Li Kang (Taiwan) Market Value
| 6242 Stock | TWD 43.00 0.40 0.92% |
| Symbol | 6242 |
Li Kang '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 Li Kang'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 Li Kang.
| 01/12/2023 |
| 12/02/2024 |
If you would invest 0.00 in Li Kang on January 12, 2023 and sell it all today you would earn a total of 0.00 from holding Li Kang Biomedical or generate 0.0% return on investment in Li Kang over 690 days. Li Kang is related to or competes with Standard Foods, TTET Union, Uni President, and Charoen Pokphand. Li Kang Biomedical Co., Ltd. manufactures and sells supplement, cosmeceutical, and hygienic drinks More
Li Kang 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 Li Kang'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 Li Kang Biomedical upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.21) | |||
| Maximum Drawdown | 4.37 | |||
| Value At Risk | (1.46) | |||
| Potential Upside | 1.37 |
Li Kang Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Li Kang's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Li Kang's standard deviation. In reality, there are many statistical measures that can use Li Kang historical prices to predict the future Li Kang's volatility.| Risk Adjusted Performance | (0.04) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.19) | |||
| Treynor Ratio | (0.24) |
Li Kang Biomedical Backtested Returns
Li Kang Biomedical retains Efficiency (Sharpe Ratio) of -0.054, which conveys that the firm had a -0.054% return per unit of price deviation over the last 3 months. Li Kang exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Li Kang's Mean Deviation of 0.5801, market risk adjusted performance of (0.23), and Information Ratio of (0.21) to check out the risk estimate we provide. The company owns a Beta (Systematic Risk) of 0.22, which conveys not very significant fluctuations relative to the market. As returns on the market increase, Li Kang's returns are expected to increase less than the market. However, during the bear market, the loss of holding Li Kang is expected to be smaller as well. At this point, Li Kang Biomedical has a negative expected return of -0.0424%. Please make sure to verify Li Kang's coefficient of variation, jensen alpha, and the relationship between the mean deviation and standard deviation , to decide if Li Kang Biomedical performance from the past will be repeated in the future.
Auto-correlation | -0.34 |
Poor reverse predictability
Li Kang Biomedical has poor reverse predictability. Overlapping area represents the amount of predictability between Li Kang time series from 12th of January 2023 to 23rd of December 2023 and 23rd of December 2023 to 2nd of December 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 Li Kang Biomedical price movement. The serial correlation of -0.34 indicates that nearly 34.0% of current Li Kang price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.34 | |
| Spearman Rank Test | -0.09 | |
| Residual Average | 0.0 | |
| Price Variance | 14.49 |
Li Kang Biomedical lagged returns against current returns
Autocorrelation, which is Li Kang 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 Li Kang's stock expected returns. We can calculate the autocorrelation of Li Kang returns to help us make a trade decision. For example, suppose you find that Li Kang 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 |
Li Kang 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 Li Kang stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Li Kang stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Li Kang stock over time.
Current vs Lagged Prices |
| Timeline |
Li Kang Lagged Returns
When evaluating Li Kang's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Li Kang stock have on its future price. Li Kang 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, Li Kang autocorrelation shows the relationship between Li Kang stock current value and its past values and can show if there is a momentum factor associated with investing in Li Kang Biomedical.
Regressed Prices |
| Timeline |
Pair Trading with Li Kang
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 Li Kang 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 Li Kang will appreciate offsetting losses from the drop in the long position's value.Moving together with 6242 Stock
The ability to find closely correlated positions to Li Kang could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Li Kang 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 Li Kang - 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 Li Kang Biomedical to buy it.
The correlation of Li Kang 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 Li Kang moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Li Kang Biomedical 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 Li Kang 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.Additional Tools for 6242 Stock Analysis
When running Li Kang's price analysis, check to measure Li Kang's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Li Kang is operating at the current time. Most of Li Kang's value examination focuses on studying past and present price action to predict the probability of Li Kang's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Li Kang's price. Additionally, you may evaluate how the addition of Li Kang to your portfolios can decrease your overall portfolio volatility.