Applied Energetics Stock Volatility
| AERG Stock | USD 1.17 0.01 0.85% |
Applied Energetics secures Sharpe Ratio (or Efficiency) of -0.13, which signifies that the company had a -0.13 % return per unit of risk over the last 3 months. Applied Energetics exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Applied Energetics' Standard Deviation of 3.81, mean deviation of 2.62, and Risk Adjusted Performance of (0.10) to double-check the risk estimate we provide.
Sharpe Ratio = -0.126
| High Returns | Best Equity | |||
| Good Returns | ||||
| Average Returns | ||||
| Small Returns | ||||
| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns | AERG |
Based on monthly moving average Applied Energetics is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Applied Energetics by adding Applied Energetics to a well-diversified portfolio.
Key indicators related to Applied Energetics' volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Applied Energetics OTC Stock volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of Applied daily returns, and it is calculated using variance and standard deviation. We also use Applied's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Applied Energetics volatility.
Applied |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Applied Energetics can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game as hey may decide to buy additional stocks of Applied Energetics at lower prices to lower their average cost per share. Similarly, when the prices of Applied Energetics' stock rise, investors can sell out and invest the proceeds in other equities with better opportunities. Main indicators related to Applied Energetics' market risk premium analysis include:
Beta 0.71 | Alpha (0.58) | Risk 3.87 | Sharpe Ratio (0.13) | Expected Return (0.49) |
Moving against Applied OTC Stock
| 0.8 | PG | Procter Gamble | PairCorr |
| 0.79 | T | ATT Inc Aggressive Push | PairCorr |
| 0.65 | VZ | Verizon Communications Aggressive Push | PairCorr |
| 0.45 | XOM | Exxon Mobil Corp Aggressive Push | PairCorr |
| 0.34 | CSCO | Cisco Systems Earnings Call Tomorrow | PairCorr |
Applied Energetics Market Sensitivity And Downside Risk
Applied Energetics' beta coefficient measures the volatility of Applied otc stock compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents Applied otc stock's returns against your selected market. In other words, Applied Energetics's beta of 0.71 provides an investor with an approximation of how much risk Applied Energetics otc stock can potentially add to one of your existing portfolios. Applied Energetics exhibits very low volatility with skewness of 0.39 and kurtosis of 3.48. Applied Energetics is a potential penny stock. Although Applied Energetics may be in fact a good instrument to invest, many penny otc stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Applied Energetics. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Applied instrument if you perfectly time your entry and exit. However, remember that penny otcs that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
3 Months Beta |Analyze Applied Energetics Demand TrendCheck current 90 days Applied Energetics correlation with market (Dow Jones Industrial)Applied Energetics Volatility and Downside Risk
Applied standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Applied Energetics OTC Stock Volatility Analysis
Volatility refers to the frequency at which Applied Energetics otc price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Applied Energetics' price changes. Investors will then calculate the volatility of Applied Energetics' otc stock to predict their future moves. A otc that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A otc stock with relatively stable price changes has low volatility. A highly volatile otc is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of Applied Energetics' volatility:
Historical Volatility
This type of otc volatility measures Applied Energetics' fluctuations based on previous trends. It's commonly used to predict Applied Energetics' future behavior based on its past. However, it cannot conclusively determine the future direction of the otc stock.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for Applied Energetics' current market price. This means that the otc will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Applied Energetics' to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. Applied Energetics Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
Applied Energetics Projected Return Density Against Market
Given the investment horizon of 90 days Applied Energetics has a beta of 0.712 . This suggests as returns on the market go up, Applied Energetics average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Applied Energetics will be expected to be much smaller as well.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Applied Energetics or Aerospace & Defense sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Applied Energetics' price will be affected by overall otc stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Applied otc's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
Predicted Return Density |
| Returns |
What Drives an Applied Energetics Price Volatility?
