Red Violet Stock Market Value
| RDVT Stock | USD 38.78 0.67 1.76% |
| Symbol | Red |
Red Violet Price To Book Ratio
Is Research & Consulting 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 Red Violet. If investors know Red 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 Red Violet 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 (0.86) | Earnings Share 0.36 | Revenue Per Share 5.09 | Quarterly Revenue Growth 0.203 | Return On Assets 0.043 |
The market value of Red Violet is measured differently than its book value, which is the value of Red that is recorded on the company's balance sheet. Investors also form their own opinion of Red Violet's value that differs from its market value or its book value, called intrinsic value, which is Red Violet'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 Red Violet's market value can be influenced by many factors that don't directly affect Red Violet'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 Red Violet's value and its price as these two are different measures arrived at by different means. Investors typically determine if Red Violet is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Red Violet'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.
Red Violet '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 Red Violet'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 Red Violet.
| 01/31/2024 |
| 11/26/2024 |
If you would invest 0.00 in Red Violet on January 31, 2024 and sell it all today you would earn a total of 0.00 from holding Red Violet or generate 0.0% return on investment in Red Violet over 300 days. Red Violet is related to or competes with Issuer Direct, Sparta Commercial, RIWI Corp, Rego Payment, Envestnet, PROS Holdings, and Meridianlink. Red Violet, Inc., a software and services company, specializes in proprietary technologies and applying analytical capab... More
Red Violet 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 Red Violet'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 Red Violet upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.71 | |||
| Information Ratio | 0.1395 | |||
| Maximum Drawdown | 11.61 | |||
| Value At Risk | (3.59) | |||
| Potential Upside | 5.54 |
Red Violet Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Red Violet's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Red Violet's standard deviation. In reality, there are many statistical measures that can use Red Violet historical prices to predict the future Red Violet's volatility.| Risk Adjusted Performance | 0.1517 | |||
| Jensen Alpha | 0.3034 | |||
| Total Risk Alpha | 0.0779 | |||
| Sortino Ratio | 0.2113 | |||
| Treynor Ratio | 0.3229 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Red Violet'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.
Red Violet Backtested Returns
Red Violet appears to be very steady, given 3 months investment horizon. Red Violet maintains Sharpe Ratio (i.e., Efficiency) of 0.2, which implies the firm had a 0.2% return per unit of risk over the last 3 months. By analyzing Red Violet's technical indicators, you can evaluate if the expected return of 0.52% is justified by implied risk. Please evaluate Red Violet's Risk Adjusted Performance of 0.1517, semi deviation of 1.42, and Coefficient Of Variation of 528.51 to confirm if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Red Violet holds a performance score of 15. The company holds a Beta of 1.48, which implies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Red Violet will likely underperform. Please check Red Violet's sortino ratio, as well as the relationship between the semi variance and rate of daily change , to make a quick decision on whether Red Violet's historical price patterns will revert.
Auto-correlation | 0.77 |
Good predictability
Red Violet has good predictability. Overlapping area represents the amount of predictability between Red Violet time series from 31st of January 2024 to 29th of June 2024 and 29th of June 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 Red Violet price movement. The serial correlation of 0.77 indicates that around 77.0% of current Red Violet price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.77 | |
| Spearman Rank Test | 0.59 | |
| Residual Average | 0.0 | |
| Price Variance | 11.03 |
Red Violet lagged returns against current returns
Autocorrelation, which is Red Violet 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 Red Violet's stock expected returns. We can calculate the autocorrelation of Red Violet returns to help us make a trade decision. For example, suppose you find that Red Violet 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 |
Red Violet 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 Red Violet stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Red Violet stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Red Violet stock over time.
Current vs Lagged Prices |
| Timeline |
Red Violet Lagged Returns
When evaluating Red Violet's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Red Violet stock have on its future price. Red Violet 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, Red Violet autocorrelation shows the relationship between Red Violet stock current value and its past values and can show if there is a momentum factor associated with investing in Red Violet.
Regressed Prices |
| Timeline |
Thematic Opportunities
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Additional Tools for Red Stock Analysis
When running Red Violet's price analysis, check to measure Red Violet'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 Red Violet is operating at the current time. Most of Red Violet's value examination focuses on studying past and present price action to predict the probability of Red Violet's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Red Violet's price. Additionally, you may evaluate how the addition of Red Violet to your portfolios can decrease your overall portfolio volatility.