REC (India) Market Value
| RECLTD Stock | 519.40 13.15 2.60% |
| Symbol | REC |
REC '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 REC'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 REC.
| 10/27/2024 |
| 11/26/2024 |
If you would invest 0.00 in REC on October 27, 2024 and sell it all today you would earn a total of 0.00 from holding REC Limited or generate 0.0% return on investment in REC over 30 days. REC is related to or competes with Reliance Industries, Life Insurance, Indian Oil, and Oil Natural. REC is entity of India. It is traded as Stock on NSE exchange. More
REC 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 REC'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 REC Limited upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.15) | |||
| Maximum Drawdown | 9.78 | |||
| Value At Risk | (3.67) | |||
| Potential Upside | 3.12 |
REC Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for REC's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as REC's standard deviation. In reality, there are many statistical measures that can use REC historical prices to predict the future REC's volatility.| Risk Adjusted Performance | (0.07) | |||
| Jensen Alpha | (0.21) | |||
| Total Risk Alpha | (0.59) | |||
| Treynor Ratio | 1.87 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of REC'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.
REC Limited Backtested Returns
REC Limited retains Efficiency (Sharpe Ratio) of -0.11, which implies the firm had a -0.11% return per unit of risk over the last 3 months. REC exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check REC's market risk adjusted performance of 1.88, and Coefficient Of Variation of (1,046) to confirm the risk estimate we provide. The company owns a Beta (Systematic Risk) of -0.12, which implies not very significant fluctuations relative to the market. As returns on the market increase, returns on owning REC are expected to decrease at a much lower rate. During the bear market, REC is likely to outperform the market. At this point, REC Limited has a negative expected return of -0.25%. Please make sure to check REC's treynor ratio, as well as the relationship between the kurtosis and day typical price , to decide if REC Limited performance from the past will be repeated in the future.
Auto-correlation | 0.02 |
Virtually no predictability
REC Limited has virtually no predictability. Overlapping area represents the amount of predictability between REC time series from 27th of October 2024 to 11th of November 2024 and 11th of November 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 REC Limited price movement. The serial correlation of 0.02 indicates that only 2.0% of current REC price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.02 | |
| Spearman Rank Test | 0.12 | |
| Residual Average | 0.0 | |
| Price Variance | 111.92 |
REC Limited lagged returns against current returns
Autocorrelation, which is REC 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 REC's stock expected returns. We can calculate the autocorrelation of REC returns to help us make a trade decision. For example, suppose you find that REC 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 |
REC 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 REC stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if REC stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in REC stock over time.
Current vs Lagged Prices |
| Timeline |
REC Lagged Returns
When evaluating REC's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of REC stock have on its future price. REC 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, REC autocorrelation shows the relationship between REC stock current value and its past values and can show if there is a momentum factor associated with investing in REC Limited.
Regressed Prices |
| Timeline |
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.Other Information on Investing in REC Stock
REC financial ratios help investors to determine whether REC 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 REC with respect to the benefits of owning REC security.