Dream Homes Development Stock Volatility
| DREM Stock | USD 0.02 0.0004 2.23% |
Dream Homes is out of control given 3 months investment horizon. Dream Homes Development secures Sharpe Ratio (or Efficiency) of 0.12, which denotes the company had a 0.12 % return per unit of standard deviation over the last 3 months. We were able to analyze and collect data for thirty different technical indicators, which can help you to evaluate if expected returns of 2.37% are justified by taking the suggested risk. Use Dream Homes Downside Deviation of 23.9, mean deviation of 8.05, and Semi Deviation of 8.05 to evaluate company specific risk that cannot be diversified away.
Sharpe Ratio = 0.124
| High Returns | Best Equity | |||
| Good Returns | ||||
| Average Returns | DREM | |||
| Small Returns | ||||
| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns |
Based on monthly moving average Dream Homes is performing at about 9% of its full potential. 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 Dream Homes by adding it to a well-diversified portfolio.
Key indicators related to Dream Homes' volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Dream Homes 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 Dream daily returns, and it is calculated using variance and standard deviation. We also use Dream's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Dream Homes volatility.
Dream |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Dream Homes can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of Dream Homes at lower prices. For example, an investor can purchase Dream stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of Dream Homes' stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns. Main indicators related to Dream Homes' market risk premium analysis include:
Beta (6.77) | Alpha 2 | Risk 19.08 | Sharpe Ratio 0.12 | Expected Return 2.37 |
Moving together with Dream Pink Sheet
| 0.64 | GOOG | Alphabet Class C Earnings Call This Week | PairCorr |
| 0.68 | MRK | Merck Company Earnings Call This Week | PairCorr |
Moving against Dream Pink Sheet
Dream Homes Market Sensitivity And Downside Risk
Dream Homes' beta coefficient measures the volatility of Dream pink sheet 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 Dream pink sheet's returns against your selected market. In other words, Dream Homes's beta of -6.77 provides an investor with an approximation of how much risk Dream Homes pink sheet can potentially add to one of your existing portfolios. Dream Homes Development is showing large volatility of returns over the selected time horizon. Dream Homes Development is a penny stock. Although Dream Homes may be in fact a good investment, many penny pink sheets are subject to artificial price hype. Make sure you completely understand the upside potential and downside risk of investing in Dream Homes Development. We encourage investors to look for signals such as message board hypes, claims of breakthroughs, email spams, sudden volume upswings, and other similar hype indicators. We also encourage traders to check biographies and work history of company officers before investing in instruments with high volatility. You can indeed make money on Dream instrument if you perfectly time your entry and exit. However, remember that penny pink sheets 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 Dream Homes Development Demand TrendCheck current 90 days Dream Homes correlation with market (Dow Jones Industrial)Dream Homes Volatility and Downside Risk
Dream 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.
Dream Homes Development Pink Sheet Volatility Analysis
Volatility refers to the frequency at which Dream Homes pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Dream Homes' price changes. Investors will then calculate the volatility of Dream Homes' 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 Dream Homes' volatility:
Historical Volatility
This type of pink sheet volatility measures Dream Homes' fluctuations based on previous trends. It's commonly used to predict Dream Homes' 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 Dream Homes' 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 Dream Homes' 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. Dream Homes Development 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.
Dream Homes Projected Return Density Against Market
Given the investment horizon of 90 days Dream Homes Development has a beta of -6.7718 suggesting as returns on its benchmark rise, returns on holding Dream Homes Development are expected to decrease by similarly larger amounts. On the other hand, during market turmoils, Dream Homes is expected to outperform its benchmark.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 Dream Homes or Consumer Cyclical 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 Dream Homes' 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 Dream 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.
Dream Homes Development has an alpha of 1.9979, implying that it can generate a 2.0 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a Dream Homes 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.Dream Homes Pink Sheet Risk Measures
Given the investment horizon of 90 days the coefficient of variation of Dream Homes is 806.65. The daily returns are distributed with a variance of 363.94 and standard deviation of 19.08. The mean deviation of Dream Homes Development is currently at 8.34. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.72
α | Alpha over Dow Jones | 2.00 | |
β | Beta against Dow Jones | -6.77 | |
σ | Overall volatility | 19.08 | |
Ir | Information ratio | 0.09 |
Dream Homes Pink Sheet Return Volatility
Dream Homes historical daily return volatility represents how much of Dream Homes pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 19.0773% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7413% 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 Dream Pink Sheet performing well and Dream Homes Company 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 Dream Homes' 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| BDVB | 2.91 | 0.30 | 0.04 | 0.15 | 4.00 | 10.86 | 65.85 | |||
| KITL | 9.60 | (0.11) | 0.00 | 0.55 | 0.00 | 21.74 | 80.56 | |||
| CHSH | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| SSTU | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| GMER | 6.44 | 0.05 | 0.01 | 0.05 | 6.90 | 15.94 | 85.29 | |||
| ZAAG | 62.64 | 29.24 | 0.00 | (4.71) | 0.00 | 0.00 | 1,100 | |||
| TIPS | 25.05 | 5.74 | 0.19 | (1.21) | 21.72 | 79.23 | 177.44 | |||
| DHHXF | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | |||
| RVRVF | 10.54 | 3.29 | 0.00 | 2.43 | 0.00 | 19.30 | 181.99 | |||
| CAGR | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
About Dream Homes Volatility
Volatility is a rate at which the price of Dream Homes 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 Dream Homes may increase or decrease. In other words, similar to Dream's beta indicator, it measures the risk of Dream Homes and helps estimate the fluctuations that may happen in a short period of time. So if prices of Dream Homes 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.Dream Homes Development Corporation operates as a new home builder, general contractor, and elevation specialist in the United States. Dream Homes Development Corporation was incorporated in 2009 and is headquartered in Forked River, New Jersey. Dream Homes operates under Residential Construction classification in the United States and is traded on OTC Exchange. It employs 13 people.
Dream Homes' 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 Dream Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Dream Homes' price varies over time.
3 ways to utilize Dream Homes' volatility to invest better
Higher Dream Homes' stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Dream Homes Development 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. Dream Homes Development 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 Dream Homes Development investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Dream Homes' 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 Dream Homes' stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Dream Homes Investment Opportunity
Dream Homes Development has a volatility of 19.08 and is 25.78 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of Dream Homes Development is higher than 96 percent of all global equities and portfolios over the last 90 days. You can use Dream Homes Development to protect your portfolios against small market fluctuations. The pink sheet experiences an unexpected downward movement. The market is reacting to new fundamentals. Check odds of Dream Homes to be traded at $0.0168 in 90 days.Modest diversification
The correlation between Dream Homes Development and DJI is 0.27 (i.e., Modest diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Dream Homes Development and DJI in the same portfolio, assuming nothing else is changed.
Dream Homes Additional Risk Indicators
The analysis of Dream Homes' 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 Dream Homes' investment and either accepting that risk or mitigating it. Along with some common measures of Dream Homes pink sheet'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 | 0.0767 | |||
| Market Risk Adjusted Performance | (0.25) | |||
| Mean Deviation | 8.05 | |||
| Semi Deviation | 8.05 | |||
| Downside Deviation | 23.9 | |||
| Coefficient Of Variation | 1078.91 | |||
| Standard Deviation | 19.11 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential pink sheets, we recommend comparing similar pink sheets with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Dream Homes 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 Dream Homes 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. Dream Homes' 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, Dream Homes' 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 Dream Homes Development.
Other Information on Investing in Dream Pink Sheet
Dream Homes financial ratios help investors to determine whether Dream Pink Sheet 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 Dream with respect to the benefits of owning Dream Homes security.