Several factors can influence a otc's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract investor attention to the company. This positive attention may impact the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.Applied Energetics OTC Stock Risk Measures
Given the investment horizon of 90 days the coefficient of variation of Applied Energetics is -793.36. The daily returns are distributed with a variance of 15.0 and standard deviation of 3.87. The mean deviation of Applied Energetics is currently at 2.62. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.81
α | Alpha over Dow Jones | -0.58 | |
β | Beta against Dow Jones | 0.71 | |
σ | Overall volatility | 3.87 | |
Ir | Information ratio | -0.16 |
Applied Energetics OTC Stock Return Volatility
Applied Energetics historical daily return volatility represents how much of Applied Energetics otc's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company inherits 3.8733% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.807% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
Related Correlations Analysis
Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
| High negative correlations
|
Risk-Adjusted Indicators
There is a big difference between Applied OTC Stock performing well and Applied Energetics OTC Stock doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Applied Energetics' multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| XPPLF | 1.65 | 0.55 | 0.00 | (0.43) | 0.00 | 0.00 | 54.98 | |||
| SEIGY | 0.33 | 0.10 | 0.00 | 0.45 | 0.00 | 0.00 | 13.54 | |||
| GRPRF | 0.13 | (0.06) | 0.00 | (0.40) | 0.00 | 0.00 | 5.73 | |||
| ENJPY | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| SREMF | 5.19 | 1.25 | 0.19 | 4.69 | 5.64 | 13.57 | 38.95 | |||
| NLLSY | 0.73 | (0.07) | 0.00 | 0.25 | 0.00 | 1.19 | 14.90 | |||
| ABHBY | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| NOKFF | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| NLLSF | 3.01 | 0.07 | 0.00 | (2.33) | 3.33 | 4.76 | 17.42 | |||
| HBGRF | 0.69 | 0.37 | 0.00 | (1.23) | 0.00 | 0.00 | 18.92 |
About Applied Energetics Volatility
Volatility is a rate at which the price of Applied Energetics or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of Applied Energetics may increase or decrease. In other words, similar to Applied's beta indicator, it measures the risk of Applied Energetics and helps estimate the fluctuations that may happen in a short period of time. So if prices of Applied Energetics fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.Applied Energetics, Inc. engages in the development and manufacture of lasers, advanced optical systems, electronics, and integrated guided energy systems for defense, aerospace, industrial, and scientific customers worldwide. It holds various intellectual property rights to the development and use of laser guided energy technology and related solutions for commercial, defense, and security applications, and are protected by 26 patents and 11 additional Government sensitive patent applications. Applied Energetics operates under Aerospace Defense classification in the United States and is traded on OTC Exchange. It employs 7 people.
Applied Energetics' stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on Applied OTC Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Applied Energetics' price varies over time.
3 ways to utilize Applied Energetics' volatility to invest better
Higher Applied Energetics' stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Applied Energetics stock is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. Applied Energetics stock volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of Applied Energetics investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Applied Energetics' stock can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of Applied Energetics' stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Applied Energetics Investment Opportunity
Applied Energetics has a volatility of 3.87 and is 4.78 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of Applied Energetics is lower than 34 percent of all global equities and portfolios over the last 90 days. You can use Applied Energetics to protect your portfolios against small market fluctuations. The otc stock experiences a moderate downward daily trend which may be unreasonably hyped up. Check odds of Applied Energetics to be traded at $1.1466 in 90 days.Average diversification
The correlation between Applied Energetics and DJI is 0.18 (i.e., Average diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Applied Energetics and DJI in the same portfolio, assuming nothing else is changed.
Applied Energetics Additional Risk Indicators
The analysis of Applied Energetics' secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in Applied Energetics' investment and either accepting that risk or mitigating it. Along with some common measures of Applied Energetics otc stock's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | (0.10) | |||
| Market Risk Adjusted Performance | (0.72) | |||
| Mean Deviation | 2.62 | |||
| Coefficient Of Variation | (745.38) | |||
| Standard Deviation | 3.81 | |||
| Variance | 14.5 | |||
| Information Ratio | (0.16) |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential otc stocks, we recommend comparing similar otcs with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Applied Energetics Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against Applied Energetics as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. Applied Energetics' systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, Applied Energetics' unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to Applied Energetics.
Complementary Tools for Applied OTC Stock analysis
When running Applied Energetics' price analysis, check to measure Applied Energetics' 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 Applied Energetics is operating at the current time. Most of Applied Energetics' value examination focuses on studying past and present price action to predict the probability of Applied Energetics' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Applied Energetics' price. Additionally, you may evaluate how the addition of Applied Energetics to your portfolios can decrease your overall portfolio volatility.
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets | |
| AI Portfolio Prophet Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance |