Nextsource Materials Stock Market Value
| NEXT Stock | CAD 0.52 0.02 4.00% |
| Symbol | NextSource |
NextSource Materials Price To Book Ratio
NextSource Materials '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 NextSource Materials' 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 NextSource Materials.
| 05/27/2024 |
| 11/23/2024 |
If you would invest 0.00 in NextSource Materials on May 27, 2024 and sell it all today you would earn a total of 0.00 from holding NextSource Materials or generate 0.0% return on investment in NextSource Materials over 180 days. NextSource Materials is related to or competes with Lomiko Metals. NextSource Materials Inc. acquires, explores for, and develops mineral properties in Madagascar and Canada More
NextSource Materials 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 NextSource Materials' 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 NextSource Materials upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.28) | |||
| Maximum Drawdown | 13.33 | |||
| Value At Risk | (4.48) | |||
| Potential Upside | 4.62 |
NextSource Materials Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for NextSource Materials' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as NextSource Materials' standard deviation. In reality, there are many statistical measures that can use NextSource Materials historical prices to predict the future NextSource Materials' volatility.| Risk Adjusted Performance | (0.18) | |||
| Jensen Alpha | (0.62) | |||
| Total Risk Alpha | (0.99) | |||
| Treynor Ratio | 2.6 |
NextSource Materials Backtested Returns
NextSource Materials has Sharpe Ratio of -0.22, which conveys that the firm had a -0.22% return per unit of risk over the last 3 months. NextSource Materials exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify NextSource Materials' Mean Deviation of 2.05, standard deviation of 2.63, and Risk Adjusted Performance of (0.18) to check out the risk estimate we provide. The company secures a Beta (Market Risk) of -0.25, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning NextSource Materials are expected to decrease at a much lower rate. During the bear market, NextSource Materials is likely to outperform the market. At this point, NextSource Materials has a negative expected return of -0.61%. Please make sure to verify NextSource Materials' accumulation distribution, rate of daily change, and the relationship between the kurtosis and daily balance of power , to decide if NextSource Materials performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.57 |
Modest predictability
NextSource Materials has modest predictability. Overlapping area represents the amount of predictability between NextSource Materials time series from 27th of May 2024 to 25th of August 2024 and 25th of August 2024 to 23rd 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 NextSource Materials price movement. The serial correlation of 0.57 indicates that roughly 57.0% of current NextSource Materials price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.57 | |
| Spearman Rank Test | 0.58 | |
| Residual Average | 0.0 | |
| Price Variance | 0.0 |
NextSource Materials lagged returns against current returns
Autocorrelation, which is NextSource Materials 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 NextSource Materials' stock expected returns. We can calculate the autocorrelation of NextSource Materials returns to help us make a trade decision. For example, suppose you find that NextSource Materials 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 |
NextSource Materials 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 NextSource Materials stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if NextSource Materials stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in NextSource Materials stock over time.
Current vs Lagged Prices |
| Timeline |
NextSource Materials Lagged Returns
When evaluating NextSource Materials' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of NextSource Materials stock have on its future price. NextSource Materials 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, NextSource Materials autocorrelation shows the relationship between NextSource Materials stock current value and its past values and can show if there is a momentum factor associated with investing in NextSource Materials.
Regressed Prices |
| Timeline |
Pair Trading with NextSource Materials
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 NextSource Materials 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 NextSource Materials will appreciate offsetting losses from the drop in the long position's value.Moving together with NextSource Stock
Moving against NextSource Stock
| 0.89 | RY | Royal Bank | PairCorr |
| 0.79 | FDY | Faraday Copper Corp | PairCorr |
| 0.78 | IE | Ivanhoe Energy | PairCorr |
| 0.78 | BOFA | Bank of America | PairCorr |
| 0.75 | RY-PJ | Royal Bank | PairCorr |
The ability to find closely correlated positions to NextSource Materials could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace NextSource Materials 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 NextSource Materials - 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 NextSource Materials to buy it.
The correlation of NextSource Materials 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 NextSource Materials moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if NextSource Materials 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 NextSource Materials 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.Other Information on Investing in NextSource Stock
NextSource Materials financial ratios help investors to determine whether NextSource Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in NextSource with respect to the benefits of owning NextSource Materials security.