Danhua Chemical's market value is the price at which a share of Danhua Chemical trades on a public exchange. It measures the collective expectations of Danhua Chemical Technology investors about its performance. Danhua Chemical is trading at 2.53 as of the 19th of January 2025, a 1.56% down since the beginning of the trading day. The stock's open price was 2.57. With this module, you can estimate the performance of a buy and hold strategy of Danhua Chemical Technology and determine expected loss or profit from investing in Danhua Chemical over a given investment horizon. Check out Danhua Chemical Correlation, Danhua Chemical Volatility and Danhua Chemical Alpha and Beta module to complement your research on Danhua Chemical.
Please note, there is a significant difference between Danhua Chemical's value and its price as these two are different measures arrived at by different means. Investors typically determine if Danhua Chemical is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Danhua Chemical'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.
Danhua 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 Danhua 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 Danhua Chemical.
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12/20/2024
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In 30 days
01/19/2025
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If you would invest 0.00 in Danhua Chemical on December 20, 2024 and sell it all today you would earn a total of 0.00 from holding Danhua Chemical Technology or generate 0.0% return on investment in Danhua Chemical over 30 days. Danhua Chemical is related to or competes with Zijin Mining, Wanhua Chemical, Baoshan Iron, Shandong Gold, Rongsheng Petrochemical, Inner Mongolia, and Jiangxi Ganfeng. Danhua Chemical is entity of China. It is traded as Stock on SHG exchange. More
Danhua 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 Danhua 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 Danhua Chemical Technology upside and downside potential and time the market with a certain degree of confidence.
Today, many novice investors tend to focus exclusively on investment returns with little concern for Danhua Chemical's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Danhua Chemical's standard deviation. In reality, there are many statistical measures that can use Danhua Chemical historical prices to predict the future Danhua Chemical's volatility.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Danhua Chemical. Your research has to be compared to or analyzed against Danhua Chemical's peers to derive any actionable benefits. When done correctly, Danhua Chemical's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Danhua Chemical Tech.
Danhua Chemical Tech Backtested Returns
At this point, Danhua Chemical is very risky. Danhua Chemical Tech secures Sharpe Ratio (or Efficiency) of 0.0301, which denotes the company had a 0.0301% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Danhua Chemical Technology, which you can use to evaluate the volatility of the firm. Please confirm Danhua Chemical's Mean Deviation of 2.81, downside deviation of 3.8, and Coefficient Of Variation of 2750.44 to check if the risk estimate we provide is consistent with the expected return of 0.12%. Danhua Chemical has a performance score of 2 on a scale of 0 to 100. The firm shows a Beta (market volatility) of 0.0913, which means not very significant fluctuations relative to the market. As returns on the market increase, Danhua Chemical's returns are expected to increase less than the market. However, during the bear market, the loss of holding Danhua Chemical is expected to be smaller as well. Danhua Chemical Tech right now shows a risk of 3.87%. Please confirm Danhua Chemical Tech downside deviation, standard deviation, total risk alpha, as well as the relationship between the coefficient of variation and jensen alpha , to decide if Danhua Chemical Tech will be following its price patterns.
Auto-correlation
-0.62
Very good reverse predictability
Danhua Chemical Technology has very good reverse predictability. Overlapping area represents the amount of predictability between Danhua Chemical time series from 20th of December 2024 to 4th of January 2025 and 4th of January 2025 to 19th of January 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Danhua Chemical Tech price movement. The serial correlation of -0.62 indicates that roughly 62.0% of current Danhua Chemical price fluctuation can be explain by its past prices.
Correlation Coefficient
-0.62
Spearman Rank Test
-0.6
Residual Average
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Price Variance
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Danhua Chemical Tech lagged returns against current returns
Autocorrelation, which is Danhua 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 Danhua Chemical's stock expected returns. We can calculate the autocorrelation of Danhua Chemical returns to help us make a trade decision. For example, suppose you find that Danhua 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
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Danhua 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 Danhua Chemical stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Danhua Chemical stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Danhua Chemical stock over time.
Current vs Lagged Prices
Timeline
Danhua Chemical Lagged Returns
When evaluating Danhua Chemical's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Danhua Chemical stock have on its future price. Danhua 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, Danhua Chemical autocorrelation shows the relationship between Danhua Chemical stock current value and its past values and can show if there is a momentum factor associated with investing in Danhua Chemical Technology.
Danhua Chemical financial ratios help investors to determine whether Danhua 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 Danhua with respect to the benefits of owning Danhua Chemical security.