Childrens Place Stock Probability of Future Stock Price Finishing Under 16.03
| PLCE Stock | USD 15.92 0.23 1.42% |
Childrens |
Childrens Place Target Price Odds to finish below 16.03
The tendency of Childrens 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 under $ 16.03 after 90 days |
| 15.92 | 90 days | 16.03 | about 81.18 |
Based on a normal probability distribution, the odds of Childrens Place to stay under $ 16.03 after 90 days from now is about 81.18 (This Childrens Place probability density function shows the probability of Childrens Stock to fall within a particular range of prices over 90 days) . Probability of Childrens Place price to stay between its current price of $ 15.92 and $ 16.03 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 2.18 indicating as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Childrens Place will likely underperform. In addition to that Childrens Place has an alpha of 2.0108, implying that it can generate a 2.01 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Childrens Place Price Density |
| Price |
Predictive Modules for Childrens Place
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Childrens Place. 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 Childrens Place'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.
Childrens Place Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Childrens Place is not an exception. The market had few large corrections towards the Childrens Place'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 Childrens Place, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Childrens Place within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | 2.01 | |
β | Beta against Dow Jones | 2.18 | |
σ | Overall volatility | 3.62 | |
Ir | Information ratio | 0.15 |
Childrens Place 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 Childrens Place for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Childrens Place can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Childrens Place is way too risky over 90 days horizon | |
| Childrens Place appears to be risky and price may revert if volatility continues | |
| Childrens Place currently holds 463.84 M in liabilities with Debt to Equity (D/E) ratio of 2.85, implying the company greatly relies on financing operations through barrowing. Childrens Place has a current ratio of 0.92, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Childrens Place's use of debt, we should always consider it together with its cash and equity. | |
| The entity reported the previous year's revenue of 1.6 B. Net Loss for the year was (154.54 M) with profit before overhead, payroll, taxes, and interest of 514.16 M. | |
| Over 83.0% of Childrens Place shares are owned by institutional investors | |
| Latest headline from gurufocus.com: Gymboree Marks Historic Grand Opening at Garden State Plaza |
Childrens Place 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 Childrens Stock often depends not only on the future outlook of the current and potential Childrens Place'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. Childrens Place's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 12.5 M | |
| Cash And Short Term Investments | 13.6 M |
Childrens Place Technical Analysis
Childrens Place's future price can be derived by breaking down and analyzing its technical indicators over time. Childrens Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Childrens Place. In general, you should focus on analyzing Childrens Stock price patterns and their correlations with different microeconomic environments and drivers.
Childrens Place Predictive Forecast Models
Childrens Place's time-series forecasting models is one of many Childrens Place'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 Childrens Place'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 Childrens Place
Checking the ongoing alerts about Childrens Place for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Childrens Place help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| Childrens Place is way too risky over 90 days horizon | |
| Childrens Place appears to be risky and price may revert if volatility continues | |
| Childrens Place currently holds 463.84 M in liabilities with Debt to Equity (D/E) ratio of 2.85, implying the company greatly relies on financing operations through barrowing. Childrens Place has a current ratio of 0.92, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Note, when we think about Childrens Place's use of debt, we should always consider it together with its cash and equity. | |
| The entity reported the previous year's revenue of 1.6 B. Net Loss for the year was (154.54 M) with profit before overhead, payroll, taxes, and interest of 514.16 M. | |
| Over 83.0% of Childrens Place shares are owned by institutional investors | |
| Latest headline from gurufocus.com: Gymboree Marks Historic Grand Opening at Garden State Plaza |
Check out Childrens Place Backtesting, Childrens Place Valuation, Childrens Place Correlation, Childrens Place Hype Analysis, Childrens Place Volatility, Childrens Place History as well as Childrens Place Performance. For information on how to trade Childrens Stock refer to our How to Trade Childrens Stock guide.You can also try the Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.
Is Specialty Retail 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 Childrens Place. If investors know Childrens 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 Childrens Place 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 (0.06) | Earnings Share (12.70) | Revenue Per Share 120.565 | Quarterly Revenue Growth (0.07) | Return On Assets 0.001 |
The market value of Childrens Place is measured differently than its book value, which is the value of Childrens that is recorded on the company's balance sheet. Investors also form their own opinion of Childrens Place's value that differs from its market value or its book value, called intrinsic value, which is Childrens Place'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 Childrens Place's market value can be influenced by many factors that don't directly affect Childrens Place'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 Childrens Place's value and its price as these two are different measures arrived at by different means. Investors typically determine if Childrens Place is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Childrens Place'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.