LS Materials (Korea) Market Value
| 417200 Stock | 11,860 110.00 0.92% |
| Symbol | 417200 |
LS Materials '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 LS Materials' 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 LS Materials.
| 12/05/2022 |
| 11/24/2024 |
If you would invest 0.00 in LS Materials on December 5, 2022 and sell it all today you would earn a total of 0.00 from holding LS Materials or generate 0.0% return on investment in LS Materials over 720 days.
LS Materials 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 LS Materials' 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 LS Materials upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.25) | |||
| Maximum Drawdown | 11.81 | |||
| Value At Risk | (5.05) | |||
| Potential Upside | 3.84 |
LS Materials Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for LS Materials' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as LS Materials' standard deviation. In reality, there are many statistical measures that can use LS Materials historical prices to predict the future LS Materials' volatility.| Risk Adjusted Performance | (0.15) | |||
| Jensen Alpha | (0.44) | |||
| Total Risk Alpha | (0.93) | |||
| Treynor Ratio | 0.7481 |
LS Materials Backtested Returns
LS Materials retains Efficiency (Sharpe Ratio) of -0.26, which conveys that the firm had a -0.26% return per unit of price deviation over the last 3 months. LS Materials exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify LS Materials' Market Risk Adjusted Performance of 0.7581, mean deviation of 1.97, and Information Ratio of (0.25) to check out the risk estimate we provide. The company owns a Beta (Systematic Risk) of -0.71, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning LS Materials are expected to decrease at a much lower rate. During the bear market, LS Materials is likely to outperform the market. At this point, LS Materials has a negative expected return of -0.66%. Please make sure to verify LS Materials' market risk adjusted performance, coefficient of variation, jensen alpha, as well as the relationship between the mean deviation and standard deviation , to decide if LS Materials performance from the past will be repeated sooner or later.
Auto-correlation | 0.00 |
No correlation between past and present
LS Materials has no correlation between past and present. Overlapping area represents the amount of predictability between LS Materials time series from 5th of December 2022 to 30th of November 2023 and 30th of November 2023 to 24th 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 LS Materials price movement. The serial correlation of 0.0 indicates that just 0.0% of current LS Materials price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.0 | |
| Spearman Rank Test | 0.0 | |
| Residual Average | 0.0 | |
| Price Variance | 0.0 |
LS Materials lagged returns against current returns
Autocorrelation, which is LS Materials 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 LS Materials' stock expected returns. We can calculate the autocorrelation of LS Materials returns to help us make a trade decision. For example, suppose you find that LS Materials 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 |
LS Materials 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 LS Materials stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if LS Materials stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in LS Materials stock over time.
Current vs Lagged Prices |
| Timeline |
LS Materials Lagged Returns
When evaluating LS Materials' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of LS Materials stock have on its future price. LS Materials 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, LS Materials autocorrelation shows the relationship between LS Materials stock current value and its past values and can show if there is a momentum factor associated with investing in LS Materials.
Regressed Prices |
| Timeline |
Pair Trading with LS Materials
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 LS Materials 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 LS Materials will appreciate offsetting losses from the drop in the long position's value.Moving together with 417200 Stock
The ability to find closely correlated positions to LS Materials could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LS Materials 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 LS Materials - 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 LS Materials to buy it.
The correlation of LS Materials 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 LS Materials moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LS Materials 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 LS Materials 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.