Despegar Corp Stock Forecast - Naive Prediction

DESPDelisted Stock  USD 19.50  0.02  0.10%   
The Naive Prediction forecasted value of Despegar Corp on the next trading day is expected to be 19.32 with a mean absolute deviation of 0.07 and the sum of the absolute errors of 4.03. Despegar Stock Forecast is based on your current time horizon.
As of today, The value of RSI of Despegar Corp's share price is at 59 suggesting that the stock is in nutural position, most likellhy at or near its resistance level. The main idea of RSI analysis is to track how fast people are buying or selling Despegar Corp, making its price go up or down.

Momentum 59

 Buy Extended

 
Oversold
 
Overbought
The successful prediction of Despegar Corp's future price could yield a significant profit. We analyze noise-free headlines and recent hype associated with Despegar Corp, which may create opportunities for some arbitrage if properly timed.
Using Despegar Corp hype-based prediction, you can estimate the value of Despegar Corp from the perspective of Despegar Corp response to recently generated media hype and the effects of current headlines on its competitors.
The Naive Prediction forecasted value of Despegar Corp on the next trading day is expected to be 19.32 with a mean absolute deviation of 0.07 and the sum of the absolute errors of 4.03.

Despegar Corp after-hype prediction price

    
  USD 19.5  
There is no one specific way to measure market sentiment using hype analysis or a similar predictive technique. This prediction method should be used in combination with more fundamental and traditional techniques such as delisted stock price forecasting, technical analysis, analysts consensus, earnings estimates, and various momentum models.
  
Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators.

Despegar Corp Additional Predictive Modules

Most predictive techniques to examine Despegar price help traders to determine how to time the market. We provide a combination of tools to recognize potential entry and exit points for Despegar using various technical indicators. When you analyze Despegar charts, please remember that the event formation may indicate an entry point for a short seller, and look at other indicators across different periods to confirm that a breakdown or reversion is likely to occur.
A naive forecasting model for Despegar Corp is a special case of the moving average forecasting where the number of periods used for smoothing is one. Therefore, the forecast of Despegar Corp value for a given trading day is simply the observed value for the previous period. Due to the simplistic nature of the naive forecasting model, it can only be used to forecast up to one period.

Despegar Corp Naive Prediction Price Forecast For the 24th of January

Given 90 days horizon, the Naive Prediction forecasted value of Despegar Corp on the next trading day is expected to be 19.32 with a mean absolute deviation of 0.07, mean absolute percentage error of 0.01, and the sum of the absolute errors of 4.03.
Please note that although there have been many attempts to predict Despegar Stock prices using its time series forecasting, we generally do not recommend using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that Despegar Corp's next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

Despegar Corp Stock Forecast Pattern

Backtest Despegar CorpDespegar Corp Price PredictionBuy or Sell Advice 

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Naive Prediction forecasting method's relative quality and the estimations of the prediction error of Despegar Corp stock data series using in forecasting. Note that when a statistical model is used to represent Despegar Corp stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.
AICAkaike Information Criteria113.4642
BiasArithmetic mean of the errors None
MADMean absolute deviation0.066
MAPEMean absolute percentage error0.0035
SAESum of the absolute errors4.0254
This model is not at all useful as a medium-long range forecasting tool of Despegar Corp. This model is simplistic and is included partly for completeness and partly because of its simplicity. It is unlikely that you'll want to use this model directly to predict Despegar Corp. Instead, consider using either the moving average model or the more general weighted moving average model with a higher (i.e., greater than 1) number of periods, and possibly a different set of weights.

Predictive Modules for Despegar Corp

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Despegar Corp. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Despegar Corp's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
19.5019.5019.50
Details
Intrinsic
Valuation
LowRealHigh
16.3616.3621.45
Details
Bollinger
Band Projection (param)
LowMiddleHigh
18.9919.3219.65
Details

Despegar Corp After-Hype Price Prediction Density Analysis

As far as predicting the price of Despegar Corp at your current risk attitude, this probability distribution graph shows the chance that the prediction will fall between or within a specific range. We use this chart to confirm that your returns on investing in Despegar Corp or, for that matter, your successful expectations of its future price, cannot be replicated consistently. Please note, a large amount of money has been lost over the years by many investors who confused the symmetrical distributions of Stock prices, such as prices of Despegar Corp, with the unreliable approximations that try to describe financial returns.
   Next price density   
       Expected price to next headline  

