Unity Foods (Pakistan) Market Value
| UNITY Stock | 31.02 2.06 7.11% |
| Symbol | Unity |
Unity Foods '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 Unity Foods' 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 Unity Foods.
| 09/03/2024 |
| 12/02/2024 |
If you would invest 0.00 in Unity Foods on September 3, 2024 and sell it all today you would earn a total of 0.00 from holding Unity Foods or generate 0.0% return on investment in Unity Foods over 90 days. Unity Foods is related to or competes with Wah Nobel, Crescent Star, Askari Bank, United Insurance, Unilever Pakistan, and Engro Polymer. More
Unity Foods 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 Unity Foods' 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 Unity Foods upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 1.47 | |||
| Information Ratio | (0) | |||
| Maximum Drawdown | 9.04 | |||
| Value At Risk | (2.36) | |||
| Potential Upside | 4.65 |
Unity Foods Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Unity Foods' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Unity Foods' standard deviation. In reality, there are many statistical measures that can use Unity Foods historical prices to predict the future Unity Foods' volatility.| Risk Adjusted Performance | 0.059 | |||
| Jensen Alpha | 0.1128 | |||
| Total Risk Alpha | (0.20) | |||
| Sortino Ratio | (0) | |||
| Treynor Ratio | 1.44 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Unity Foods' 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.
Unity Foods Backtested Returns
As of now, Unity Stock is very steady. Unity Foods owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.0984, which indicates the firm had a 0.0984% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Unity Foods, which you can use to evaluate the volatility of the company. Please validate Unity Foods' Coefficient Of Variation of 1443.79, risk adjusted performance of 0.059, and Semi Deviation of 1.34 to confirm if the risk estimate we provide is consistent with the expected return of 0.19%. Unity Foods has a performance score of 7 on a scale of 0 to 100. The entity has a beta of 0.0863, which indicates not very significant fluctuations relative to the market. As returns on the market increase, Unity Foods' returns are expected to increase less than the market. However, during the bear market, the loss of holding Unity Foods is expected to be smaller as well. Unity Foods right now has a risk of 1.93%. Please validate Unity Foods maximum drawdown, as well as the relationship between the skewness and day typical price , to decide if Unity Foods will be following its existing price patterns.
Auto-correlation | -0.57 |
Good reverse predictability
Unity Foods has good reverse predictability. Overlapping area represents the amount of predictability between Unity Foods time series from 3rd of September 2024 to 18th of October 2024 and 18th of October 2024 to 2nd of December 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 Unity Foods price movement. The serial correlation of -0.57 indicates that roughly 57.0% of current Unity Foods price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.57 | |
| Spearman Rank Test | -0.71 | |
| Residual Average | 0.0 | |
| Price Variance | 1.81 |
Unity Foods lagged returns against current returns
Autocorrelation, which is Unity Foods 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 Unity Foods' stock expected returns. We can calculate the autocorrelation of Unity Foods returns to help us make a trade decision. For example, suppose you find that Unity Foods 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 |
Unity Foods 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 Unity Foods stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Unity Foods stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Unity Foods stock over time.
Current vs Lagged Prices |
| Timeline |
Unity Foods Lagged Returns
When evaluating Unity Foods' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Unity Foods stock have on its future price. Unity Foods 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, Unity Foods autocorrelation shows the relationship between Unity Foods stock current value and its past values and can show if there is a momentum factor associated with investing in Unity Foods.
Regressed Prices |
| Timeline |
Pair Trading with Unity Foods
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 Unity Foods 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 Unity Foods will appreciate offsetting losses from the drop in the long position's value.Moving against Unity Stock
The ability to find closely correlated positions to Unity Foods could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Unity Foods 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 Unity Foods - 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 Unity Foods to buy it.
The correlation of Unity Foods 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 Unity Foods moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Unity Foods 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 Unity Foods 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 Unity Stock
Unity Foods financial ratios help investors to determine whether Unity 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 Unity with respect to the benefits of owning Unity Foods security.