KSB Pumps (Pakistan) Market Value
| KSBP Stock | 131.42 5.65 4.12% |
| Symbol | KSB |
KSB Pumps '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 KSB Pumps' 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 KSB Pumps.
| 10/28/2024 |
| 11/27/2024 |
If you would invest 0.00 in KSB Pumps on October 28, 2024 and sell it all today you would earn a total of 0.00 from holding KSB Pumps or generate 0.0% return on investment in KSB Pumps over 30 days. KSB Pumps is related to or competes with Masood Textile, Fauji Foods, Mari Petroleum, Loads, Thatta Cement, KOT Addu, and Reliance Weaving. More
KSB Pumps 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 KSB Pumps' 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 KSB Pumps upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.44 | |||
| Information Ratio | (0.01) | |||
| Maximum Drawdown | 16.16 | |||
| Value At Risk | (3.57) | |||
| Potential Upside | 5.89 |
KSB Pumps Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for KSB Pumps' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as KSB Pumps' standard deviation. In reality, there are many statistical measures that can use KSB Pumps historical prices to predict the future KSB Pumps' volatility.| Risk Adjusted Performance | 0.0306 | |||
| Jensen Alpha | 0.0144 | |||
| Total Risk Alpha | (0.40) | |||
| Sortino Ratio | (0.01) | |||
| Treynor Ratio | 0.1436 |
KSB Pumps Backtested Returns
KSB Pumps retains Efficiency (Sharpe Ratio) of -0.0033, which conveys that the firm had a -0.0033% return per unit of return volatility over the last 3 months. KSB Pumps exposes twenty-nine different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify KSB Pumps' Mean Deviation of 2.31, downside deviation of 2.44, and Market Risk Adjusted Performance of 0.1536 to check out the risk estimate we provide. The company owns a Beta (Systematic Risk) of 0.58, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, KSB Pumps' returns are expected to increase less than the market. However, during the bear market, the loss of holding KSB Pumps is expected to be smaller as well. At this point, KSB Pumps has a negative expected return of -0.0101%. Please make sure to verify KSB Pumps' mean deviation, downside deviation, standard deviation, as well as the relationship between the semi deviation and coefficient of variation , to decide if KSB Pumps performance from the past will be repeated in the future.
Auto-correlation | -0.88 |
Excellent reverse predictability
KSB Pumps has excellent reverse predictability. Overlapping area represents the amount of predictability between KSB Pumps time series from 28th of October 2024 to 12th of November 2024 and 12th of November 2024 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 KSB Pumps price movement. The serial correlation of -0.88 indicates that approximately 88.0% of current KSB Pumps price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.88 | |
| Spearman Rank Test | -0.35 | |
| Residual Average | 0.0 | |
| Price Variance | 28.69 |
KSB Pumps lagged returns against current returns
Autocorrelation, which is KSB Pumps 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 KSB Pumps' stock expected returns. We can calculate the autocorrelation of KSB Pumps returns to help us make a trade decision. For example, suppose you find that KSB Pumps 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 |
KSB Pumps 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 KSB Pumps stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if KSB Pumps stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in KSB Pumps stock over time.
Current vs Lagged Prices |
| Timeline |
KSB Pumps Lagged Returns
When evaluating KSB Pumps' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of KSB Pumps stock have on its future price. KSB Pumps 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, KSB Pumps autocorrelation shows the relationship between KSB Pumps stock current value and its past values and can show if there is a momentum factor associated with investing in KSB Pumps.
Regressed Prices |
| Timeline |
Pair Trading with KSB Pumps
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 KSB Pumps 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 KSB Pumps will appreciate offsetting losses from the drop in the long position's value.Moving against KSB Stock
The ability to find closely correlated positions to KSB Pumps could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace KSB Pumps 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 KSB Pumps - 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 KSB Pumps to buy it.
The correlation of KSB Pumps 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 KSB Pumps moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if KSB Pumps 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 KSB Pumps 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 KSB Stock
KSB Pumps financial ratios help investors to determine whether KSB 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 KSB with respect to the benefits of owning KSB Pumps security.