McDonalds (Brazil) Market Value
| MCDC34 Stock | BRL 88.94 1.11 1.23% |
| Symbol | McDonalds |
McDonalds '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 McDonalds' 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 McDonalds.
| 01/18/2023 |
| 01/07/2025 |
If you would invest 0.00 in McDonalds on January 18, 2023 and sell it all today you would earn a total of 0.00 from holding McDonalds or generate 0.0% return on investment in McDonalds over 720 days. McDonalds is related to or competes with American Airlines, United Airlines, T Mobile, Metalrgica Riosulense, Metalurgica Gerdau, and Marfrig Global. McDonalds Corporation operates and franchises McDonalds restaurants in the United States and internationally More
McDonalds 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 McDonalds' 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 McDonalds upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.55 | |||
| Information Ratio | 0.0791 | |||
| Maximum Drawdown | 6.55 | |||
| Value At Risk | (2.90) | |||
| Potential Upside | 2.63 |
McDonalds Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for McDonalds' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as McDonalds' standard deviation. In reality, there are many statistical measures that can use McDonalds historical prices to predict the future McDonalds' volatility.| Risk Adjusted Performance | 0.081 | |||
| Jensen Alpha | 0.1327 | |||
| Total Risk Alpha | 0.1061 | |||
| Sortino Ratio | 0.0749 | |||
| Treynor Ratio | (0.37) |
McDonalds Backtested Returns
At this point, McDonalds is very steady. McDonalds has Sharpe Ratio of 0.0615, which conveys that the firm had a 0.0615% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for McDonalds, which you can use to evaluate the volatility of the firm. Please verify McDonalds' risk adjusted performance of 0.081, and Mean Deviation of 1.13 to check out if the risk estimate we provide is consistent with the expected return of 0.0944%. McDonalds has a performance score of 4 on a scale of 0 to 100. The company secures a Beta (Market Risk) of -0.35, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning McDonalds are expected to decrease at a much lower rate. During the bear market, McDonalds is likely to outperform the market. McDonalds presently secures a risk of 1.54%. Please verify McDonalds coefficient of variation, jensen alpha, and the relationship between the downside deviation and standard deviation , to decide if McDonalds will be following its current price movements.
Auto-correlation | -0.32 |
Poor reverse predictability
McDonalds has poor reverse predictability. Overlapping area represents the amount of predictability between McDonalds time series from 18th of January 2023 to 13th of January 2024 and 13th of January 2024 to 7th of January 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of McDonalds price movement. The serial correlation of -0.32 indicates that nearly 32.0% of current McDonalds price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.32 | |
| Spearman Rank Test | -0.01 | |
| Residual Average | 0.0 | |
| Price Variance | 62.36 |
McDonalds lagged returns against current returns
Autocorrelation, which is McDonalds 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 McDonalds' stock expected returns. We can calculate the autocorrelation of McDonalds returns to help us make a trade decision. For example, suppose you find that McDonalds 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 |
McDonalds 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 McDonalds stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if McDonalds stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in McDonalds stock over time.
Current vs Lagged Prices |
| Timeline |
McDonalds Lagged Returns
When evaluating McDonalds' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of McDonalds stock have on its future price. McDonalds 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, McDonalds autocorrelation shows the relationship between McDonalds stock current value and its past values and can show if there is a momentum factor associated with investing in McDonalds.
Regressed Prices |
| Timeline |
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Additional Information and Resources on Investing in McDonalds Stock
When determining whether McDonalds is a strong investment it is important to analyze McDonalds' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact McDonalds' future performance. For an informed investment choice regarding McDonalds Stock, refer to the following important reports:Check out McDonalds Correlation, McDonalds Volatility and McDonalds Alpha and Beta module to complement your research on McDonalds. For information on how to trade McDonalds Stock refer to our How to Trade McDonalds Stock guide.You can also try the Sectors module to list of equity sectors categorizing publicly traded companies based on their primary business activities.
McDonalds 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.