Despegar Corp Estimiated After-Hype Price Volatility

In the context of predicting Despegar Corp's stock value on the day after the next significant headline, we show statistically significant boundaries of downside and upside scenarios based on Despegar Corp's historical news coverage. Despegar Corp's after-hype downside and upside margins for the prediction period are 19.50 and 19.50, respectively. We have considered Despegar Corp's daily market price in relation to the headlines to evaluate this method's predictive performance. Remember, however, there is no scientific proof or empirical evidence that news-based prediction models outperform traditional linear, nonlinear models or artificial intelligence models to provide accurate predictions consistently.
Current Value
19.50
19.50
After-hype Price
19.50
Upside
Despegar Corp is very steady at this time. Analysis and calculation of next after-hype price of Despegar Corp is based on 3 months time horizon.

Despegar Corp Stock Price Prediction Analysis

Have you ever been surprised when a price of a Company such as Despegar Corp is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Despegar Corp backward and forwards among themselves. Have you ever observed a lot of a particular company's price movement is driven by press releases or news about the company that has nothing to do with actual earnings? Usually, hype to individual companies acts as price momentum. If not enough favorable publicity is forthcoming, the Delisted Stock price eventually runs out of speed. So, the rule of thumb here is that as long as this news hype has nothing to do with immediate earnings, you should pay more attention to it. If you see this tendency with Despegar Corp, there might be something going there, and it might present an excellent short sale opportunity.
Expected ReturnPeriod VolatilityHype ElasticityRelated ElasticityNews DensityRelated DensityExpected Hype
 0.00  
0.00
 0.00  
 0.00  
6 Events / Month
4 Events / Month
In about 6 days
Latest traded priceExpected after-news pricePotential return on next major newsAverage after-hype volatility
19.50
19.50
0.00 
0.00  
Notes

Despegar Corp Hype Timeline

Despegar Corp is currently traded for 19.50. The entity stock is not elastic to its hype. The average elasticity to hype of competition is 0.0. Despegar is projected not to react to the next headline, with the price staying at about the same level, and average media hype impact volatility is insignificant. The immediate return on the next news is projected to be very small, whereas the daily expected return is currently at 0.0%. %. The volatility of related hype on Despegar Corp is about 0.0%, with the expected price after the next announcement by competition of 19.50. About 14.0% of the company shares are held by company insiders. The company has Price/Earnings (P/E) ratio of 192.54. Despegar Corp recorded a loss per share of 0.03. The entity had not issued any dividends in recent years. Given the investment horizon of 90 days the next projected press release will be in about 6 days.
Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators.

Despegar Corp Related Hype Analysis

Having access to credible news sources related to Despegar Corp's direct competition is more important than ever and may enhance your ability to predict Despegar Corp's future price movements. Getting to know how Despegar Corp's peers react to changing market sentiment, related social signals, and mainstream news is a great way to find investing opportunities and time the market. The summary table below summarizes the essential lagging indicators that can help you analyze how Despegar Corp may potentially react to the hype associated with one of its peers.

Despegar Corp Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Despegar Corp stock to make a market-neutral strategy. Peer analysis of Despegar Corp could also be used in its relative valuation, which is a method of valuing Despegar Corp by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

Despegar Corp Market Strength Events

Market strength indicators help investors to evaluate how Despegar Corp stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Despegar Corp shares will generate the highest return on investment. By undertsting and applying Despegar Corp stock market strength indicators, traders can identify Despegar Corp entry and exit signals to maximize returns.

Despegar Corp Risk Indicators

The analysis of Despegar Corp's basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in Despegar Corp's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting despegar stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

Story Coverage note for Despegar Corp

The number of cover stories for Despegar Corp depends on current market conditions and Despegar Corp's risk-adjusted performance over time. The coverage that generates the most noise at a given time depends on the prevailing investment theme that Despegar Corp is classified under. However, while its typical story may have numerous social followers, the rapid visibility can also attract short-sellers, who usually are skeptical about Despegar Corp's long-term prospects. So, having above-average coverage will typically attract above-average short interest, leading to significant price volatility.

Despegar Corp Short Properties

Despegar Corp's future price predictability will typically decrease when Despegar Corp's long traders begin to feel the short-sellers pressure to drive the price lower. The predictive aspect of Despegar Corp often depends not only on the future outlook of the potential Despegar Corp's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Despegar Corp's indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding83.9 M
Cash And Short Term Investments222.8 M
Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in main economic indicators.
You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.

Other Consideration for investing in Despegar Stock

If you are still planning to invest in Despegar Corp check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Despegar Corp's history and understand the potential risks before investing.
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