Spirit Aerosystems Holdings Stock Market Value
| SPR Stock | USD 31.38 0.55 1.72% |
| Symbol | Spirit |
Is Aircraft 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 Spirit Aerosystems. If investors know Spirit 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 Spirit Aerosystems listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Spirit Aerosystems is measured differently than its book value, which is the value of Spirit that is recorded on the company's balance sheet. Investors also form their own opinion of Spirit Aerosystems' value that differs from its market value or its book value, called intrinsic value, which is Spirit Aerosystems' 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 Spirit Aerosystems' market value can be influenced by many factors that don't directly affect Spirit Aerosystems' 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 Spirit Aerosystems' value and its price as these two are different measures arrived at by different means. Investors typically determine if Spirit Aerosystems is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Spirit Aerosystems' 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.
Spirit Aerosystems '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 Spirit Aerosystems' 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 Spirit Aerosystems.
| 10/23/2024 |
| 11/22/2024 |
If you would invest 0.00 in Spirit Aerosystems on October 23, 2024 and sell it all today you would earn a total of 0.00 from holding Spirit Aerosystems Holdings or generate 0.0% return on investment in Spirit Aerosystems over 30 days. Spirit Aerosystems is related to or competes with Howmet Aerospace, Huntington Ingalls, L3Harris Technologies, Embraer SA, AAR Corp, Innovative Solutions, and Hexcel. Spirit AeroSystems Holdings, Inc. designs, engineers, manufactures, and markets commercial aerostructures worldwide More
Spirit Aerosystems 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 Spirit Aerosystems' 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 Spirit Aerosystems Holdings upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.15) | |||
| Maximum Drawdown | 9.34 | |||
| Value At Risk | (2.58) | |||
| Potential Upside | 2.08 |
Spirit Aerosystems Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Spirit Aerosystems' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Spirit Aerosystems' standard deviation. In reality, there are many statistical measures that can use Spirit Aerosystems historical prices to predict the future Spirit Aerosystems' volatility.| Risk Adjusted Performance | (0.06) | |||
| Jensen Alpha | (0.12) | |||
| Total Risk Alpha | (0.38) | |||
| Treynor Ratio | 0.4138 |
Spirit Aerosystems Backtested Returns
Spirit Aerosystems owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.087, which indicates the firm had a -0.087% return per unit of risk over the last 3 months. Spirit Aerosystems Holdings exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate Spirit Aerosystems' Coefficient Of Variation of (1,149), variance of 2.93, and Risk Adjusted Performance of (0.06) to confirm the risk estimate we provide. The entity has a beta of -0.38, which indicates possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning Spirit Aerosystems are expected to decrease at a much lower rate. During the bear market, Spirit Aerosystems is likely to outperform the market. At this point, Spirit Aerosystems has a negative expected return of -0.15%. Please make sure to validate Spirit Aerosystems' jensen alpha, skewness, as well as the relationship between the Skewness and day typical price , to decide if Spirit Aerosystems performance from the past will be repeated at some point in the near future.
Auto-correlation | -0.15 |
Insignificant reverse predictability
Spirit Aerosystems Holdings has insignificant reverse predictability. Overlapping area represents the amount of predictability between Spirit Aerosystems time series from 23rd of October 2024 to 7th of November 2024 and 7th of November 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 Spirit Aerosystems price movement. The serial correlation of -0.15 indicates that less than 15.0% of current Spirit Aerosystems price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.15 | |
| Spearman Rank Test | 0.39 | |
| Residual Average | 0.0 | |
| Price Variance | 0.24 |
Spirit Aerosystems lagged returns against current returns
Autocorrelation, which is Spirit Aerosystems 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 Spirit Aerosystems' stock expected returns. We can calculate the autocorrelation of Spirit Aerosystems returns to help us make a trade decision. For example, suppose you find that Spirit Aerosystems 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 |
Spirit Aerosystems 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 Spirit Aerosystems stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Spirit Aerosystems stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Spirit Aerosystems stock over time.
Current vs Lagged Prices |
| Timeline |
Spirit Aerosystems Lagged Returns
When evaluating Spirit Aerosystems' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Spirit Aerosystems stock have on its future price. Spirit Aerosystems 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, Spirit Aerosystems autocorrelation shows the relationship between Spirit Aerosystems stock current value and its past values and can show if there is a momentum factor associated with investing in Spirit Aerosystems Holdings.
Regressed Prices |
| Timeline |
Pair Trading with Spirit Aerosystems
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 Spirit Aerosystems 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 Spirit Aerosystems will appreciate offsetting losses from the drop in the long position's value.Moving together with Spirit Stock
| 0.7 | BA | Boeing Fiscal Year End 29th of January 2025 | PairCorr |
Moving against Spirit Stock
| 0.71 | CW | Curtiss Wright | PairCorr |
| 0.66 | DRS | Leonardo DRS, Common | PairCorr |
| 0.64 | AZ | A2Z Smart Technologies | PairCorr |
| 0.61 | ESLT | Elbit Systems | PairCorr |
| 0.58 | VSEC | VSE Corporation | PairCorr |
The ability to find closely correlated positions to Spirit Aerosystems could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Spirit Aerosystems 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 Spirit Aerosystems - 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 Spirit Aerosystems Holdings to buy it.
The correlation of Spirit Aerosystems 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 Spirit Aerosystems moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Spirit Aerosystems 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 Spirit Aerosystems 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.Additional Tools for Spirit Stock Analysis
When running Spirit Aerosystems' price analysis, check to measure Spirit Aerosystems' 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 Spirit Aerosystems is operating at the current time. Most of Spirit Aerosystems' value examination focuses on studying past and present price action to predict the probability of Spirit Aerosystems' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Spirit Aerosystems' price. Additionally, you may evaluate how the addition of Spirit Aerosystems to your portfolios can decrease your overall portfolio volatility.