Grupo Lamosa (Mexico) Volatility
| LAMOSA Stock | MXN 115.98 0.02 0.02% |
Grupo Lamosa SAB holds Efficiency (Sharpe) Ratio of -0.1, which attests that the entity had a -0.1% return per unit of risk over the last 3 months. Grupo Lamosa SAB exposes twenty-one different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check out Grupo Lamosa's Risk Adjusted Performance of (0.08), standard deviation of 0.5038, and Market Risk Adjusted Performance of 1.37 to validate the risk estimate we provide. Key indicators related to Grupo Lamosa's volatility include:
360 Days Market Risk | Chance Of Distress | 360 Days Economic Sensitivity |
Grupo Lamosa 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 Grupo daily returns, and it is calculated using variance and standard deviation. We also use Grupo's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Grupo Lamosa volatility.
Grupo |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Grupo Lamosa 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 Grupo Lamosa at lower prices to lower their average cost per share. Similarly, when the prices of Grupo Lamosa's stock rise, investors can sell out and invest the proceeds in other equities with better opportunities.
Moving against Grupo Stock
| 0.68 | EDUCA18 | Fideicomiso Irrevocable | PairCorr |
| 0.6 | PINFRAL | Promotora y Operadora | PairCorr |
| 0.57 | STORAGE18 | FIBRA Storage | PairCorr |
| 0.56 | MNST | Monster Beverage Corp | PairCorr |
Grupo Lamosa Market Sensitivity And Downside Risk
Grupo Lamosa's beta coefficient measures the volatility of Grupo 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 Grupo stock's returns against your selected market. In other words, Grupo Lamosa's beta of -0.0443 provides an investor with an approximation of how much risk Grupo Lamosa stock can potentially add to one of your existing portfolios. Grupo Lamosa SAB exhibits very low volatility with skewness of -1.16 and kurtosis of 15.04. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Grupo Lamosa's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Grupo Lamosa's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.
3 Months Beta |Analyze Grupo Lamosa SAB Demand TrendCheck current 90 days Grupo Lamosa correlation with market (Dow Jones Industrial)Grupo Beta |
Grupo 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 | 0.52 |
It is essential to understand the difference between upside risk (as represented by Grupo Lamosa's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Grupo Lamosa's daily returns or price. Since the actual investment returns on holding a position in grupo 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 Grupo Lamosa.
Grupo Lamosa SAB Stock Volatility Analysis
Volatility refers to the frequency at which Grupo Lamosa stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Grupo Lamosa's price changes. Investors will then calculate the volatility of Grupo Lamosa'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 Grupo Lamosa's volatility:
Historical Volatility
This type of stock volatility measures Grupo Lamosa's fluctuations based on previous trends. It's commonly used to predict Grupo Lamosa'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 Grupo Lamosa'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 Grupo Lamosa'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. Grupo Lamosa SAB 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.
Grupo Lamosa Projected Return Density Against Market
Assuming the 90 days trading horizon Grupo Lamosa SAB has a beta of -0.0443 . This indicates as returns on the benchmark increase, returns on holding Grupo Lamosa are expected to decrease at a much lower rate. During a bear market, however, Grupo Lamosa SAB 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 Grupo Lamosa or Building Products 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 Grupo Lamosa'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 Grupo 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.
Grupo Lamosa SAB 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 Grupo Lamosa 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.Grupo Lamosa Stock Risk Measures
Assuming the 90 days trading horizon the coefficient of variation of Grupo Lamosa is -962.05. The daily returns are distributed with a variance of 0.27 and standard deviation of 0.52. The mean deviation of Grupo Lamosa SAB is currently at 0.21. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.77
α | Alpha over Dow Jones | -0.06 | |
β | Beta against Dow Jones | -0.04 | |
σ | Overall volatility | 0.52 | |
Ir | Information ratio | -0.35 |
Grupo Lamosa Stock Return Volatility
Grupo Lamosa historical daily return volatility represents how much of Grupo Lamosa stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company accepts 0.5242% volatility on return distribution over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7496% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Grupo Lamosa Volatility
Volatility is a rate at which the price of Grupo Lamosa 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 Grupo Lamosa may increase or decrease. In other words, similar to Grupo's beta indicator, it measures the risk of Grupo Lamosa and helps estimate the fluctuations that may happen in a short period of time. So if prices of Grupo Lamosa 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.Grupo Lamosa, S.A.B. de C.V., together with its subsidiaries, manufactures and commercializes ceramic products for wall and floor coverings in North America, Central America, and South America. Grupo Lamosa, S.A.B. de C.V. was founded in 1890 and is based in San Pedro Garza Garca, Mexico. Grupo Lamosa operates under Building Materials classification in Mexico and is traded on Mexico Stock Exchange. It employs 6746 people.
Grupo Lamosa'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 Grupo Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Grupo Lamosa's price varies over time.
3 ways to utilize Grupo Lamosa's volatility to invest better
Higher Grupo Lamosa's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Grupo Lamosa SAB 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. Grupo Lamosa SAB 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 Grupo Lamosa SAB investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Grupo Lamosa'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 Grupo Lamosa's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Grupo Lamosa Investment Opportunity
Dow Jones Industrial has a standard deviation of returns of 0.75 and is 1.44 times more volatile than Grupo Lamosa SAB. 4 percent of all equities and portfolios are less risky than Grupo Lamosa. You can use Grupo Lamosa SAB to protect your portfolios against small market fluctuations. The stock experiences a normal downward trend and little activity. Check odds of Grupo Lamosa to be traded at 114.82 in 90 days.Good diversification
The correlation between Grupo Lamosa SAB and DJI is -0.07 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Grupo Lamosa SAB and DJI in the same portfolio, assuming nothing else is changed.
Grupo Lamosa Additional Risk Indicators
The analysis of Grupo Lamosa'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 Grupo Lamosa's investment and either accepting that risk or mitigating it. Along with some common measures of Grupo Lamosa 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 | (0.08) | |||
| Market Risk Adjusted Performance | 1.37 | |||
| Mean Deviation | 0.1953 | |||
| Coefficient Of Variation | (1,000) | |||
| Standard Deviation | 0.5038 | |||
| Variance | 0.2538 | |||
| Information Ratio | (0.35) |
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.
Grupo Lamosa 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 Grupo Lamosa 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. Grupo Lamosa'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, Grupo Lamosa'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 Grupo Lamosa SAB.
Complementary Tools for Grupo Stock analysis
When running Grupo Lamosa's price analysis, check to measure Grupo Lamosa's 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 Grupo Lamosa is operating at the current time. Most of Grupo Lamosa's value examination focuses on studying past and present price action to predict the probability of Grupo Lamosa's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Grupo Lamosa's price. Additionally, you may evaluate how the addition of Grupo Lamosa to your portfolios can decrease your overall portfolio volatility.
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Earnings Calls Check upcoming earnings announcements updated hourly across public exchanges | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities |