Pacific Petroleum (Vietnam) Market Value
| PVP Stock | 16,000 100.00 0.63% |
| Symbol | Pacific |
Pacific Petroleum '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 Pacific Petroleum'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 Pacific Petroleum.
| 07/05/2023 |
| 11/26/2024 |
If you would invest 0.00 in Pacific Petroleum on July 5, 2023 and sell it all today you would earn a total of 0.00 from holding Pacific Petroleum Transportation or generate 0.0% return on investment in Pacific Petroleum over 510 days.
Pacific Petroleum 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 Pacific Petroleum'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 Pacific Petroleum Transportation upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.18) | |||
| Maximum Drawdown | 9.62 | |||
| Value At Risk | (2.46) | |||
| Potential Upside | 2.18 |
Pacific Petroleum Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Pacific Petroleum's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Pacific Petroleum's standard deviation. In reality, there are many statistical measures that can use Pacific Petroleum historical prices to predict the future Pacific Petroleum's volatility.| Risk Adjusted Performance | (0.07) | |||
| Jensen Alpha | (0.21) | |||
| Total Risk Alpha | (0.39) | |||
| Treynor Ratio | (0.37) |
Pacific Petroleum Backtested Returns
Pacific Petroleum maintains Sharpe Ratio (i.e., Efficiency) of -0.0786, which implies the firm had a -0.0786% return per unit of risk over the last 3 months. Pacific Petroleum exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check Pacific Petroleum's Risk Adjusted Performance of (0.07), variance of 2.32, and Coefficient Of Variation of (1,047) to confirm the risk estimate we provide. The company holds a Beta of 0.42, which implies possible diversification benefits within a given portfolio. As returns on the market increase, Pacific Petroleum's returns are expected to increase less than the market. However, during the bear market, the loss of holding Pacific Petroleum is expected to be smaller as well. At this point, Pacific Petroleum has a negative expected return of -0.12%. Please make sure to check Pacific Petroleum's potential upside, and the relationship between the total risk alpha and daily balance of power , to decide if Pacific Petroleum performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.06 |
Virtually no predictability
Pacific Petroleum Transportation has virtually no predictability. Overlapping area represents the amount of predictability between Pacific Petroleum time series from 5th of July 2023 to 16th of March 2024 and 16th of March 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 Pacific Petroleum price movement. The serial correlation of 0.06 indicates that barely 6.0% of current Pacific Petroleum price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.06 | |
| Spearman Rank Test | 0.04 | |
| Residual Average | 0.0 | |
| Price Variance | 2.3 M |
Pacific Petroleum lagged returns against current returns
Autocorrelation, which is Pacific Petroleum 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 Pacific Petroleum's stock expected returns. We can calculate the autocorrelation of Pacific Petroleum returns to help us make a trade decision. For example, suppose you find that Pacific Petroleum 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 |
Pacific Petroleum 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 Pacific Petroleum stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Pacific Petroleum stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Pacific Petroleum stock over time.
Current vs Lagged Prices |
| Timeline |
Pacific Petroleum Lagged Returns
When evaluating Pacific Petroleum's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Pacific Petroleum stock have on its future price. Pacific Petroleum 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, Pacific Petroleum autocorrelation shows the relationship between Pacific Petroleum stock current value and its past values and can show if there is a momentum factor associated with investing in Pacific Petroleum Transportation.
Regressed Prices |
| Timeline |
Pair Trading with Pacific Petroleum
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 Pacific Petroleum 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 Pacific Petroleum will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to Pacific Petroleum could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Pacific Petroleum 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 Pacific Petroleum - 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 Pacific Petroleum Transportation to buy it.
The correlation of Pacific Petroleum 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 Pacific Petroleum moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Pacific Petroleum 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 Pacific Petroleum 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.