KOT Addu (Pakistan) Market Value
| KAPCO Stock | 34.71 1.08 3.21% |
| Symbol | KOT |
KOT Addu '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 KOT Addu'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 KOT Addu.
| 05/27/2024 |
| 11/23/2024 |
If you would invest 0.00 in KOT Addu on May 27, 2024 and sell it all today you would earn a total of 0.00 from holding KOT Addu Power or generate 0.0% return on investment in KOT Addu over 180 days. KOT Addu is related to or competes with Masood Textile, Fauji Foods, KSB Pumps, Mari Petroleum, Loads, Thatta Cement, and KOT Addu. More
KOT Addu 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 KOT Addu'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 KOT Addu Power upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.16 | |||
| Information Ratio | 0.1429 | |||
| Maximum Drawdown | 8.01 | |||
| Value At Risk | (1.88) | |||
| Potential Upside | 3.49 |
KOT Addu Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for KOT Addu's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as KOT Addu's standard deviation. In reality, there are many statistical measures that can use KOT Addu historical prices to predict the future KOT Addu's volatility.| Risk Adjusted Performance | 0.1586 | |||
| Jensen Alpha | 0.375 | |||
| Total Risk Alpha | 0.1234 | |||
| Sortino Ratio | 0.2356 | |||
| Treynor Ratio | (21.58) |
KOT Addu Power Backtested Returns
KOT Addu appears to be very steady, given 3 months investment horizon. KOT Addu Power has Sharpe Ratio of 0.2, which conveys that the firm had a 0.2% return per unit of volatility over the last 3 months. We have found twenty-nine technical indicators for KOT Addu, which you can use to evaluate the volatility of the firm. Please exercise KOT Addu's risk adjusted performance of 0.1586, and Mean Deviation of 1.3 to check out if our risk estimates are consistent with your expectations. On a scale of 0 to 100, KOT Addu holds a performance score of 15. The company secures a Beta (Market Risk) of -0.0173, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning KOT Addu are expected to decrease at a much lower rate. During the bear market, KOT Addu is likely to outperform the market. Please check KOT Addu's potential upside, as well as the relationship between the kurtosis and day typical price , to make a quick decision on whether KOT Addu's current price movements will revert.
Auto-correlation | -0.74 |
Almost perfect reverse predictability
KOT Addu Power has almost perfect reverse predictability. Overlapping area represents the amount of predictability between KOT Addu time series from 27th of May 2024 to 25th of August 2024 and 25th of August 2024 to 23rd 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 KOT Addu Power price movement. The serial correlation of -0.74 indicates that around 74.0% of current KOT Addu price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.74 | |
| Spearman Rank Test | 0.03 | |
| Residual Average | 0.0 | |
| Price Variance | 2.13 |
KOT Addu Power lagged returns against current returns
Autocorrelation, which is KOT Addu 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 KOT Addu's stock expected returns. We can calculate the autocorrelation of KOT Addu returns to help us make a trade decision. For example, suppose you find that KOT Addu 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 |
KOT Addu 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 KOT Addu stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if KOT Addu stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in KOT Addu stock over time.
Current vs Lagged Prices |
| Timeline |
KOT Addu Lagged Returns
When evaluating KOT Addu's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of KOT Addu stock have on its future price. KOT Addu 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, KOT Addu autocorrelation shows the relationship between KOT Addu stock current value and its past values and can show if there is a momentum factor associated with investing in KOT Addu Power.
Regressed Prices |
| Timeline |
Pair Trading with KOT Addu
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 KOT Addu 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 KOT Addu will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to KOT Addu could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace KOT Addu 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 KOT Addu - 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 KOT Addu Power to buy it.
The correlation of KOT Addu 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 KOT Addu moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if KOT Addu Power 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 KOT Addu 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.Other Information on Investing in KOT Stock
KOT Addu financial ratios help investors to determine whether KOT 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 KOT with respect to the benefits of owning KOT Addu security.