China Enterprises Limited Stock Volatility
| CSHEF Stock | USD 0.0001 0.00 0.00% |
China Enterprises secures Sharpe Ratio (or Efficiency) of 0.12, which signifies that the company had a 0.12 % return per unit of risk over the last 3 months. We were able to analyze and collect data for three different technical indicators, which can help you to evaluate if expected returns of 15.25% are justified by taking the suggested risk. Key indicators related to China Enterprises' volatility include:
30 Days Market Risk | Chance Of Distress | 30 Days Economic Sensitivity |
China Enterprises Pink Sheet 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 China daily returns, and it is calculated using variance and standard deviation. We also use China's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of China Enterprises volatility.
China |
China Enterprises Pink Sheet Volatility Analysis
Volatility refers to the frequency at which China Enterprises pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with China Enterprises' price changes. Investors will then calculate the volatility of China Enterprises' pink sheet to predict their future moves. A pink sheet that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A pink sheet with relatively stable price changes has low volatility. A highly volatile pink sheet 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 China Enterprises' volatility:
Historical Volatility
This type of pink sheet volatility measures China Enterprises' fluctuations based on previous trends. It's commonly used to predict China Enterprises' future behavior based on its past. However, it cannot conclusively determine the future direction of the pink sheet.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for China Enterprises' current market price. This means that the pink sheet will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on China Enterprises' 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. China Enterprises 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.
China Enterprises Projected Return Density Against Market
Assuming the 90 days horizon China Enterprises has a beta that is very close to zero suggesting the returns on DOW JONES INDUSTRIAL and China Enterprises do not appear to be reactive.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 China Enterprises or Hotels, Restaurants & Leisure 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 China Enterprises' price will be affected by overall pink sheet 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 China pink sheet'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.
It does not look like China Enterprises' alpha can have any bearing on the current valuation. Predicted Return Density |
| Returns |
What Drives a China Enterprises Price Volatility?
Several factors can influence a pink sheet'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.China Enterprises Pink Sheet Risk Measures
Assuming the 90 days horizon the coefficient of variation of China Enterprises is 859.18. The daily returns are distributed with a variance of 17177.09 and standard deviation of 131.06. The mean deviation of China Enterprises Limited is currently at 33.38. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.84
α | Alpha over Dow Jones | 0.00 | |
β | Beta against Dow Jones | 0.00 | |
σ | Overall volatility | 131.06 | |
Ir | Information ratio | 0.00 |
China Enterprises Pink Sheet Return Volatility
China Enterprises historical daily return volatility represents how much of China Enterprises pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company shows 131.0614% volatility of returns over 90 . By contrast, Dow Jones Industrial accepts 0.8567% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About China Enterprises Volatility
Volatility is a rate at which the price of China Enterprises 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 China Enterprises may increase or decrease. In other words, similar to China's beta indicator, it measures the risk of China Enterprises and helps estimate the fluctuations that may happen in a short period of time. So if prices of China Enterprises 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.China Enterprises Limited engages in golf resort business in Hong Kong. The company was incorporated in 1993 and is based in Quarry Bay, Hong Kong. CHINA ENTERPRISES is traded on PNK Exchange in the United States.
China Enterprises' 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 China Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much China Enterprises' price varies over time.
3 ways to utilize China Enterprises' volatility to invest better
Higher China Enterprises' stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of China Enterprises 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. China Enterprises 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 China Enterprises investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in China Enterprises' 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 China Enterprises' stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
China Enterprises Investment Opportunity
China Enterprises Limited has a volatility of 131.06 and is 152.4 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of China Enterprises Limited is higher than 96 percent of all global equities and portfolios over the last 90 days. You can use China Enterprises Limited to protect your portfolios against small market fluctuations. The pink sheet experiences a normal downward fluctuation but is a risky buy. Check odds of China Enterprises to be traded at $1.0E-4 in 90 days.Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.
China Enterprises 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 China Enterprises 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. China Enterprises' 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, China Enterprises' 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 China Enterprises Limited.
Complementary Tools for China Pink Sheet analysis
When running China Enterprises' price analysis, check to measure China Enterprises' 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 China Enterprises is operating at the current time. Most of China Enterprises' value examination focuses on studying past and present price action to predict the probability of China Enterprises' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move China Enterprises' price. Additionally, you may evaluate how the addition of China Enterprises to your portfolios can decrease your overall portfolio volatility.
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