Namhae Chemical (Korea) Market Value
| 025860 Stock | 6,260 20.00 0.32% |
| Symbol | Namhae |
Namhae Chemical 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Namhae Chemical's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Namhae Chemical.
| 12/04/2022 |
| 11/23/2024 |
If you would invest 0.00 in Namhae Chemical on December 4, 2022 and sell it all today you would earn a total of 0.00 from holding Namhae Chemical or generate 0.0% return on investment in Namhae Chemical over 720 days. Namhae Chemical is related to or competes with LG Chemicals, POSCO Holdings, Lotte Chemical, Hyundai Steel, Dongkuk Steel, Korea Petro, and Seah Steel. More
Namhae Chemical Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Namhae Chemical's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Namhae Chemical upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.25) | |||
| Maximum Drawdown | 6.27 | |||
| Value At Risk | (1.53) | |||
| Potential Upside | 1.37 |
Namhae Chemical Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Namhae Chemical's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Namhae Chemical's standard deviation. In reality, there are many statistical measures that can use Namhae Chemical historical prices to predict the future Namhae Chemical's volatility.| Risk Adjusted Performance | (0.09) | |||
| Jensen Alpha | (0.15) | |||
| Total Risk Alpha | (0.28) | |||
| Treynor Ratio | (0.91) |
Namhae Chemical Backtested Returns
Namhae Chemical has Sharpe Ratio of -0.1, which conveys that the firm had a -0.1% return per unit of risk over the last 3 months. Namhae Chemical exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Namhae Chemical's Risk Adjusted Performance of (0.09), mean deviation of 0.7382, and Standard Deviation of 0.9872 to check out the risk estimate we provide. The company secures a Beta (Market Risk) of 0.14, which conveys not very significant fluctuations relative to the market. As returns on the market increase, Namhae Chemical's returns are expected to increase less than the market. However, during the bear market, the loss of holding Namhae Chemical is expected to be smaller as well. At this point, Namhae Chemical has a negative expected return of -0.1%. Please make sure to verify Namhae Chemical's coefficient of variation, jensen alpha, treynor ratio, as well as the relationship between the standard deviation and total risk alpha , to decide if Namhae Chemical performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.87 |
Very good predictability
Namhae Chemical has very good predictability. Overlapping area represents the amount of predictability between Namhae Chemical time series from 4th of December 2022 to 29th of November 2023 and 29th of November 2023 to 23rd of November 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Namhae Chemical price movement. The serial correlation of 0.87 indicates that approximately 87.0% of current Namhae Chemical price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.87 | |
| Spearman Rank Test | 0.75 | |
| Residual Average | 0.0 | |
| Price Variance | 134.9 K |
Namhae Chemical lagged returns against current returns
Autocorrelation, which is Namhae Chemical stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Namhae Chemical's stock expected returns. We can calculate the autocorrelation of Namhae Chemical returns to help us make a trade decision. For example, suppose you find that Namhae Chemical has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Namhae Chemical regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Namhae Chemical stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Namhae Chemical stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Namhae Chemical stock over time.
Current vs Lagged Prices |
| Timeline |
Namhae Chemical Lagged Returns
When evaluating Namhae Chemical's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Namhae Chemical stock have on its future price. Namhae Chemical autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Namhae Chemical autocorrelation shows the relationship between Namhae Chemical stock current value and its past values and can show if there is a momentum factor associated with investing in Namhae Chemical.
Regressed Prices |
| Timeline |
Pair Trading with Namhae Chemical
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 Namhae Chemical 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 Namhae Chemical will appreciate offsetting losses from the drop in the long position's value.Moving together with Namhae Stock
Moving against Namhae Stock
The ability to find closely correlated positions to Namhae Chemical could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Namhae Chemical 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 Namhae Chemical - 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 Namhae Chemical to buy it.
The correlation of Namhae Chemical 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 Namhae Chemical moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Namhae Chemical 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 Namhae Chemical 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.Other Information on Investing in Namhae Stock
Namhae Chemical financial ratios help investors to determine whether Namhae Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Namhae with respect to the benefits of owning Namhae Chemical security.