Merchants Bancorp Preferred Stock Market Value
| MBINN Preferred Stock | USD 22.68 0.06 0.27% |
| Symbol | Merchants |
Merchants Bancorp '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 Merchants Bancorp's preferred 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 Merchants Bancorp.
| 12/07/2022 |
| 11/26/2024 |
If you would invest 0.00 in Merchants Bancorp on December 7, 2022 and sell it all today you would earn a total of 0.00 from holding Merchants Bancorp or generate 0.0% return on investment in Merchants Bancorp over 720 days. Merchants Bancorp is related to or competes with Capital One, Capital One, and Bank of America. Merchants Bancorp operates as the diversified bank holding company in the United States More
Merchants Bancorp 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 Merchants Bancorp's preferred 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 Merchants Bancorp upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.48 | |||
| Information Ratio | 0.0042 | |||
| Maximum Drawdown | 7.67 | |||
| Value At Risk | (1.88) | |||
| Potential Upside | 1.85 |
Merchants Bancorp Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Merchants Bancorp's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Merchants Bancorp's standard deviation. In reality, there are many statistical measures that can use Merchants Bancorp historical prices to predict the future Merchants Bancorp's volatility.| Risk Adjusted Performance | 0.0849 | |||
| Jensen Alpha | 0.106 | |||
| Total Risk Alpha | (0.08) | |||
| Sortino Ratio | 0.0036 | |||
| Treynor Ratio | 0.7577 |
Merchants Bancorp Backtested Returns
As of now, Merchants Preferred Stock is very steady. Merchants Bancorp has Sharpe Ratio of 0.0919, which conveys that the firm had a 0.0919% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Merchants Bancorp, which you can use to evaluate the volatility of the firm. Please verify Merchants Bancorp's Mean Deviation of 0.9189, downside deviation of 1.48, and Risk Adjusted Performance of 0.0849 to check out if the risk estimate we provide is consistent with the expected return of 0.12%. Merchants Bancorp has a performance score of 7 on a scale of 0 to 100. The company secures a Beta (Market Risk) of 0.17, which conveys not very significant fluctuations relative to the market. As returns on the market increase, Merchants Bancorp's returns are expected to increase less than the market. However, during the bear market, the loss of holding Merchants Bancorp is expected to be smaller as well. Merchants Bancorp right now secures a risk of 1.3%. Please verify Merchants Bancorp value at risk, as well as the relationship between the skewness and day median price , to decide if Merchants Bancorp will be following its current price movements.
Auto-correlation | -0.29 |
Weak reverse predictability
Merchants Bancorp has weak reverse predictability. Overlapping area represents the amount of predictability between Merchants Bancorp time series from 7th of December 2022 to 2nd of December 2023 and 2nd of December 2023 to 26th 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 Merchants Bancorp price movement. The serial correlation of -0.29 indicates that nearly 29.0% of current Merchants Bancorp price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.29 | |
| Spearman Rank Test | -0.43 | |
| Residual Average | 0.0 | |
| Price Variance | 2.22 |
Merchants Bancorp lagged returns against current returns
Autocorrelation, which is Merchants Bancorp preferred 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 Merchants Bancorp's preferred stock expected returns. We can calculate the autocorrelation of Merchants Bancorp returns to help us make a trade decision. For example, suppose you find that Merchants Bancorp has exhibited high autocorrelation historically, and you observe that the preferred 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 |
Merchants Bancorp 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 Merchants Bancorp preferred stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Merchants Bancorp preferred stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Merchants Bancorp preferred stock over time.
Current vs Lagged Prices |
| Timeline |
Merchants Bancorp Lagged Returns
When evaluating Merchants Bancorp's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Merchants Bancorp preferred stock have on its future price. Merchants Bancorp 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, Merchants Bancorp autocorrelation shows the relationship between Merchants Bancorp preferred stock current value and its past values and can show if there is a momentum factor associated with investing in Merchants Bancorp.
Regressed Prices |
| Timeline |
Pair Trading with Merchants Bancorp
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 Merchants Bancorp 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 Merchants Bancorp will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to Merchants Bancorp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Merchants Bancorp 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 Merchants Bancorp - 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 Merchants Bancorp to buy it.
The correlation of Merchants Bancorp 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 Merchants Bancorp moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Merchants Bancorp 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 Merchants Bancorp 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 Merchants Preferred Stock
Merchants Bancorp financial ratios help investors to determine whether Merchants Preferred 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 Merchants with respect to the benefits of owning Merchants Bancorp security.