TWOWAY Communications (Taiwan) Market Value
| 8045 Stock | TWD 88.30 6.10 7.42% |
| Symbol | TWOWAY |
TWOWAY Communications '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 TWOWAY Communications' 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 TWOWAY Communications.
| 12/05/2022 |
| 11/24/2024 |
If you would invest 0.00 in TWOWAY Communications on December 5, 2022 and sell it all today you would earn a total of 0.00 from holding TWOWAY Communications or generate 0.0% return on investment in TWOWAY Communications over 720 days. TWOWAY Communications is related to or competes with International Games, Yuan High, Chinese Gamer, Microelectronics, International CSRC, PChome Online, and Arbor Technology. TWOWAY Communications, Inc. develops, manufactures, and sells broadband network equipment in Taiwan and North America More
TWOWAY Communications 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 TWOWAY Communications' 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 TWOWAY Communications upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.18) | |||
| Maximum Drawdown | 16.75 | |||
| Value At Risk | (4.66) | |||
| Potential Upside | 4.69 |
TWOWAY Communications Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for TWOWAY Communications' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as TWOWAY Communications' standard deviation. In reality, there are many statistical measures that can use TWOWAY Communications historical prices to predict the future TWOWAY Communications' volatility.| Risk Adjusted Performance | (0.09) | |||
| Jensen Alpha | (0.51) | |||
| Total Risk Alpha | (0.84) | |||
| Treynor Ratio | (0.40) |
TWOWAY Communications Backtested Returns
TWOWAY Communications owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.13, which indicates the firm had a -0.13% return per unit of standard deviation over the last 3 months. TWOWAY Communications exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate TWOWAY Communications' risk adjusted performance of (0.09), and Variance of 8.19 to confirm the risk estimate we provide. The entity has a beta of 0.97, which indicates possible diversification benefits within a given portfolio. TWOWAY Communications returns are very sensitive to returns on the market. As the market goes up or down, TWOWAY Communications is expected to follow. At this point, TWOWAY Communications has a negative expected return of -0.38%. Please make sure to validate TWOWAY Communications' jensen alpha, treynor ratio, value at risk, as well as the relationship between the total risk alpha and maximum drawdown , to decide if TWOWAY Communications performance from the past will be repeated at some future point.
Auto-correlation | -0.22 |
Weak reverse predictability
TWOWAY Communications has weak reverse predictability. Overlapping area represents the amount of predictability between TWOWAY Communications 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 TWOWAY Communications price movement. The serial correlation of -0.22 indicates that over 22.0% of current TWOWAY Communications price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.22 | |
| Spearman Rank Test | -0.07 | |
| Residual Average | 0.0 | |
| Price Variance | 587.27 |
TWOWAY Communications lagged returns against current returns
Autocorrelation, which is TWOWAY Communications 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 TWOWAY Communications' stock expected returns. We can calculate the autocorrelation of TWOWAY Communications returns to help us make a trade decision. For example, suppose you find that TWOWAY Communications 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 |
TWOWAY Communications 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 TWOWAY Communications stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if TWOWAY Communications stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in TWOWAY Communications stock over time.
Current vs Lagged Prices |
| Timeline |
TWOWAY Communications Lagged Returns
When evaluating TWOWAY Communications' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of TWOWAY Communications stock have on its future price. TWOWAY Communications 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, TWOWAY Communications autocorrelation shows the relationship between TWOWAY Communications stock current value and its past values and can show if there is a momentum factor associated with investing in TWOWAY Communications.
Regressed Prices |
| Timeline |
Pair Trading with TWOWAY Communications
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 TWOWAY Communications 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 TWOWAY Communications will appreciate offsetting losses from the drop in the long position's value.Moving against TWOWAY Stock
| 0.63 | 3596 | Arcadyan Technology Corp | PairCorr |
| 0.6 | 2345 | Accton Technology Corp | PairCorr |
| 0.44 | 0057 | Fubon MSCI Taiwan | PairCorr |
| 0.43 | 3558 | Senao Networks | PairCorr |
| 0.43 | 6763 | Green World Fintech Split | PairCorr |
The ability to find closely correlated positions to TWOWAY Communications could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace TWOWAY Communications 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 TWOWAY Communications - 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 TWOWAY Communications to buy it.
The correlation of TWOWAY Communications 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 TWOWAY Communications moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if TWOWAY Communications 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 TWOWAY Communications 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 TWOWAY Stock Analysis
When running TWOWAY Communications' price analysis, check to measure TWOWAY Communications' 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 TWOWAY Communications is operating at the current time. Most of TWOWAY Communications' value examination focuses on studying past and present price action to predict the probability of TWOWAY Communications' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move TWOWAY Communications' price. Additionally, you may evaluate how the addition of TWOWAY Communications to your portfolios can decrease your overall portfolio volatility.