Armidian Karyatama (Indonesia) Market Value

Symbol

Armidian

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 Armidian Karyatama'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 Armidian Karyatama.

Armidian Karyatama Upside/Downside Indicators

Armidian Karyatama Market Risk Indicators

Today, many novice investors tend to focus exclusively on investment returns with little concern for Armidian Karyatama's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Armidian Karyatama's standard deviation. In reality, there are many statistical measures that can use Armidian Karyatama historical prices to predict the future Armidian Karyatama's volatility.

Autocorrelation, which is Armidian Karyatama 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 Armidian Karyatama's stock expected returns. We can calculate the autocorrelation of Armidian Karyatama returns to help us make a trade decision. For example, suppose you find that Armidian Karyatama 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.

Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Armidian Karyatama stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Armidian Karyatama stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Armidian Karyatama stock over time.

When evaluating Armidian Karyatama's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Armidian Karyatama stock have on its future price. Armidian Karyatama 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, Armidian Karyatama autocorrelation shows the relationship between Armidian Karyatama stock current value and its past values and can show if there is a momentum factor associated with investing in Armidian Karyatama Tbk.

Armidian Karyatama financial ratios help investors to determine whether Armidian 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 Armidian with respect to the benefits of owning Armidian Karyatama security.