FARO Technologies (Germany) Market Value
| FT1 Stock | EUR 25.80 0.80 3.20% |
| Symbol | FARO |
FARO Technologies '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 FARO Technologies' 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 FARO Technologies.
| 12/08/2022 |
| 11/27/2024 |
If you would invest 0.00 in FARO Technologies on December 8, 2022 and sell it all today you would earn a total of 0.00 from holding FARO Technologies or generate 0.0% return on investment in FARO Technologies over 720 days. FARO Technologies is related to or competes with LION ONE, Sumitomo Mitsui, Perseus Mining, AUST AGRICULTURAL, Titan Machinery, WIMFARM SA, and Federal Agricultural. FARO Technologies, Inc. designs, develops, manufactures, markets, and supports software driven three-dimensional measure... More
FARO Technologies 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 FARO Technologies' 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 FARO Technologies upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.35 | |||
| Information Ratio | 0.1539 | |||
| Maximum Drawdown | 39.26 | |||
| Value At Risk | (3.87) | |||
| Potential Upside | 5.04 |
FARO Technologies Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for FARO Technologies' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as FARO Technologies' standard deviation. In reality, there are many statistical measures that can use FARO Technologies historical prices to predict the future FARO Technologies' volatility.| Risk Adjusted Performance | 0.1464 | |||
| Jensen Alpha | 0.8042 | |||
| Total Risk Alpha | 0.1028 | |||
| Sortino Ratio | 0.3232 | |||
| Treynor Ratio | 1.42 |
FARO Technologies Backtested Returns
FARO Technologies appears to be not too volatile, given 3 months investment horizon. FARO Technologies secures Sharpe Ratio (or Efficiency) of 0.19, which denotes the company had a 0.19% return per unit of volatility over the last 3 months. By examining FARO Technologies' technical indicators, you can evaluate if the expected return of 0.93% is justified by implied risk. Please utilize FARO Technologies' Market Risk Adjusted Performance of 1.43, mean deviation of 2.5, and Downside Deviation of 2.35 to check if our risk estimates are consistent with your expectations. On a scale of 0 to 100, FARO Technologies holds a performance score of 14. The firm shows a Beta (market volatility) of 0.62, which means possible diversification benefits within a given portfolio. As returns on the market increase, FARO Technologies' returns are expected to increase less than the market. However, during the bear market, the loss of holding FARO Technologies is expected to be smaller as well. Please check FARO Technologies' treynor ratio, value at risk, and the relationship between the sortino ratio and maximum drawdown , to make a quick decision on whether FARO Technologies' price patterns will revert.
Auto-correlation | 0.53 |
Modest predictability
FARO Technologies has modest predictability. Overlapping area represents the amount of predictability between FARO Technologies time series from 8th of December 2022 to 3rd of December 2023 and 3rd of December 2023 to 27th 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 FARO Technologies price movement. The serial correlation of 0.53 indicates that about 53.0% of current FARO Technologies price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.53 | |
| Spearman Rank Test | 0.31 | |
| Residual Average | 0.0 | |
| Price Variance | 6.81 |
FARO Technologies lagged returns against current returns
Autocorrelation, which is FARO Technologies 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 FARO Technologies' stock expected returns. We can calculate the autocorrelation of FARO Technologies returns to help us make a trade decision. For example, suppose you find that FARO Technologies 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 |
FARO Technologies 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 FARO Technologies stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if FARO Technologies stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in FARO Technologies stock over time.
Current vs Lagged Prices |
| Timeline |
FARO Technologies Lagged Returns
When evaluating FARO Technologies' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of FARO Technologies stock have on its future price. FARO Technologies 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, FARO Technologies autocorrelation shows the relationship between FARO Technologies stock current value and its past values and can show if there is a momentum factor associated with investing in FARO Technologies.
Regressed Prices |
| Timeline |
Currently Active Assets on Macroaxis
Additional Information and Resources on Investing in FARO Stock
When determining whether FARO Technologies offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of FARO Technologies' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Faro Technologies Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Faro Technologies Stock:Check out FARO Technologies Correlation, FARO Technologies Volatility and FARO Technologies Alpha and Beta module to complement your research on FARO Technologies. For more detail on how to invest in FARO Stock please use our How to Invest in FARO Technologies guide.You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
FARO Technologies technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.