopetrol's historical returns is an attempt to chart the uncertainty of Ecopetrol's future price movements. The chart of the probability distribution of Ecopetrol daily returns describes the distribution of returns around its average expected value. We use Ecopetrol SA ADR price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Ecopetrol returns is essential to provide solid investment advice for Ecopetrol.
Mean Return
0
Value At Risk
-2.56
Potential Upside
2.70
Standard Deviation
1.70
   Return Density   
       Distribution  
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Ecopetrol historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.

Ecopetrol Stock Institutional Investors

Have you ever been surprised when a price of an equity instrument such as Ecopetrol is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Ecopetrol SA ADR backward and forwards among themselves. Ecopetrol's institutional investor refers to the entity that pools money to purchase Ecopetrol's securities or originates loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
Shares
Goldman Sachs Group Inc2023-12-31
444.2 K
State Street Corporation2023-12-31
380.7 K
Arrowstreet Capital Limited Partnership2023-12-31
379.8 K
Centerbook Partners Lp2023-12-31
334.5 K
Robeco Institutional Asset Management Bv2023-12-31
311.3 K
Wells Fargo & Co2023-12-31
310.2 K
Schonfeld Strategic Advisors Llc2023-09-30
277.8 K
Charles Schwab Investment Management Inc2023-12-31
270 K
American Century Companies Inc2023-12-31
242.9 K
Gqg Partners Llc2023-12-31
12.2 M
Blackrock Inc2023-12-31
3.3 M
Note, although Ecopetrol's institutional investors appear to be way more sophisticated than retail investors, it remains unclear if professional active investment managers can reliably enhance risk-adjusted returns by an amount that exceeds fees and expenses.

Ecopetrol Cash Flow Accounts

201920202021202220232024 (projected)
Change In Cash764B(2.0T)9.5T851B(3.1T)(2.9T)
Free Cash Flow13.7T(1.9T)9.2T14.4T(8.5T)(8.1T)
Other Non Cash Items9.1T8.1T11.0T5.2T59.7T62.7T
Dividends Paid13.9T8.7T2.8T13.4T(5.6T)(5.3T)
Capital Expenditures14.0T11.1T13.3T21.9T24.1T25.3T
Net Income13.3T1.7T16.7T33.4T19.1T10.3T
End Period Cash Flow7.1T5.1T14.6T15.4T12.3T7.4T
Change To Inventory(597.6B)716.1B(3.0T)(2.8T)808.1B848.5B
Depreciation8.6T9.3T10.2T12.1T14.3T15.0T
Investments(10.0T)(8.5T)1.6T(18.1T)(16.3T)(15.5T)
Net Borrowings(8.8T)(1.5T)8.5T13.1T15.0T15.8T
Change To Netincome3.8T560B8.4T22.3T25.7T27.0T

Ecopetrol Greeks

Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Ecopetrol or Oil, Gas & Consumable Fuels sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Ecopetrol's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Ecopetrol stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α
Alpha over NYSE Composite
-0.12
β
Beta against NYSE Composite0.89
σ
Overall volatility
1.73
Ir
Information ratio -0.08

Ecopetrol Volatility Alert

Ecopetrol SA ADR has relatively low volatility with skewness of -0.06 and kurtosis of 0.77. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Ecopetrol's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Ecopetrol's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.

Ecopetrol Fundamentals Vs Peers

Comparing Ecopetrol's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Ecopetrol's direct or indirect competition across all of the common fundamentals between Ecopetrol and the related equities. This way, we can detect undervalued stocks with similar characteristics as Ecopetrol or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Ecopetrol's fundamental indicators could also be used in its relative valuation, which is a method of valuing Ecopetrol by comparing valuation metrics with those of similar companies.
    
