Southern Copper Stock Market Value
| SCCO Stock | USD 100.68 2.32 2.25% |
| Symbol | Southern |
Southern Copper Price To Book Ratio
Is Metals & Mining 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 Southern Copper. If investors know Southern 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 Southern Copper 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 0.452 | Dividend Share 2.37 | Earnings Share 3.83 | Revenue Per Share 13.947 | Quarterly Revenue Growth 0.17 |
The market value of Southern Copper is measured differently than its book value, which is the value of Southern that is recorded on the company's balance sheet. Investors also form their own opinion of Southern Copper's value that differs from its market value or its book value, called intrinsic value, which is Southern Copper'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 Southern Copper's market value can be influenced by many factors that don't directly affect Southern Copper'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 Southern Copper's value and its price as these two are different measures arrived at by different means. Investors typically determine if Southern Copper is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Southern Copper'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.
Southern Copper '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 Southern Copper'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 Southern Copper.
| 05/26/2024 |
| 11/22/2024 |
If you would invest 0.00 in Southern Copper on May 26, 2024 and sell it all today you would earn a total of 0.00 from holding Southern Copper or generate 0.0% return on investment in Southern Copper over 180 days. Southern Copper is related to or competes with Ero Copper, Hudbay Minerals, Taseko Mines, Amerigo Resources, Copper Mountain, Capstone Copper, and Copperbank Resources. Southern Copper Corporation engages in mining, exploring, smelting, and refining copper and other minerals in Peru, Mexi... More
Southern Copper 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 Southern Copper'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 Southern Copper upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.55 | |||
| Information Ratio | (0.02) | |||
| Maximum Drawdown | 13.86 | |||
| Value At Risk | (4.54) | |||
| Potential Upside | 3.54 |
Southern Copper Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Southern Copper's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Southern Copper's standard deviation. In reality, there are many statistical measures that can use Southern Copper historical prices to predict the future Southern Copper's volatility.| Risk Adjusted Performance | 0.0204 | |||
| Jensen Alpha | (0.04) | |||
| Total Risk Alpha | (0.25) | |||
| Sortino Ratio | (0.02) | |||
| Treynor Ratio | 0.0389 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Southern Copper'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.
Southern Copper Backtested Returns
Southern Copper owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.0098, which indicates the firm had a -0.0098% return per unit of risk over the last 3 months. Southern Copper exposes twenty-nine different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate Southern Copper's Semi Deviation of 2.49, coefficient of variation of 5606.98, and Risk Adjusted Performance of 0.0204 to confirm the risk estimate we provide. The entity has a beta of 0.88, which indicates possible diversification benefits within a given portfolio. Southern Copper returns are very sensitive to returns on the market. As the market goes up or down, Southern Copper is expected to follow. At this point, Southern Copper has a negative expected return of -0.0247%. Please make sure to validate Southern Copper's downside variance, as well as the relationship between the accumulation distribution and price action indicator , to decide if Southern Copper performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.07 |
Very weak reverse predictability
Southern Copper has very weak reverse predictability. Overlapping area represents the amount of predictability between Southern Copper time series from 26th of May 2024 to 24th of August 2024 and 24th of August 2024 to 22nd 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 Southern Copper price movement. The serial correlation of -0.07 indicates that barely 7.0% of current Southern Copper price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.07 | |
| Spearman Rank Test | -0.02 | |
| Residual Average | 0.0 | |
| Price Variance | 53.7 |
Southern Copper lagged returns against current returns
Autocorrelation, which is Southern Copper 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 Southern Copper's stock expected returns. We can calculate the autocorrelation of Southern Copper returns to help us make a trade decision. For example, suppose you find that Southern Copper 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 |
Southern Copper 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 Southern Copper stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Southern Copper stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Southern Copper stock over time.
Current vs Lagged Prices |
| Timeline |
Southern Copper Lagged Returns
When evaluating Southern Copper's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Southern Copper stock have on its future price. Southern Copper 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, Southern Copper autocorrelation shows the relationship between Southern Copper stock current value and its past values and can show if there is a momentum factor associated with investing in Southern Copper.
Regressed Prices |
| Timeline |
Pair Trading with Southern Copper
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 Southern Copper 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 Southern Copper will appreciate offsetting losses from the drop in the long position's value.Moving together with Southern Stock
Moving against Southern Stock
The ability to find closely correlated positions to Southern Copper could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Southern Copper 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 Southern Copper - 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 Southern Copper to buy it.
The correlation of Southern Copper 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 Southern Copper moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Southern Copper 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 Southern Copper 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.Check out Southern Copper Correlation, Southern Copper Volatility and Southern Copper Alpha and Beta module to complement your research on Southern Copper. To learn how to invest in Southern Stock, please use our How to Invest in Southern Copper guide.You can also try the Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.
Southern Copper technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.