Mereo Biopharma Group Stock Probability of Future Stock Price Finishing Over 3.65
| MREO Stock | USD 3.68 0.10 2.79% |
Mereo |
Mereo BioPharma Target Price Odds to finish over 3.65
The tendency of Mereo 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 stay above $ 3.65 in 90 days |
| 3.68 | 90 days | 3.65 | about 98.0 |
Based on a normal probability distribution, the odds of Mereo BioPharma to stay above $ 3.65 in 90 days from now is about 98.0 (This Mereo BioPharma Group probability density function shows the probability of Mereo Stock to fall within a particular range of prices over 90 days) . Probability of Mereo BioPharma Group price to stay between $ 3.65 and its current price of $3.68 at the end of the 90-day period is near 1 .
Given the investment horizon of 90 days 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, Mereo BioPharma will likely underperform. Additionally Mereo BioPharma Group has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Mereo BioPharma Price Density |
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Predictive Modules for Mereo BioPharma
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Mereo BioPharma Group. 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 Mereo BioPharma'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.
Mereo BioPharma Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Mereo BioPharma is not an exception. The market had few large corrections towards the Mereo BioPharma's 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 Mereo BioPharma Group, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Mereo BioPharma within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | -0.41 | |
β | Beta against Dow Jones | 1.57 | |
σ | Overall volatility | 0.31 | |
Ir | Information ratio | -0.1 |
Mereo BioPharma 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 Mereo BioPharma for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Mereo BioPharma Group can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Mereo BioPharma generated a negative expected return over the last 90 days | |
| Mereo BioPharma has high historical volatility and very poor performance | |
| The company reported the previous year's revenue of 10 M. Net Loss for the year was (29.47 M) with profit before overhead, payroll, taxes, and interest of 936 K. | |
| Mereo BioPharma Group currently holds about 94.3 M in cash with (21.13 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.81. | |
| Roughly 66.0% of the company shares are owned by institutional investors | |
| Latest headline from thelincolnianonline.com: HealthInvest Partners AB Invests 822,000 in Mereo BioPharma Group plc |
Mereo BioPharma 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 Mereo Stock often depends not only on the future outlook of the current and potential Mereo BioPharma'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. Mereo BioPharma's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 659.5 M | |
| Cash And Short Term Investments | 57.4 M |
Mereo BioPharma Technical Analysis
Mereo BioPharma's future price can be derived by breaking down and analyzing its technical indicators over time. Mereo Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Mereo BioPharma Group. In general, you should focus on analyzing Mereo Stock price patterns and their correlations with different microeconomic environments and drivers.
Mereo BioPharma Predictive Forecast Models
Mereo BioPharma's time-series forecasting models is one of many Mereo BioPharma's 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 Mereo BioPharma's 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 Mereo BioPharma Group
Checking the ongoing alerts about Mereo BioPharma for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Mereo BioPharma Group help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| Mereo BioPharma generated a negative expected return over the last 90 days | |
| Mereo BioPharma has high historical volatility and very poor performance | |
| The company reported the previous year's revenue of 10 M. Net Loss for the year was (29.47 M) with profit before overhead, payroll, taxes, and interest of 936 K. | |
| Mereo BioPharma Group currently holds about 94.3 M in cash with (21.13 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 0.81. | |
| Roughly 66.0% of the company shares are owned by institutional investors | |
| Latest headline from thelincolnianonline.com: HealthInvest Partners AB Invests 822,000 in Mereo BioPharma Group plc |
Check out Mereo BioPharma Backtesting, Mereo BioPharma Valuation, Mereo BioPharma Correlation, Mereo BioPharma Hype Analysis, Mereo BioPharma Volatility, Mereo BioPharma History as well as Mereo BioPharma Performance. You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Is Biotechnology 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 Mereo BioPharma. If investors know Mereo 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 Mereo BioPharma listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.25) | Revenue Per Share 0.007 | Return On Assets (0.24) | Return On Equity (0.48) |
The market value of Mereo BioPharma Group is measured differently than its book value, which is the value of Mereo that is recorded on the company's balance sheet. Investors also form their own opinion of Mereo BioPharma's value that differs from its market value or its book value, called intrinsic value, which is Mereo BioPharma'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 Mereo BioPharma's market value can be influenced by many factors that don't directly affect Mereo BioPharma'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 Mereo BioPharma's value and its price as these two are different measures arrived at by different means. Investors typically determine if Mereo BioPharma is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Mereo BioPharma'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.