Medallion Financial Corp Stock Volatility
| MFIN Stock | USD 10.33 0.06 0.58% |
As of now, Medallion Stock is not too volatile. Medallion Financial Corp has Sharpe Ratio of 0.0923, which conveys that the firm had a 0.0923 % return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Medallion Financial, which you can use to evaluate the volatility of the firm. Please verify Medallion Financial's Risk Adjusted Performance of 0.0456, downside deviation of 1.52, and Mean Deviation of 1.29 to check out if the risk estimate we provide is consistent with the expected return of 0.15%.
Sharpe Ratio = 0.0923
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Based on monthly moving average Medallion Financial is performing at about 7% 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 Medallion Financial by adding it to a well-diversified portfolio.
Key indicators related to Medallion Financial's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Medallion Financial 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 Medallion daily returns, and it is calculated using variance and standard deviation. We also use Medallion's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Medallion Financial volatility.
Medallion | Build AI portfolio with Medallion Stock |
ESG Sustainability
While most ESG disclosures are voluntary, Medallion Financial's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Medallion Financial's managers and investors.Environmental | Governance | Social |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Medallion Financial 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 Medallion Financial at lower prices. For example, an investor can purchase Medallion 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 Medallion Financial's 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 Medallion Financial's market risk premium analysis include:
Beta 1.08 | Alpha 0.008089 | Risk 1.64 | Sharpe Ratio 0.0923 | Expected Return 0.15 |
Moving together with Medallion Stock
| 0.69 | 4L0 | OPORTUN FINL DL | PairCorr |
| 0.7 | ECPG | Encore Capital Group | PairCorr |
| 0.75 | ENVA | Enova International | PairCorr |
| 0.65 | AXP | American Express | PairCorr |
| 0.83 | BFH | Bread Financial Holdings | PairCorr |
| 0.7 | COF | Capital One Financial | PairCorr |
| 0.81 | LID | Alliance Data Systems | PairCorr |
Moving against Medallion Stock
| 0.51 | CFXE | CAPITAL ONE FIN | PairCorr |
| 0.46 | FRS | FORIS AG | PairCorr |
| 0.43 | LX | Lexinfintech Holdings | PairCorr |
| 0.38 | 1QU | Qudian Inc | PairCorr |
Medallion Financial Market Sensitivity And Downside Risk
Medallion Financial's beta coefficient measures the volatility of Medallion 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 Medallion stock's returns against your selected market. In other words, Medallion Financial's beta of 1.08 provides an investor with an approximation of how much risk Medallion Financial stock can potentially add to one of your existing portfolios. Medallion Financial Corp has relatively low volatility with skewness of 0.41 and kurtosis of 0.15. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Medallion Financial'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 Medallion Financial'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 Medallion Financial Corp Demand TrendCheck current 90 days Medallion Financial correlation with market (Dow Jones Industrial)Medallion Financial Volatility and Downside Risk
Medallion 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.
Using Medallion Put Option to Manage Risk
Put options written on Medallion Financial grant holders of the option the right to sell a specified amount of Medallion Financial at a specified price within a specified time frame. The put buyer has a limited loss and, while not fully unlimited gains, as the price of Medallion Stock cannot fall below zero, the put buyer does gain as the price drops. So, one way investors can hedge Medallion Financial's position is by buying a put option against it. The put option used this way is usually referred to as insurance. If an undesired outcome occurs and loss on holding Medallion Financial will be realized, the loss incurred will be offset by the profits made with the option trade.
Medallion Financial's PUT expiring on 2026-05-15
Profit |
| Medallion Financial Price At Expiration |
Current Medallion Financial Insurance Chain
| Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
Put | MFIN260515P00005000 | -0.112102 | 0.017764 | 2 | 2026-05-15 | 0.0 - 1.0 | 0.0 | View |
Put | MFIN260515P00007500 | -0.14003 | 0.062305 | 15 | 2026-05-15 | 0.0 - 0.3 | 0.0 | View |
Put | MFIN260515P00010000 | -0.407563 | 0.189444 | 1 | 2026-05-15 | 0.3 - 1.05 | 0.0 | View |
Medallion Financial Corp Stock Volatility Analysis
Volatility refers to the frequency at which Medallion Financial stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Medallion Financial's price changes. Investors will then calculate the volatility of Medallion Financial'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 Medallion Financial's volatility:
Historical Volatility
This type of stock volatility measures Medallion Financial's fluctuations based on previous trends. It's commonly used to predict Medallion Financial'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 Medallion Financial'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 Medallion Financial'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. Medallion Financial Corp 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.
Medallion Financial Projected Return Density Against Market
Given the investment horizon of 90 days the stock has the beta coefficient of 1.08 . This indicates Medallion Financial Corp market returns are highly reactive to returns on the market. As the market goes up or down, Medallion Financial is expected to follow.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 Medallion Financial or Consumer Finance 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 Medallion Financial'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 Medallion 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.
