Motech Industries (Taiwan) Market Value
| 6244 Stock | TWD 24.50 0.15 0.62% |
| Symbol | Motech |
Motech Industries '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 Motech Industries' 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 Motech Industries.
| 10/29/2024 |
| 11/28/2024 |
If you would invest 0.00 in Motech Industries on October 29, 2024 and sell it all today you would earn a total of 0.00 from holding Motech Industries Co or generate 0.0% return on investment in Motech Industries over 30 days. Motech Industries is related to or competes with United Renewable, Sino American, Wafer Works, Gigasolar Materials, and AU Optronics. More
Motech Industries 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 Motech Industries' 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 Motech Industries Co upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.09) | |||
| Maximum Drawdown | 11.32 | |||
| Value At Risk | (3.08) | |||
| Potential Upside | 3.48 |
Motech Industries Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Motech Industries' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Motech Industries' standard deviation. In reality, there are many statistical measures that can use Motech Industries historical prices to predict the future Motech Industries' volatility.| Risk Adjusted Performance | (0.02) | |||
| Jensen Alpha | (0.09) | |||
| Total Risk Alpha | (0.40) | |||
| Treynor Ratio | (0.50) |
Motech Industries Backtested Returns
Motech Industries has Sharpe Ratio of -0.0618, which conveys that the firm had a -0.0618% return per unit of risk over the last 3 months. Motech Industries exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Motech Industries' Standard Deviation of 2.07, risk adjusted performance of (0.02), and Mean Deviation of 1.53 to check out the risk estimate we provide. The company secures a Beta (Market Risk) of 0.15, which conveys not very significant fluctuations relative to the market. As returns on the market increase, Motech Industries' returns are expected to increase less than the market. However, during the bear market, the loss of holding Motech Industries is expected to be smaller as well. At this point, Motech Industries has a negative expected return of -0.12%. Please make sure to verify Motech Industries' total risk alpha, maximum drawdown, potential upside, as well as the relationship between the treynor ratio and value at risk , to decide if Motech Industries performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.74 |
Almost perfect reverse predictability
Motech Industries Co has almost perfect reverse predictability. Overlapping area represents the amount of predictability between Motech Industries time series from 29th of October 2024 to 13th of November 2024 and 13th of November 2024 to 28th 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 Motech Industries price movement. The serial correlation of -0.74 indicates that around 74.0% of current Motech Industries price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.74 | |
| Spearman Rank Test | -0.05 | |
| Residual Average | 0.0 | |
| Price Variance | 0.26 |
Motech Industries lagged returns against current returns
Autocorrelation, which is Motech Industries 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 Motech Industries' stock expected returns. We can calculate the autocorrelation of Motech Industries returns to help us make a trade decision. For example, suppose you find that Motech Industries 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 |
Motech Industries 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 Motech Industries stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Motech Industries stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Motech Industries stock over time.
Current vs Lagged Prices |
| Timeline |
Motech Industries Lagged Returns
When evaluating Motech Industries' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Motech Industries stock have on its future price. Motech Industries 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, Motech Industries autocorrelation shows the relationship between Motech Industries stock current value and its past values and can show if there is a momentum factor associated with investing in Motech Industries Co.
Regressed Prices |
| Timeline |
Pair Trading with Motech Industries
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 Motech Industries 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 Motech Industries will appreciate offsetting losses from the drop in the long position's value.Moving together with Motech Stock
| 0.87 | 3576 | United Renewable Energy | PairCorr |
| 0.92 | 6443 | TSEC Corp | PairCorr |
| 0.83 | 3691 | Gigasolar Materials | PairCorr |
| 0.74 | 4934 | Tainergy Tech | PairCorr |
Moving against Motech Stock
| 0.59 | 2881A | Fubon Financial Holding | PairCorr |
| 0.5 | 2891B | CTBC Financial Holding | PairCorr |
| 0.45 | 2882B | Cathay Financial Holding | PairCorr |
| 0.41 | 2891 | CTBC Financial Holding | PairCorr |
The ability to find closely correlated positions to Motech Industries could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Motech Industries 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 Motech Industries - 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 Motech Industries Co to buy it.
The correlation of Motech Industries 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 Motech Industries moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Motech Industries 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 Motech Industries 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 Motech Stock Analysis
When running Motech Industries' price analysis, check to measure Motech Industries' 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 Motech Industries is operating at the current time. Most of Motech Industries' value examination focuses on studying past and present price action to predict the probability of Motech Industries' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Motech Industries' price. Additionally, you may evaluate how the addition of Motech Industries to your portfolios can decrease your overall portfolio volatility.