Netsol Tech (Pakistan) Market Value
| NETSOL-CJAN | 132.52 1.70 1.27% |
| Symbol | Netsol |
Netsol Tech '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 Netsol Tech'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 Netsol Tech.
| 11/27/2025 |
| 12/27/2025 |
If you would invest 0.00 in Netsol Tech on November 27, 2025 and sell it all today you would earn a total of 0.00 from holding Netsol Tech or generate 0.0% return on investment in Netsol Tech over 30 days.
Netsol Tech 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 Netsol Tech'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 Netsol Tech upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.13) | |||
| Maximum Drawdown | 4.87 | |||
| Value At Risk | (2.48) | |||
| Potential Upside | 2.39 |
Netsol Tech Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Netsol Tech's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Netsol Tech's standard deviation. In reality, there are many statistical measures that can use Netsol Tech historical prices to predict the future Netsol Tech's volatility.| Risk Adjusted Performance | (0.04) | |||
| Jensen Alpha | (0.09) | |||
| Total Risk Alpha | (0.23) | |||
| Treynor Ratio | 0.6391 |
Netsol Tech Backtested Returns
Netsol Tech has Sharpe Ratio of -0.0648, which conveys that the firm had a -0.0648 % return per unit of risk over the last 3 months. Netsol Tech exposes twenty-one different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Netsol Tech's Mean Deviation of 0.9893, standard deviation of 1.3, and Risk Adjusted Performance of (0.04) to check out the risk estimate we provide. The company secures a Beta (Market Risk) of -0.15, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Netsol Tech are expected to decrease at a much lower rate. During the bear market, Netsol Tech is likely to outperform the market. At this point, Netsol Tech has a negative expected return of -0.0821%. Please make sure to verify Netsol Tech's total risk alpha, daily balance of power, as well as the relationship between the Daily Balance Of Power and period momentum indicator , to decide if Netsol Tech performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.46 |
Modest reverse predictability
Netsol Tech has modest reverse predictability. Overlapping area represents the amount of predictability between Netsol Tech time series from 27th of November 2025 to 12th of December 2025 and 12th of December 2025 to 27th of December 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 Netsol Tech price movement. The serial correlation of -0.46 indicates that about 46.0% of current Netsol Tech price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.46 | |
| Spearman Rank Test | -0.19 | |
| Residual Average | 0.0 | |
| Price Variance | 5.48 |
Netsol Tech lagged returns against current returns
Autocorrelation, which is Netsol Tech 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 Netsol Tech's stock expected returns. We can calculate the autocorrelation of Netsol Tech returns to help us make a trade decision. For example, suppose you find that Netsol Tech 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 |
Netsol Tech 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 Netsol Tech stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Netsol Tech stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Netsol Tech stock over time.
Current vs Lagged Prices |
| Timeline |
Netsol Tech Lagged Returns
When evaluating Netsol Tech's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Netsol Tech stock have on its future price. Netsol Tech 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, Netsol Tech autocorrelation shows the relationship between Netsol Tech stock current value and its past values and can show if there is a momentum factor associated with investing in Netsol Tech.
Regressed Prices |
| Timeline |
Pair Trading with Netsol Tech
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 Netsol Tech 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 Netsol Tech will appreciate offsetting losses from the drop in the long position's value.Moving together with Netsol Stock
The ability to find closely correlated positions to Netsol Tech could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Netsol Tech 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 Netsol Tech - 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 Netsol Tech to buy it.
The correlation of Netsol Tech 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 Netsol Tech moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Netsol Tech 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 Netsol Tech 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.