Gores Holdings Ix Stock Volatility
| GHIXW Stock | USD 0 0.0003 15.79% |
Gores Holdings is out of control given 3 months investment horizon. Gores Holdings IX holds Efficiency (Sharpe) Ratio of 0.24, which attests that the entity had a 0.24% return per unit of risk over the last 3 months. We have analyzed and interpolated twenty-four different technical indicators, which can help you to evaluate if expected returns of 65.79% are justified by taking the suggested risk. Use Gores Holdings IX Risk Adjusted Performance of (0.07), market risk adjusted performance of (14.24), and Standard Deviation of 20.2 to evaluate company specific risk that cannot be diversified away. Key indicators related to Gores Holdings' volatility include:
720 Days Market Risk | Chance Of Distress | 720 Days Economic Sensitivity |
Gores Holdings 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 Gores daily returns, and it is calculated using variance and standard deviation. We also use Gores's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Gores Holdings volatility.
Gores |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Gores Holdings 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 Gores Holdings at lower prices. For example, an investor can purchase Gores 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 Gores Holdings' 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.
Moving against Gores Stock
| 0.67 | BK | Bank of New York Fiscal Year End 10th of January 2025 | PairCorr |
| 0.66 | MAIN | Main Street Capital | PairCorr |
| 0.62 | AXP | American Express Fiscal Year End 24th of January 2025 | PairCorr |
| 0.62 | OWL | Blue Owl Capital | PairCorr |
| 0.62 | ARCC | Ares Capital | PairCorr |
| 0.6 | APO | Apollo Global Management | PairCorr |
| 0.6 | BLK | BlackRock Fiscal Year End 10th of January 2025 | PairCorr |
| 0.59 | CG | Carlyle Group | PairCorr |
| 0.59 | ARES | Ares Management LP | PairCorr |
Gores Holdings Market Sensitivity And Downside Risk
Gores Holdings' beta coefficient measures the volatility of Gores 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 Gores stock's returns against your selected market. In other words, Gores Holdings's beta of 0.14 provides an investor with an approximation of how much risk Gores Holdings stock can potentially add to one of your existing portfolios. Gores Holdings IX is displaying above-average volatility over the selected time horizon. Gores Holdings IX is a penny stock. Even though Gores Holdings may be a good instrument to invest, many penny stocks are speculative instruments that are subject to artificial stock promotions. Please make sure you fully understand upside and downside scenarios of investing in Gores Holdings IX or similar risky assets. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings,sudden promotions and many other similar artificial hype indicators. We also encourage traders to check work history of company executives before investing in high-volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Gores 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 Gores Holdings IX Demand TrendCheck current 90 days Gores Holdings correlation with market (Dow Jones Industrial)Gores Beta |
Gores 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 | 271.21 |
It is essential to understand the difference between upside risk (as represented by Gores Holdings's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Gores Holdings' daily returns or price. Since the actual investment returns on holding a position in gores 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 Gores Holdings.
Gores Holdings IX Stock Volatility Analysis
Volatility refers to the frequency at which Gores Holdings stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Gores Holdings' price changes. Investors will then calculate the volatility of Gores Holdings' 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 Gores Holdings' volatility:
Historical Volatility
This type of stock volatility measures Gores Holdings' fluctuations based on previous trends. It's commonly used to predict Gores Holdings' 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 Gores Holdings' 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 Gores Holdings' 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. Gores Holdings IX 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.
Gores Holdings Projected Return Density Against Market
Assuming the 90 days horizon Gores Holdings has a beta of 0.1426 . This usually indicates as returns on the market go up, Gores Holdings average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Gores Holdings IX 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 Gores Holdings or Capital Markets 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 Gores Holdings' 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 Gores 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.
Gores Holdings IX has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Predicted Return Density |
| Returns |
What Drives a Gores Holdings 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.Gores Holdings Stock Risk Measures
Assuming the 90 days horizon the coefficient of variation of Gores Holdings is 412.23. The daily returns are distributed with a variance of 73554.98 and standard deviation of 271.21. The mean deviation of Gores Holdings IX is currently at 139.53. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.76
α | Alpha over Dow Jones | -2.05 | |
β | Beta against Dow Jones | 0.14 | |
σ | Overall volatility | 271.21 | |
Ir | Information ratio | -0.11 |
Gores Holdings Stock Return Volatility
Gores Holdings historical daily return volatility represents how much of Gores Holdings stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The venture shows 271.2102% volatility of returns over 90 . By contrast, Dow Jones Industrial accepts 0.7734% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Gores Holdings Volatility
Volatility is a rate at which the price of Gores Holdings 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 Gores Holdings may increase or decrease. In other words, similar to Gores's beta indicator, it measures the risk of Gores Holdings and helps estimate the fluctuations that may happen in a short period of time. So if prices of Gores Holdings 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.| Last Reported | Projected for Next Year | ||
| Selling And Marketing Expenses | 1.7 M | 1.5 M |
Gores Holdings' 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 Gores Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Gores Holdings' price varies over time.
3 ways to utilize Gores Holdings' volatility to invest better
Higher Gores Holdings' stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Gores Holdings IX 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. Gores Holdings IX 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 Gores Holdings IX investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Gores Holdings' 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 Gores Holdings' stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Gores Holdings Investment Opportunity
Gores Holdings IX has a volatility of 271.21 and is 352.22 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of Gores Holdings IX is higher than 96 percent of all global equities and portfolios over the last 90 days. You can use Gores Holdings IX to protect your portfolios against small market fluctuations. The stock experiences a very speculative upward sentiment. Check odds of Gores Holdings to be traded at $0.0015 in 90 days.Significant diversification
The correlation between Gores Holdings IX and DJI is 0.01 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Gores Holdings IX and DJI in the same portfolio, assuming nothing else is changed.
Gores Holdings Additional Risk Indicators
The analysis of Gores Holdings' 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 Gores Holdings' investment and either accepting that risk or mitigating it. Along with some common measures of Gores Holdings 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 | (0.07) | |||
| Market Risk Adjusted Performance | (14.24) | |||
| Mean Deviation | 9.65 | |||
| Coefficient Of Variation | (999.23) | |||
| Standard Deviation | 20.2 | |||
| Variance | 408.12 | |||
| Information Ratio | (0.11) |
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.
Gores Holdings 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 Gores Holdings 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. Gores Holdings' 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, Gores Holdings' 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 Gores Holdings IX.
Additional Tools for Gores Stock Analysis
When running Gores Holdings' price analysis, check to measure Gores Holdings' 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 Gores Holdings is operating at the current time. Most of Gores Holdings' value examination focuses on studying past and present price action to predict the probability of Gores Holdings' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Gores Holdings' price. Additionally, you may evaluate how the addition of Gores Holdings to your portfolios can decrease your overall portfolio volatility.