Methanex Stock Market Value
| MX Stock | CAD 65.57 1.31 2.04% |
| Symbol | Methanex |
Methanex Price To Book Ratio
Methanex '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 Methanex'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 Methanex.
| 10/26/2024 |
| 11/25/2024 |
If you would invest 0.00 in Methanex on October 26, 2024 and sell it all today you would earn a total of 0.00 from holding Methanex or generate 0.0% return on investment in Methanex over 30 days. Methanex is related to or competes with Finning International, Keyera Corp, Linamar, Russel Metals, and CCL Industries. Methanex Corporation produces and supplies methanol in North America, the Asia Pacific, Europe, and South America More
Methanex 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 Methanex'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 Methanex upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.67 | |||
| Information Ratio | (0.01) | |||
| Maximum Drawdown | 10.57 | |||
| Value At Risk | (4.17) | |||
| Potential Upside | 2.8 |
Methanex Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Methanex's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Methanex's standard deviation. In reality, there are many statistical measures that can use Methanex historical prices to predict the future Methanex's volatility.| Risk Adjusted Performance | 0.045 | |||
| Jensen Alpha | 0.123 | |||
| Total Risk Alpha | (0.25) | |||
| Sortino Ratio | (0.01) | |||
| Treynor Ratio | (0.58) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Methanex's 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.
Methanex Backtested Returns
As of now, Methanex Stock is very steady. Methanex has Sharpe Ratio of 0.051, which conveys that the firm had a 0.051% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Methanex, which you can use to evaluate the volatility of the firm. Please verify Methanex's Downside Deviation of 2.67, mean deviation of 1.53, and Risk Adjusted Performance of 0.045 to check out if the risk estimate we provide is consistent with the expected return of 0.12%. Methanex has a performance score of 4 on a scale of 0 to 100. The company secures a Beta (Market Risk) of -0.18, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Methanex are expected to decrease at a much lower rate. During the bear market, Methanex is likely to outperform the market. Methanex right now secures a risk of 2.27%. Please verify Methanex potential upside, as well as the relationship between the kurtosis and day typical price , to decide if Methanex will be following its current price movements.
Auto-correlation | 0.77 |
Good predictability
Methanex has good predictability. Overlapping area represents the amount of predictability between Methanex time series from 26th of October 2024 to 10th of November 2024 and 10th of November 2024 to 25th 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 Methanex price movement. The serial correlation of 0.77 indicates that around 77.0% of current Methanex price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.77 | |
| Spearman Rank Test | 0.29 | |
| Residual Average | 0.0 | |
| Price Variance | 4.56 |
Methanex lagged returns against current returns
Autocorrelation, which is Methanex 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 Methanex's stock expected returns. We can calculate the autocorrelation of Methanex returns to help us make a trade decision. For example, suppose you find that Methanex 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 |
Methanex 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 Methanex stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Methanex stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Methanex stock over time.
Current vs Lagged Prices |
| Timeline |
Methanex Lagged Returns
When evaluating Methanex's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Methanex stock have on its future price. Methanex 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, Methanex autocorrelation shows the relationship between Methanex stock current value and its past values and can show if there is a momentum factor associated with investing in Methanex.
Regressed Prices |
| Timeline |
Pair Trading with Methanex
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 Methanex 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 Methanex will appreciate offsetting losses from the drop in the long position's value.Moving against Methanex Stock
The ability to find closely correlated positions to Methanex could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Methanex 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 Methanex - 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 Methanex to buy it.
The correlation of Methanex 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 Methanex moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Methanex 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 Methanex 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.Check out Methanex Correlation, Methanex Volatility and Methanex Alpha and Beta module to complement your research on Methanex. To learn how to invest in Methanex Stock, please use our How to Invest in Methanex guide.You can also try the Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.
Methanex 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.