Sunoco LP Stock Forecast - Naive Prediction
| SUN Stock | USD 54.33 0.31 0.57% |
The Naive Prediction forecasted value of Sunoco LP on the next trading day is expected to be 54.46 with a mean absolute deviation of 0.53 and the sum of the absolute errors of 32.46. Sunoco Stock Forecast is based on your current time horizon. Although Sunoco LP's naive historical forecasting may sometimes provide an important future outlook for the firm, we recommend always cross-verifying it against solid analysis of Sunoco LP's systematic risk associated with finding meaningful patterns of Sunoco LP fundamentals over time.
Sunoco |
Sunoco LP Cash Forecast
Forecasting financial indicators like cash flow involves analysts applying various statistical methods, techniques, and algorithms. These tools reveal hidden trends within the Sunoco LP's financial statements to estimate their effects on upcoming price movements.
Cash | First Reported 2010-12-31 | Previous Quarter 226 M | Current Value 116 M | Quarterly Volatility 66.9 M |
Sunoco LP Naive Prediction Price Forecast For the 26th of November
Given 90 days horizon, the Naive Prediction forecasted value of Sunoco LP on the next trading day is expected to be 54.46 with a mean absolute deviation of 0.53, mean absolute percentage error of 0.45, and the sum of the absolute errors of 32.46.Please note that although there have been many attempts to predict Sunoco 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 Sunoco LP's next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).
Sunoco LP Stock Forecast Pattern
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Sunoco LP Forecasted Value
In the context of forecasting Sunoco LP's Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. Sunoco LP's downside and upside margins for the forecasting period are 53.11 and 55.81, respectively. We have considered Sunoco LP's daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
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 Sunoco LP stock data series using in forecasting. Note that when a statistical model is used to represent Sunoco LP 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.| AIC | Akaike Information Criteria | 117.315 |
| Bias | Arithmetic mean of the errors | None |
| MAD | Mean absolute deviation | 0.5321 |
| MAPE | Mean absolute percentage error | 0.0102 |
| SAE | Sum of the absolute errors | 32.4581 |
Predictive Modules for Sunoco LP
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Sunoco LP. 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 Sunoco LP'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.
Other Forecasting Options for Sunoco LP
For every potential investor in Sunoco, whether a beginner or expert, Sunoco LP's price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. Sunoco Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in Sunoco. Basic forecasting techniques help filter out the noise by identifying Sunoco LP's price trends.Sunoco LP 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 Sunoco LP stock to make a market-neutral strategy. Peer analysis of Sunoco LP could also be used in its relative valuation, which is a method of valuing Sunoco LP by comparing valuation metrics with similar companies.
| Risk & Return | Correlation |
Sunoco LP Technical and Predictive Analytics
The stock market is financially volatile. Despite the volatility, there exist limitless possibilities of gaining profits and building passive income portfolios. With the complexity of Sunoco LP's price movements, a comprehensive understanding of forecasting methods that an investor can rely on to make the right move is invaluable. These methods predict trends that assist an investor in predicting the movement of Sunoco LP's current price.| Cycle Indicators | ||
| Math Operators | ||
| Math Transform | ||
| Momentum Indicators | ||
| Overlap Studies | ||
| Pattern Recognition | ||
| Price Transform | ||
| Statistic Functions | ||
| Volatility Indicators | ||
| Volume Indicators |
Sunoco LP Market Strength Events
Market strength indicators help investors to evaluate how Sunoco LP stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Sunoco LP shares will generate the highest return on investment. By undertsting and applying Sunoco LP stock market strength indicators, traders can identify Sunoco LP entry and exit signals to maximize returns.
Sunoco LP Risk Indicators
The analysis of Sunoco LP'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 Sunoco LP's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting sunoco 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.
| Mean Deviation | 1.04 | |||
| Semi Deviation | 1.08 | |||
| Standard Deviation | 1.34 | |||
| Variance | 1.8 | |||
| Downside Variance | 1.25 | |||
| Semi Variance | 1.17 | |||
| Expected Short fall | (1.24) |
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.
Pair Trading with Sunoco LP
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Sunoco LP position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Sunoco LP will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to Sunoco LP could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Sunoco LP when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Sunoco LP - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Sunoco LP to buy it.
The correlation of Sunoco LP is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Sunoco LP moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Sunoco LP moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Sunoco LP can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Historical Fundamental Analysis of Sunoco LP to cross-verify your projections. To learn how to invest in Sunoco Stock, please use our How to Invest in Sunoco LP guide.You can also try the Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
Is Oil & Gas Storage & Transportation space 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 Sunoco LP. If investors know Sunoco 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 Sunoco LP 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 3.936 | Dividend Share 3.469 | Earnings Share 3.91 | Revenue Per Share 218.578 | Quarterly Revenue Growth (0.09) |
The market value of Sunoco LP is measured differently than its book value, which is the value of Sunoco that is recorded on the company's balance sheet. Investors also form their own opinion of Sunoco LP's value that differs from its market value or its book value, called intrinsic value, which is Sunoco LP'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 Sunoco LP's market value can be influenced by many factors that don't directly affect Sunoco LP'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 Sunoco LP's value and its price as these two are different measures arrived at by different means. Investors typically determine if Sunoco LP is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Sunoco LP'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.