LG Chem (Korea) Market Value
| 051915 Stock | 212,000 7,000 3.41% |
| Symbol | 051915 |
LG Chem '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 LG Chem'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 LG Chem.
| 12/04/2022 |
| 11/23/2024 |
If you would invest 0.00 in LG Chem on December 4, 2022 and sell it all today you would earn a total of 0.00 from holding LG Chem or generate 0.0% return on investment in LG Chem over 720 days. LG Chem is related to or competes with Woori Technology, Polaris Office, Homecast CoLtd, DB Financial, Samyung Trading, Hanwha InvestmentSecuri, and Golden Bridge. More
LG Chem 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 LG Chem'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 LG Chem upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.48 | |||
| Information Ratio | (0) | |||
| Maximum Drawdown | 9.96 | |||
| Value At Risk | (4.09) | |||
| Potential Upside | 4.35 |
LG Chem Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for LG Chem's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as LG Chem's standard deviation. In reality, there are many statistical measures that can use LG Chem historical prices to predict the future LG Chem's volatility.| Risk Adjusted Performance | 0.0453 | |||
| Jensen Alpha | 0.1404 | |||
| Total Risk Alpha | (0.29) | |||
| Sortino Ratio | (0) | |||
| Treynor Ratio | (0.64) |
LG Chem Backtested Returns
At this point, LG Chem is very steady. LG Chem retains Efficiency (Sharpe Ratio) of 0.0203, which conveys that the firm had a 0.0203% return per unit of price deviation over the last 3 months. We have found thirty technical indicators for LG Chem, which you can use to evaluate the volatility of the firm. Please verify LG Chem's Standard Deviation of 2.56, market risk adjusted performance of (0.63), and Mean Deviation of 1.98 to check out if the risk estimate we provide is consistent with the expected return of 0.0534%. LG Chem has a performance score of 1 on a scale of 0 to 100. The company owns a Beta (Systematic Risk) of -0.18, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning LG Chem are expected to decrease at a much lower rate. During the bear market, LG Chem is likely to outperform the market. LG Chem today owns a risk of 2.63%. Please verify LG Chem market risk adjusted performance, semi deviation, coefficient of variation, as well as the relationship between the mean deviation and downside deviation , to decide if LG Chem will be following its current price history.
Auto-correlation | -0.38 |
Poor reverse predictability
LG Chem has poor reverse predictability. Overlapping area represents the amount of predictability between LG Chem 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 LG Chem price movement. The serial correlation of -0.38 indicates that just about 38.0% of current LG Chem price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.38 | |
| Spearman Rank Test | -0.24 | |
| Residual Average | 0.0 | |
| Price Variance | 1.4 B |
LG Chem lagged returns against current returns
Autocorrelation, which is LG Chem 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 LG Chem's stock expected returns. We can calculate the autocorrelation of LG Chem returns to help us make a trade decision. For example, suppose you find that LG Chem 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 |
LG Chem 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 LG Chem stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if LG Chem stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in LG Chem stock over time.
Current vs Lagged Prices |
| Timeline |
LG Chem Lagged Returns
When evaluating LG Chem's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of LG Chem stock have on its future price. LG Chem 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, LG Chem autocorrelation shows the relationship between LG Chem stock current value and its past values and can show if there is a momentum factor associated with investing in LG Chem.
Regressed Prices |
| Timeline |
Pair Trading with LG Chem
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 LG Chem 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 LG Chem will appreciate offsetting losses from the drop in the long position's value.Moving together with 051915 Stock
The ability to find closely correlated positions to LG Chem could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LG Chem 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 LG Chem - 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 LG Chem to buy it.
The correlation of LG Chem 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 LG Chem moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LG Chem 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 LG Chem 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 051915 Stock
LG Chem financial ratios help investors to determine whether 051915 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 051915 with respect to the benefits of owning LG Chem security.