Step Energy Services Stock Market Value
| STEP Stock | CAD 5.17 0.06 1.17% |
| Symbol | STEP |
STEP Energy Services Price To Book Ratio
STEP Energy '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 STEP Energy'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 STEP Energy.
| 06/03/2024 |
| 11/30/2024 |
If you would invest 0.00 in STEP Energy on June 3, 2024 and sell it all today you would earn a total of 0.00 from holding STEP Energy Services or generate 0.0% return on investment in STEP Energy over 180 days. STEP Energy is related to or competes with Trican Well, Calfrac Well, and CES Energy. STEP Energy Services Ltd., an oilfield service company, provides integrated coiled tubing and fracturing solutions to se... More
STEP Energy 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 STEP Energy'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 STEP Energy Services upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.58 | |||
| Information Ratio | 0.0522 | |||
| Maximum Drawdown | 42.36 | |||
| Value At Risk | (4.31) | |||
| Potential Upside | 3.79 |
STEP Energy Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for STEP Energy's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as STEP Energy's standard deviation. In reality, there are many statistical measures that can use STEP Energy historical prices to predict the future STEP Energy's volatility.| Risk Adjusted Performance | 0.0679 | |||
| Jensen Alpha | 0.2798 | |||
| Total Risk Alpha | (0.49) | |||
| Sortino Ratio | 0.1097 | |||
| Treynor Ratio | 0.4015 |
STEP Energy Services Backtested Returns
STEP Energy appears to be risky, given 3 months investment horizon. STEP Energy Services owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.0967, which indicates the firm had a 0.0967% return per unit of volatility over the last 3 months. By examining STEP Energy's technical indicators, you can evaluate if the expected return of 0.53% is justified by implied risk. Please review STEP Energy's risk adjusted performance of 0.0679, and Coefficient Of Variation of 1288.55 to confirm if our risk estimates are consistent with your expectations. On a scale of 0 to 100, STEP Energy holds a performance score of 7. The entity has a beta of 1.02, which indicates a somewhat significant risk relative to the market. STEP Energy returns are very sensitive to returns on the market. As the market goes up or down, STEP Energy is expected to follow. Please check STEP Energy's downside deviation, standard deviation, total risk alpha, as well as the relationship between the coefficient of variation and jensen alpha , to make a quick decision on whether STEP Energy's existing price patterns will revert.
Auto-correlation | -0.15 |
Insignificant reverse predictability
STEP Energy Services has insignificant reverse predictability. Overlapping area represents the amount of predictability between STEP Energy time series from 3rd of June 2024 to 1st of September 2024 and 1st of September 2024 to 30th 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 STEP Energy Services price movement. The serial correlation of -0.15 indicates that less than 15.0% of current STEP Energy price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.15 | |
| Spearman Rank Test | 0.04 | |
| Residual Average | 0.0 | |
| Price Variance | 0.41 |
STEP Energy Services lagged returns against current returns
Autocorrelation, which is STEP Energy 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 STEP Energy's stock expected returns. We can calculate the autocorrelation of STEP Energy returns to help us make a trade decision. For example, suppose you find that STEP Energy 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 |
STEP Energy 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 STEP Energy stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if STEP Energy stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in STEP Energy stock over time.
Current vs Lagged Prices |
| Timeline |
STEP Energy Lagged Returns
When evaluating STEP Energy's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of STEP Energy stock have on its future price. STEP Energy 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, STEP Energy autocorrelation shows the relationship between STEP Energy stock current value and its past values and can show if there is a momentum factor associated with investing in STEP Energy Services.
Regressed Prices |
| Timeline |
Pair Trading with STEP Energy
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 STEP Energy 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 STEP Energy will appreciate offsetting losses from the drop in the long position's value.Moving together with STEP Stock
The ability to find closely correlated positions to STEP Energy could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace STEP Energy 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 STEP Energy - 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 STEP Energy Services to buy it.
The correlation of STEP Energy 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 STEP Energy moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if STEP Energy Services 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 STEP Energy 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.Other Information on Investing in STEP Stock
STEP Energy financial ratios help investors to determine whether STEP 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 STEP with respect to the benefits of owning STEP Energy security.