Melexis NV (Belgium) Market Value
| MELE Stock | EUR 57.05 0.90 1.60% |
| Symbol | Melexis |
Melexis NV '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 Melexis NV'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 Melexis NV.
| 10/27/2024 |
| 11/26/2024 |
If you would invest 0.00 in Melexis NV on October 27, 2024 and sell it all today you would earn a total of 0.00 from holding Melexis NV or generate 0.0% return on investment in Melexis NV over 30 days. Melexis NV is related to or competes with Ackermans Van, Sofina Socit, Ageas SANV, Barco NV, and Umicore SA. Melexis NV designs, develops, tests, and markets advanced integrated semiconductor devices primarily for the automotive ... More
Melexis NV 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 Melexis NV'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 Melexis NV upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.27) | |||
| Maximum Drawdown | 15.22 | |||
| Value At Risk | (3.69) | |||
| Potential Upside | 2.27 |
Melexis NV Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Melexis NV's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Melexis NV's standard deviation. In reality, there are many statistical measures that can use Melexis NV historical prices to predict the future Melexis NV's volatility.| Risk Adjusted Performance | (0.16) | |||
| Jensen Alpha | (0.55) | |||
| Total Risk Alpha | (0.82) | |||
| Treynor Ratio | (0.72) |
Melexis NV Backtested Returns
Melexis NV has Sharpe Ratio of -0.21, which conveys that the firm had a -0.21% return per unit of risk over the last 3 months. Melexis NV exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Melexis NV's Mean Deviation of 1.42, risk adjusted performance of (0.16), and Standard Deviation of 2.19 to check out the risk estimate we provide. The company secures a Beta (Market Risk) of 0.66, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, Melexis NV's returns are expected to increase less than the market. However, during the bear market, the loss of holding Melexis NV is expected to be smaller as well. At this point, Melexis NV has a negative expected return of -0.45%. Please make sure to verify Melexis NV's total risk alpha, maximum drawdown, potential upside, as well as the relationship between the treynor ratio and value at risk , to decide if Melexis NV performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.59 |
Modest predictability
Melexis NV has modest predictability. Overlapping area represents the amount of predictability between Melexis NV time series from 27th of October 2024 to 11th of November 2024 and 11th of November 2024 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 Melexis NV price movement. The serial correlation of 0.59 indicates that roughly 59.0% of current Melexis NV price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.59 | |
| Spearman Rank Test | 0.25 | |
| Residual Average | 0.0 | |
| Price Variance | 1.96 |
Melexis NV lagged returns against current returns
Autocorrelation, which is Melexis NV 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 Melexis NV's stock expected returns. We can calculate the autocorrelation of Melexis NV returns to help us make a trade decision. For example, suppose you find that Melexis NV 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 |
Melexis NV 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 Melexis NV stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Melexis NV stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Melexis NV stock over time.
Current vs Lagged Prices |
| Timeline |
Melexis NV Lagged Returns
When evaluating Melexis NV's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Melexis NV stock have on its future price. Melexis NV 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, Melexis NV autocorrelation shows the relationship between Melexis NV stock current value and its past values and can show if there is a momentum factor associated with investing in Melexis NV.
Regressed Prices |
| Timeline |
Pair Trading with Melexis NV
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 Melexis NV 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 Melexis NV will appreciate offsetting losses from the drop in the long position's value.Moving together with Melexis Stock
Moving against Melexis Stock
The ability to find closely correlated positions to Melexis NV could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Melexis NV 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 Melexis NV - 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 Melexis NV to buy it.
The correlation of Melexis NV 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 Melexis NV moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Melexis NV 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 Melexis NV 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.Additional Tools for Melexis Stock Analysis
When running Melexis NV's price analysis, check to measure Melexis NV's 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 Melexis NV is operating at the current time. Most of Melexis NV's value examination focuses on studying past and present price action to predict the probability of Melexis NV's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Melexis NV's price. Additionally, you may evaluate how the addition of Melexis NV to your portfolios can decrease your overall portfolio volatility.