Precision Drilling Stock Market Value
| PDS Stock | USD 66.38 0.25 0.38% |
| Symbol | Precision |
Precision Drilling Price To Book Ratio
Is Energy Equipment & Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Precision Drilling. If investors know Precision will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Precision Drilling listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.592 | Earnings Share 11.74 | Revenue Per Share 136.158 | Quarterly Revenue Growth 0.068 | Return On Assets 0.054 |
The market value of Precision Drilling is measured differently than its book value, which is the value of Precision that is recorded on the company's balance sheet. Investors also form their own opinion of Precision Drilling's value that differs from its market value or its book value, called intrinsic value, which is Precision Drilling's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Precision Drilling's market value can be influenced by many factors that don't directly affect Precision Drilling's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Precision Drilling's value and its price as these two are different measures arrived at by different means. Investors typically determine if Precision Drilling is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Precision Drilling's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Precision Drilling '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 Precision Drilling'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 Precision Drilling.
| 12/06/2022 |
| 11/25/2024 |
If you would invest 0.00 in Precision Drilling on December 6, 2022 and sell it all today you would earn a total of 0.00 from holding Precision Drilling or generate 0.0% return on investment in Precision Drilling over 720 days. Precision Drilling is related to or competes with Helmerich, Nabors Industries, Seadrill, Patterson UTI, Noble Plc, Borr Drilling, and Transocean. Precision Drilling Corporation, a drilling company, provides onshore drilling, completion, and production services to ex... More
Precision Drilling 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 Precision Drilling'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 Precision Drilling upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.06) | |||
| Maximum Drawdown | 11.18 | |||
| Value At Risk | (4.25) | |||
| Potential Upside | 3.53 |
Precision Drilling Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Precision Drilling's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Precision Drilling's standard deviation. In reality, there are many statistical measures that can use Precision Drilling historical prices to predict the future Precision Drilling's volatility.| Risk Adjusted Performance | (0.0007) | |||
| Jensen Alpha | (0.17) | |||
| Total Risk Alpha | (0.41) | |||
| Treynor Ratio | (0.03) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Precision Drilling'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.
Precision Drilling Backtested Returns
Precision Drilling maintains Sharpe Ratio (i.e., Efficiency) of -0.0484, which implies the firm had a -0.0484% return per unit of risk over the last 3 months. Precision Drilling exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check Precision Drilling's Variance of 5.75, risk adjusted performance of (0.0007), and Coefficient Of Variation of (10,189) to confirm the risk estimate we provide. The company holds a Beta of 1.11, which implies a somewhat significant risk relative to the market. Precision Drilling returns are very sensitive to returns on the market. As the market goes up or down, Precision Drilling is expected to follow. At this point, Precision Drilling has a negative expected return of -0.11%. Please make sure to check Precision Drilling's maximum drawdown, as well as the relationship between the accumulation distribution and market facilitation index , to decide if Precision Drilling performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.62 |
Very good reverse predictability
Precision Drilling has very good reverse predictability. Overlapping area represents the amount of predictability between Precision Drilling time series from 6th of December 2022 to 1st of December 2023 and 1st of December 2023 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 Precision Drilling price movement. The serial correlation of -0.62 indicates that roughly 62.0% of current Precision Drilling price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.62 | |
| Spearman Rank Test | 0.04 | |
| Residual Average | 0.0 | |
| Price Variance | 39.3 |
Precision Drilling lagged returns against current returns
Autocorrelation, which is Precision Drilling 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 Precision Drilling's stock expected returns. We can calculate the autocorrelation of Precision Drilling returns to help us make a trade decision. For example, suppose you find that Precision Drilling 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 |
Precision Drilling 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 Precision Drilling stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Precision Drilling stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Precision Drilling stock over time.
Current vs Lagged Prices |
| Timeline |
Precision Drilling Lagged Returns
When evaluating Precision Drilling's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Precision Drilling stock have on its future price. Precision Drilling 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, Precision Drilling autocorrelation shows the relationship between Precision Drilling stock current value and its past values and can show if there is a momentum factor associated with investing in Precision Drilling.
Regressed Prices |
| Timeline |
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Additional Tools for Precision Stock Analysis
When running Precision Drilling's price analysis, check to measure Precision Drilling'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 Precision Drilling is operating at the current time. Most of Precision Drilling's value examination focuses on studying past and present price action to predict the probability of Precision Drilling's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Precision Drilling's price. Additionally, you may evaluate how the addition of Precision Drilling to your portfolios can decrease your overall portfolio volatility.