Lithia Motors (Germany) Probability of Future Stock Price Finishing Under 367.89
| LMO Stock | EUR 368.00 2.00 0.55% |
Lithia |
Lithia Motors Target Price Odds to finish below 367.89
The tendency of Lithia Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
| Current Price | Horizon | Target Price | Odds to drop to € 367.89 or more in 90 days |
| 368.00 | 90 days | 367.89 | under 95 |
Based on a normal probability distribution, the odds of Lithia Motors to drop to € 367.89 or more in 90 days from now is under 95 (This Lithia Motors probability density function shows the probability of Lithia Stock to fall within a particular range of prices over 90 days) . Probability of Lithia Motors price to stay between € 367.89 and its current price of €368.0 at the end of the 90-day period is near 1 .
Assuming the 90 days horizon the stock has the beta coefficient of 1.57 . This indicates as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Lithia Motors will likely underperform. Additionally Lithia Motors has an alpha of 0.3197, implying that it can generate a 0.32 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Lithia Motors Price Density |
| Price |
Predictive Modules for Lithia Motors
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Lithia Motors. 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.Lithia Motors Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Lithia Motors is not an exception. The market had few large corrections towards the Lithia Motors' value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Lithia Motors, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Lithia Motors within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | 0.32 | |
β | Beta against Dow Jones | 1.57 | |
σ | Overall volatility | 41.41 | |
Ir | Information ratio | 0.15 |
Lithia Motors Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Lithia Motors for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Lithia Motors can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Lithia Motors has accumulated about 170.3 M in cash with (610.1 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 6.39. | |
| Over 98.0% of the company shares are owned by institutional investors |
Lithia Motors Price Density Drivers
Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of Lithia Stock often depends not only on the future outlook of the current and potential Lithia Motors' 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. Lithia Motors' indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 27.3 M |
Lithia Motors Technical Analysis
Lithia Motors' future price can be derived by breaking down and analyzing its technical indicators over time. Lithia Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Lithia Motors. In general, you should focus on analyzing Lithia Stock price patterns and their correlations with different microeconomic environments and drivers.
Lithia Motors Predictive Forecast Models
Lithia Motors' time-series forecasting models is one of many Lithia Motors' stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary Lithia Motors' historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.
Things to note about Lithia Motors
Checking the ongoing alerts about Lithia Motors for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Lithia Motors help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| Lithia Motors has accumulated about 170.3 M in cash with (610.1 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 6.39. | |
| Over 98.0% of the company shares are owned by institutional investors |
Additional Information and Resources on Investing in Lithia Stock
When determining whether Lithia Motors is a strong investment it is important to analyze Lithia Motors' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Lithia Motors' future performance. For an informed investment choice regarding Lithia Stock, refer to the following important reports:Check out Lithia Motors Backtesting, Lithia Motors Valuation, Lithia Motors Correlation, Lithia Motors Hype Analysis, Lithia Motors Volatility, Lithia Motors History as well as Lithia Motors Performance. For more detail on how to invest in Lithia Stock please use our How to Invest in Lithia Motors guide.You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.