 Better Than Average     
    
 Worse Than Average Compare Ecopetrol to competition
FundamentalsEcopetrolPeer Average
Return On Equity0.21-0.31
Return On Asset0.0881-0.14
Profit Margin0.13 %(1.27) %
Operating Margin0.16 %(5.51) %
Current Valuation45.95 B16.62 B
Shares Outstanding2.06 B571.82 M
Shares Owned By Institutions1.81 %39.21 %
Number Of Shares Shorted8.15 M4.71 M
Price To Earning4.84 X28.72 X
Price To Book1.26 X9.51 X
Price To Sales0.0002 X11.42 X
Revenue123.12 T9.43 B
Gross Profit81.43 T27.38 B
EBITDA37.25 T3.9 B
Net Income19.06 T570.98 M
Cash And Equivalents15.4 T2.7 B
Cash Per Share2.43 X5.01 X
Total Debt105.82 T5.32 B
Debt To Equity1.04 %48.70 %
Current Ratio1.46 X2.16 X
Book Value Per Share8.82 X1.93 K
Cash Flow From Operations15.59 T971.22 M
Short Ratio3.79 X4.00 X
Earnings Per Share2.47 X3.12 X
Price To Earnings To Growth0.30 X4.89 X
Target Price13.42
Beta0.76-0.15
Market Capitalization24.33 B19.03 B
Total Asset282.28 T29.47 B
Retained Earnings20.6 T9.33 B
Working Capital20.5 T1.48 B
Current Asset19.87 T9.34 B
Current Liabilities17.43 T7.9 B

Ecopetrol Market Momentum

Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Ecopetrol . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.

About Ecopetrol Buy or Sell Advice

When is the right time to buy or sell Ecopetrol SA ADR? Buying financial instruments such as Ecopetrol Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
 2021 2022 2023 2024 (projected)
Other Current Liabilities6.3T13.3T11.9T12.5T
Total Assets244.3T306.4T282.3T296.4T

Use Investing Ideas to Build Portfolios

In addition to having Ecopetrol in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.

Did You Try This Idea?

Run Beer and Liquor Thematic Idea Now

Beer and Liquor
Beer and Liquor Theme
Fama and French investing themes focus on testing asset pricing under different economic assumptions. The Beer and Liquor theme has 33 constituents at this time.
You can either use a buy-and-hold strategy to lock in the entire theme or actively trade it to take advantage of the short-term price volatility of individual constituents. Macroaxis can help you discover thousands of investment opportunities in different asset classes. In addition, you can partner with us for reliable portfolio optimization as you plan to utilize Beer and Liquor Theme or any other thematic opportunities.
View All  Next Launch
When determining whether Ecopetrol SA ADR offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Ecopetrol's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Ecopetrol Sa Adr Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Ecopetrol Sa Adr Stock:
Check out Ecopetrol Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool.
Note that the Ecopetrol SA ADR information on this page should be used as a complementary analysis to other Ecopetrol's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.

Complementary Tools for Ecopetrol Stock analysis

When running Ecopetrol's price analysis, check to measure Ecopetrol's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Ecopetrol is operating at the current time. Most of Ecopetrol's value examination focuses on studying past and present price action to predict the probability of Ecopetrol's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Ecopetrol's price. Additionally, you may evaluate how the addition of Ecopetrol to your portfolios can decrease your overall portfolio volatility.
Portfolio Diagnostics
Use generated alerts and portfolio events aggregator to diagnose current holdings
Premium Stories
Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope
Financial Widgets
Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets
Instant Ratings
Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance
Piotroski F Score
Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Aroon Oscillator
Analyze current equity momentum using Aroon Oscillator and other momentum ratios
Economic Indicators
Top statistical indicators that provide insights into how an economy is performing
FinTech Suite
Use AI to screen and filter profitable investment opportunities
Watchlist Optimization
Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Volatility Analysis
Get historical volatility and risk analysis based on latest market data
Technical Analysis
Check basic technical indicators and analysis based on most latest market data
Is Ecopetrol's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Ecopetrol. If investors know Ecopetrol will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Ecopetrol listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth
(0.38)
Earnings Share
2.47
Revenue Per Share
34.8 K
Quarterly Revenue Growth
(0.12)
Return On Assets
0.0881
The market value of Ecopetrol SA ADR is measured differently than its book value, which is the value of Ecopetrol that is recorded on the company's balance sheet. Investors also form their own opinion of Ecopetrol's value that differs from its market value or its book value, called intrinsic value, which is Ecopetrol's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Ecopetrol's market value can be influenced by many factors that don't directly affect Ecopetrol's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Ecopetrol's value and its price as these two are different measures arrived at by different means. Investors typically determine if Ecopetrol is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Ecopetrol's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.