McDonalds (Germany) Market Value
| MDO Stock | 282.50 0.55 0.20% |
| 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.
| 09/29/2024 |
| 11/28/2024 |
If you would invest 0.00 in McDonalds on September 29, 2024 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 60 days. McDonalds is related to or competes with DiamondRock Hospitality, Boston Beer, SHIP HEALTHCARE, National Health, and THAI BEVERAGE. 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 | 1.23 | |||
| Information Ratio | 0.0116 | |||
| Maximum Drawdown | 6.3 | |||
| Value At Risk | (1.77) | |||
| Potential Upside | 1.7 |
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 | 0.1056 | |||
| Jensen Alpha | 0.073 | |||
| Total Risk Alpha | (0.03) | |||
| Sortino Ratio | 0.0097 | |||
| Treynor Ratio | 0.2706 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of McDonalds' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
McDonalds Backtested Returns
Currently, McDonalds is very steady. McDonalds has Sharpe Ratio of 0.14, which conveys that the firm had a 0.14% 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 0.1056, and Mean Deviation of 0.7099 to check out if the risk estimate we provide is consistent with the expected return of 0.15%. McDonalds has a performance score of 11 on a scale of 0 to 100. The company secures a Beta (Market Risk) of 0.47, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, McDonalds' returns are expected to increase less than the market. However, during the bear market, the loss of holding McDonalds is expected to be smaller as well. McDonalds presently secures a risk of 1.02%. Please verify McDonalds downside variance, day median price, and the relationship between the treynor ratio and kurtosis , to decide if McDonalds will be following its current price movements.
Auto-correlation | 0.30 |
Below average predictability
McDonalds has below average predictability. Overlapping area represents the amount of predictability between McDonalds time series from 29th of September 2024 to 29th of October 2024 and 29th of October 2024 to 28th 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 McDonalds price movement. The serial correlation of 0.3 indicates that nearly 30.0% of current McDonalds price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.3 | |
| Spearman Rank Test | 0.34 | |
| Residual Average | 0.0 | |
| Price Variance | 22.06 |
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 |
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.Additional Tools for McDonalds Stock Analysis
When running McDonalds' price analysis, check to measure McDonalds' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy McDonalds is operating at the current time. Most of McDonalds' value examination focuses on studying past and present price action to predict the probability of McDonalds' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move McDonalds' price. Additionally, you may evaluate how the addition of McDonalds to your portfolios can decrease your overall portfolio volatility.