Predicted Return Density |
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What Drives a Medallion Financial 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 investor attention to the company. This positive attention may impact the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.Medallion Financial Stock Risk Measures
Given the investment horizon of 90 days the coefficient of variation of Medallion Financial is 1083.35. The daily returns are distributed with a variance of 2.71 and standard deviation of 1.64. The mean deviation of Medallion Financial Corp is currently at 1.28. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.81
α | Alpha over Dow Jones | 0.01 | |
β | Beta against Dow Jones | 1.08 | |
σ | Overall volatility | 1.64 | |
Ir | Information ratio | 0.01 |
Medallion Financial Stock Return Volatility
Medallion Financial historical daily return volatility represents how much of Medallion Financial stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 1.6448% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7551% volatility on return distribution over the 90 days horizon. Performance |
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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
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Risk-Adjusted Indicators
There is a big difference between Medallion Stock performing well and Medallion Financial 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 Medallion Financial's 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| YRD | 1.88 | (0.66) | 0.00 | (0.80) | 0.00 | 3.76 | 13.64 | |||
| FOA | 1.47 | (0.12) | 0.00 | (0.11) | 0.00 | 2.63 | 12.24 | |||
| LPRO | 3.20 | (0.23) | 0.00 | (0.04) | 0.00 | 8.50 | 26.32 | |||
| OPRT | 2.24 | 0.01 | 0.02 | 0.06 | 2.75 | 3.77 | 33.89 | |||
| LIEN | 1.06 | 0.10 | 0.01 | (0.14) | 1.42 | 2.70 | 7.58 | |||
| TPVG | 1.40 | 0.07 | 0.03 | 0.16 | 1.80 | 2.51 | 9.96 | |||
| CPSS | 1.94 | 0.02 | (0.02) | (0.02) | 2.60 | 3.75 | 10.75 | |||
| SSSS | 1.74 | (0.11) | 0.00 | (0.05) | 0.00 | 4.27 | 10.47 | |||
| SUIG | 4.49 | (0.97) | 0.00 | (0.55) | 0.00 | 11.38 | 30.00 | |||
| OVLY | 1.13 | 0.22 | 0.20 | 0.36 | 0.71 | 2.69 | 6.23 |
About Medallion Financial Volatility
Volatility is a rate at which the price of Medallion Financial 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 Medallion Financial may increase or decrease. In other words, similar to Medallion's beta indicator, it measures the risk of Medallion Financial and helps estimate the fluctuations that may happen in a short period of time. So if prices of Medallion Financial 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 | 46 M | 48.3 M | |
| Market Cap | 137.7 M | 189.3 M |
Medallion Financial'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 Medallion Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Medallion Financial's price varies over time.
3 ways to utilize Medallion Financial's volatility to invest better
Higher Medallion Financial's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Medallion Financial Corp 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. Medallion Financial Corp 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 Medallion Financial Corp investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Medallion Financial'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 Medallion Financial's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Medallion Financial Investment Opportunity
Medallion Financial Corp has a volatility of 1.64 and is 2.16 times more volatile than Dow Jones Industrial. 14 percent of all equities and portfolios are less risky than Medallion Financial. You can use Medallion Financial Corp to enhance the returns of your portfolios. The stock experiences a moderate upward volatility. Check odds of Medallion Financial to be traded at $11.36 in 90 days.Very weak diversification
The correlation between Medallion Financial Corp and DJI is 0.59 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Medallion Financial Corp and DJI in the same portfolio, assuming nothing else is changed.
Medallion Financial Additional Risk Indicators
The analysis of Medallion Financial'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 Medallion Financial's investment and either accepting that risk or mitigating it. Along with some common measures of Medallion Financial 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 | 0.0456 | |||
| Market Risk Adjusted Performance | 0.0774 | |||
| Mean Deviation | 1.29 | |||
| Semi Deviation | 1.38 | |||
| Downside Deviation | 1.52 | |||
| Coefficient Of Variation | 1994.18 | |||
| Standard Deviation | 1.65 |
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.
Medallion Financial 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 Medallion Financial 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. Medallion Financial'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, Medallion Financial'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 Medallion Financial Corp.
When determining whether Medallion Financial Corp offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Medallion Financial's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Medallion Financial Corp Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Medallion Financial Corp Stock: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Medallion Financial Corp. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in gross domestic product. You can also try the Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.
Will Consumer Finance sector continue expanding? Could Medallion diversify its offerings? Factors like these will boost the valuation of Medallion Financial. Expected growth trajectory for Medallion significantly influences the price investors are willing to assign. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every Medallion Financial data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth (0.14) | Dividend Share 0.46 | Earnings Share 1.71 | Revenue Per Share | Quarterly Revenue Growth 0.089 |
Medallion Financial Corp's market price often diverges from its book value, the accounting figure shown on Medallion's balance sheet. Smart investors calculate Medallion Financial's intrinsic value - its true economic worth - which may differ significantly from both market price and book value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Since Medallion Financial's trading price responds to investor sentiment, macroeconomic conditions, and market psychology, it can swing far from fundamental value.
Understanding that Medallion Financial's value differs from its trading price is crucial, as each reflects different aspects of the company. Evaluating whether Medallion Financial represents a sound investment requires analyzing earnings trends, revenue growth, technical signals, industry dynamics, and expert forecasts. However, Medallion Financial's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.