Direct Digital Holdings Stock Market Value
| DRCT Stock | USD 1.34 0.05 3.88% |
| Symbol | Direct |
Direct Digital Holdings Price To Book Ratio
Is Movies & Entertainment space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Direct Digital. If investors know Direct will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Direct Digital listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 3.022 | Earnings Share (1.93) | Revenue Per Share 43.372 | Quarterly Revenue Growth (0.38) | Return On Assets (0.10) |
The market value of Direct Digital Holdings is measured differently than its book value, which is the value of Direct that is recorded on the company's balance sheet. Investors also form their own opinion of Direct Digital's value that differs from its market value or its book value, called intrinsic value, which is Direct Digital's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Direct Digital's market value can be influenced by many factors that don't directly affect Direct Digital's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Direct Digital's value and its price as these two are different measures arrived at by different means. Investors typically determine if Direct Digital is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Direct Digital'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.
Direct Digital '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 Direct Digital'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 Direct Digital.
| 02/04/2023 |
| 11/25/2024 |
If you would invest 0.00 in Direct Digital on February 4, 2023 and sell it all today you would earn a total of 0.00 from holding Direct Digital Holdings or generate 0.0% return on investment in Direct Digital over 660 days. Direct Digital is related to or competes with Emerald Expositions, Marchex, Entravision Communications, Cimpress, Townsquare Media, QuinStreet, and Travelzoo. Direct Digital Holdings, Inc. operates as an end-to-end full-service programmatic advertising platform More
Direct Digital 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 Direct Digital'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 Direct Digital Holdings upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.13) | |||
| Maximum Drawdown | 55.53 | |||
| Value At Risk | (16.56) | |||
| Potential Upside | 8.4 |
Direct Digital Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Direct Digital's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Direct Digital's standard deviation. In reality, there are many statistical measures that can use Direct Digital historical prices to predict the future Direct Digital's volatility.| Risk Adjusted Performance | (0.08) | |||
| Jensen Alpha | (1.15) | |||
| Total Risk Alpha | (2.27) | |||
| Treynor Ratio | (0.71) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Direct Digital's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Direct Digital Holdings Backtested Returns
Direct Digital Holdings secures Sharpe Ratio (or Efficiency) of -0.13, which denotes the company had a -0.13% return per unit of risk over the last 3 months. Direct Digital Holdings exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Direct Digital's Standard Deviation of 8.2, mean deviation of 5.42, and Variance of 67.25 to check the risk estimate we provide. The firm shows a Beta (market volatility) of 1.38, which means a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Direct Digital will likely underperform. At this point, Direct Digital Holdings has a negative expected return of -1.09%. Please make sure to confirm Direct Digital's total risk alpha, skewness, as well as the relationship between the Skewness and day median price , to decide if Direct Digital Holdings performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.2 |
Insignificant reverse predictability
Direct Digital Holdings has insignificant reverse predictability. Overlapping area represents the amount of predictability between Direct Digital time series from 4th of February 2023 to 31st of December 2023 and 31st of December 2023 to 25th 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 Direct Digital Holdings price movement. The serial correlation of -0.2 indicates that over 20.0% of current Direct Digital price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.2 | |
| Spearman Rank Test | 0.19 | |
| Residual Average | 0.0 | |
| Price Variance | 50.77 |
Direct Digital Holdings lagged returns against current returns
Autocorrelation, which is Direct Digital 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 Direct Digital's stock expected returns. We can calculate the autocorrelation of Direct Digital returns to help us make a trade decision. For example, suppose you find that Direct Digital 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 |
Direct Digital 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 Direct Digital stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Direct Digital stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Direct Digital stock over time.
Current vs Lagged Prices |
| Timeline |
Direct Digital Lagged Returns
When evaluating Direct Digital's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Direct Digital stock have on its future price. Direct Digital 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, Direct Digital autocorrelation shows the relationship between Direct Digital stock current value and its past values and can show if there is a momentum factor associated with investing in Direct Digital Holdings.
Regressed Prices |
| Timeline |
Thematic Opportunities
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Additional Tools for Direct Stock Analysis
When running Direct Digital's price analysis, check to measure Direct Digital'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 Direct Digital is operating at the current time. Most of Direct Digital's value examination focuses on studying past and present price action to predict the probability of Direct Digital's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Direct Digital's price. Additionally, you may evaluate how the addition of Direct Digital to your portfolios can decrease your overall portfolio volatility.