Chonburi Concrete (Thailand) Volatility
| CCP Stock | THB 0.29 0.01 3.33% |
Chonburi Concrete is out of control given 3 months investment horizon. Chonburi Concrete Product secures Sharpe Ratio (or Efficiency) of 0.11, which signifies that the company had a 0.11% return per unit of risk over the last 3 months. We were able to interpolate data for twenty-nine different technical indicators, which can help you to evaluate if expected returns of 14.25% are justified by taking the suggested risk. Use Chonburi Concrete Mean Deviation of 1.56, risk adjusted performance of 0.0689, and Downside Deviation of 3.32 to evaluate company specific risk that cannot be diversified away. Key indicators related to Chonburi Concrete's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Chonburi Concrete 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 Chonburi daily returns, and it is calculated using variance and standard deviation. We also use Chonburi's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Chonburi Concrete volatility.
Chonburi |
Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of Chonburi Concrete at lower prices. For example, an investor can purchase Chonburi stock that has halved in price over a short period. This will lower their average cost per share, thereby improving the overall portfolio performance when market normalizes.
Moving together with Chonburi Stock
Chonburi Concrete Market Sensitivity And Downside Risk
Chonburi Concrete's beta coefficient measures the volatility of Chonburi 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 Chonburi stock's returns against your selected market. In other words, Chonburi Concrete's beta of -0.62 provides an investor with an approximation of how much risk Chonburi Concrete stock can potentially add to one of your existing portfolios. Chonburi Concrete Product shows above-average downside volatility for the selected time horizon. Chonburi Concrete Product is a potential penny stock. Although Chonburi Concrete may be in fact a good instrument to invest, many penny 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 Chonburi Concrete Product. 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 Chonburi instrument if you perfectly time your entry and exit. However, remember that penny stocks 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 Chonburi Concrete Product Demand TrendCheck current 90 days Chonburi Concrete correlation with market (Dow Jones Industrial)Chonburi Beta |
Chonburi 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.
Standard Deviation | 126.84 |
It is essential to understand the difference between upside risk (as represented by Chonburi Concrete's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Chonburi Concrete's daily returns or price. Since the actual investment returns on holding a position in chonburi stock tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in Chonburi Concrete.
Chonburi Concrete Product Stock Volatility Analysis
Volatility refers to the frequency at which Chonburi Concrete stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Chonburi Concrete's price changes. Investors will then calculate the volatility of Chonburi Concrete's stock to predict their future moves. A stock that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A stock with relatively stable price changes has low volatility. A highly volatile stock 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 Chonburi Concrete's volatility:
Historical Volatility
This type of stock volatility measures Chonburi Concrete's fluctuations based on previous trends. It's commonly used to predict Chonburi Concrete's future behavior based on its past. However, it cannot conclusively determine the future direction of the stock.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for Chonburi Concrete's current market price. This means that the stock will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Chonburi Concrete's 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. Chonburi Concrete Product 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.
Chonburi Concrete Projected Return Density Against Market
Assuming the 90 days trading horizon Chonburi Concrete Product has a beta of -0.6178 suggesting as returns on the benchmark increase, returns on holding Chonburi Concrete are expected to decrease at a much lower rate. During a bear market, however, Chonburi Concrete Product is likely to outperform the market.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 Chonburi Concrete or Construction Materials 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 Chonburi Concrete's price will be affected by overall 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 Chonburi stock'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.
Chonburi Concrete Product has an alpha of 0.2564, implying that it can generate a 0.26 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a Chonburi Concrete Price Volatility?
Several factors can influence a stock'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 many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.Chonburi Concrete Stock Risk Measures
Assuming the 90 days trading horizon the coefficient of variation of Chonburi Concrete is 889.83. The daily returns are distributed with a variance of 16088.46 and standard deviation of 126.84. The mean deviation of Chonburi Concrete Product is currently at 31.29. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.76
α | Alpha over Dow Jones | 0.26 | |
β | Beta against Dow Jones | -0.62 | |
σ | Overall volatility | 126.84 | |
Ir | Information ratio | 0.03 |
Chonburi Concrete Stock Return Volatility
Chonburi Concrete historical daily return volatility represents how much of Chonburi Concrete stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company assumes 126.8403% volatility of returns over the 90 days investment horizon. By contrast, Dow Jones Industrial accepts 0.7736% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Chonburi Concrete Volatility
Volatility is a rate at which the price of Chonburi Concrete 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 Chonburi Concrete may increase or decrease. In other words, similar to Chonburi's beta indicator, it measures the risk of Chonburi Concrete and helps estimate the fluctuations that may happen in a short period of time. So if prices of Chonburi Concrete 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.Chonburi Concrete Product Public Company Limited manufactures and distributes concrete products and ready mixed concrete in Thailand. Chonburi Concrete Product Public Company Limited was founded in 1983 and is based in Chonburi, Thailand. CHONBURI CONCRETE operates under Building Materials classification in Thailand and is traded on Stock Exchange of Thailand.
Chonburi Concrete's 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 Chonburi Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Chonburi Concrete's price varies over time.
3 ways to utilize Chonburi Concrete's volatility to invest better
Higher Chonburi Concrete's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Chonburi Concrete Product 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. Chonburi Concrete Product 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 Chonburi Concrete Product investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Chonburi Concrete's 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 Chonburi Concrete's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Chonburi Concrete Investment Opportunity
Chonburi Concrete Product has a volatility of 126.84 and is 164.73 times more volatile than Dow Jones Industrial. 96 percent of all equities and portfolios are less risky than Chonburi Concrete. You can use Chonburi Concrete Product to protect your portfolios against small market fluctuations. The stock experiences an unexpected downward movement. The market is reacting to new fundamentals. Check odds of Chonburi Concrete to be traded at 0.2784 in 90 days.Good diversification
The correlation between Chonburi Concrete Product and DJI is -0.2 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Chonburi Concrete Product and DJI in the same portfolio, assuming nothing else is changed.
Chonburi Concrete Additional Risk Indicators
The analysis of Chonburi Concrete's 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 Chonburi Concrete's investment and either accepting that risk or mitigating it. Along with some common measures of Chonburi Concrete 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 | 0.0689 | |||
| Market Risk Adjusted Performance | (0.29) | |||
| Mean Deviation | 1.56 | |||
| Semi Deviation | 1.55 | |||
| Downside Deviation | 3.32 | |||
| Coefficient Of Variation | 1230.81 | |||
| Standard Deviation | 2.38 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential stocks, we recommend comparing similar stocks with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Chonburi Concrete 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 Chonburi Concrete 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. Chonburi Concrete's 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, Chonburi Concrete's 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 Chonburi Concrete Product.
Other Information on Investing in Chonburi Stock
Chonburi Concrete financial ratios help investors to determine whether Chonburi 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 Chonburi with respect to the benefits of owning Chonburi Concrete security.