Next10 Inc Stock Volatility
| NXTN Stock | USD 2.95 0.50 20.41% |
Next10 is extremely dangerous given 3 months investment horizon. Next10 Inc has Sharpe Ratio of 0.28, which conveys that the firm had a 0.28 % return per unit of risk over the last 3 months. We were able to interpolate and analyze data for twenty-eight different technical indicators, which can help you to evaluate if expected returns of 2.34% are justified by taking the suggested risk. Use Next10 Inc Downside Deviation of 6.65, risk adjusted performance of 0.2217, and Mean Deviation of 5.02 to evaluate company specific risk that cannot be diversified away.
Sharpe Ratio = 0.2821
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Based on monthly moving average Next10 is performing at about 22% 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 Next10 by adding it to a well-diversified portfolio.
Key indicators related to Next10's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Next10 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 Next10 daily returns, and it is calculated using variance and standard deviation. We also use Next10's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Next10 volatility.
Next10 |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Next10 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 Next10 at lower prices. For example, an investor can purchase Next10 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 Next10'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 Next10's market risk premium analysis include:
Beta (0.98) | Alpha 2.27 | Risk 8.31 | Sharpe Ratio 0.28 | Expected Return 2.34 |
Moving together with Next10 Pink Sheet
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| 0.73 | TFII | TFI International | PairCorr |
| 0.61 | RXO | RXO Inc | PairCorr |
| 0.84 | ARCB | ArcBest Corp | PairCorr |
| 0.73 | WERN | Werner Enterprises | PairCorr |
| 0.93 | ZNOG | Zion Oil Gas | PairCorr |
| 0.64 | RILY | B Riley Financial | PairCorr |
| 0.93 | ABEV | Ambev SA ADR | PairCorr |
| 0.84 | SHEL | Shell PLC ADR | PairCorr |
| 0.73 | PTLO | Portillos | PairCorr |
| 0.86 | BEP | Brookfield Renewable | PairCorr |
| 0.84 | CCJ | Cameco Corp | PairCorr |
Moving against Next10 Pink Sheet
| 0.83 | YATRY | Yamato Holdings | PairCorr |
| 0.77 | SNBH | Sentient Brands Holdings | PairCorr |
| 0.5 | GSTX | Graphene Solar Techn | PairCorr |
| 0.49 | GBHPF | Global Hemp Group | PairCorr |
| 0.47 | SBNY | Signature Bank | PairCorr |
| 0.34 | EPGG | Empire Global Gaming | PairCorr |
Next10 Market Sensitivity And Downside Risk
Next10's beta coefficient measures the volatility of Next10 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 Next10 pink sheet's returns against your selected market. In other words, Next10's beta of -0.98 provides an investor with an approximation of how much risk Next10 pink sheet can potentially add to one of your existing portfolios. Next10 Inc is displaying above-average volatility over the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Next10's pink sheet risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Next10's pink sheet 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 Next10 Inc Demand TrendCheck current 90 days Next10 correlation with market (Dow Jones Industrial)Next10 Volatility and Downside Risk
Next10 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.
Next10 Inc Pink Sheet Volatility Analysis
Volatility refers to the frequency at which Next10 pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Next10's price changes. Investors will then calculate the volatility of Next10's 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 Next10's volatility:
Historical Volatility
This type of pink sheet volatility measures Next10's fluctuations based on previous trends. It's commonly used to predict Next10's 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 Next10's 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 Next10'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. Next10 Inc 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.
Next10 Projected Return Density Against Market
Given the investment horizon of 90 days Next10 Inc has a beta of -0.984 . This indicatesMost 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 Next10 or Industrials 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 Next10's 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 Next10 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.
Predicted Return Density |
| Returns |
What Drives a Next10 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 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.Next10 Pink Sheet Risk Measures
Given the investment horizon of 90 days the coefficient of variation of Next10 is 354.49. The daily returns are distributed with a variance of 68.98 and standard deviation of 8.31. The mean deviation of Next10 Inc is currently at 5.4. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.75
α | Alpha over Dow Jones | 2.27 | |
β | Beta against Dow Jones | -0.98 | |
σ | Overall volatility | 8.31 | |
Ir | Information ratio | 0.28 |
Next10 Pink Sheet Return Volatility
Next10 historical daily return volatility represents how much of Next10 pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 8.3056% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.765% volatility on return distribution over the 90 days horizon. Performance |
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Related Correlations Analysis
| 0.3 | 0.28 | 0.47 | 0.48 | 0.54 | 0.32 | SGHDY | ||
| 0.3 | 0.34 | 0.12 | 0.46 | 0.39 | 0.42 | ARCAY | ||
| 0.28 | 0.34 | 0.61 | 0.61 | 0.38 | 0.57 | CITAF | ||
| 0.47 | 0.12 | 0.61 | 0.65 | 0.4 | 0.46 | FLUIF | ||
| 0.48 | 0.46 | 0.61 | 0.65 | 0.74 | 0.82 | CPBLF | ||
| 0.54 | 0.39 | 0.38 | 0.4 | 0.74 | 0.85 | INPOY | ||
| 0.32 | 0.42 | 0.57 | 0.46 | 0.82 | 0.85 | YASKF | ||
Risk-Adjusted Indicators
There is a big difference between Next10 Pink Sheet performing well and Next10 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 Next10'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 | ||
|---|---|---|---|---|---|---|---|---|---|---|
| SGHDY | 1.33 | (0.25) | 0.00 | (0.53) | 0.00 | 4.47 | 17.55 | |||
| ARCAY | 3.21 | 0.19 | 0.01 | 0.72 | 5.50 | 12.74 | 57.25 | |||
| CITAF | 1.16 | 0.25 | 0.00 | 4.36 | 0.00 | 7.14 | 23.81 | |||
| FLUIF | 0.40 | 0.08 | 0.00 | 0.91 | 0.00 | 0.00 | 10.21 | |||
| CPBLF | 1.08 | 0.48 | 0.00 | (2.95) | 0.00 | 2.10 | 14.81 | |||
| INPOY | 2.12 | 0.74 | 0.39 | 0.53 | 1.22 | 3.92 | 34.16 | |||
| YASKF | 1.81 | 0.90 | 0.00 | 3.16 | 0.00 | 10.64 | 24.27 |
About Next10 Volatility
Volatility is a rate at which the price of Next10 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 Next10 may increase or decrease. In other words, similar to Next10's beta indicator, it measures the risk of Next10 and helps estimate the fluctuations that may happen in a short period of time. So if prices of Next10 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.Next10, Inc. engages in the development, manufacture, and sale of security systems for the cargo transportation industry primarily in the United States and Canada. Next10, Inc. was incorporated in 1998 and is based in Placentia, California. NEXT10 INC operates under Trucking classification in the United States and is traded on OTC Exchange. It employs 30 people.
Next10'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 Next10 Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Next10's price varies over time.
3 ways to utilize Next10's volatility to invest better
Higher Next10's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Next10 Inc 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. Next10 Inc 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 Next10 Inc investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Next10'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 Next10's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Next10 Investment Opportunity
Next10 Inc has a volatility of 8.31 and is 10.79 times more volatile than Dow Jones Industrial. 74 percent of all equities and portfolios are less risky than Next10. You can use Next10 Inc to enhance the returns of your portfolios. The pink sheet experiences a very speculative upward sentiment. The trend is possibly hyped up. Check odds of Next10 to be traded at $3.69 in 90 days.Poor diversification
The correlation between Next10 Inc and DJI is 0.61 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Next10 Inc and DJI in the same portfolio, assuming nothing else is changed.
Next10 Additional Risk Indicators
The analysis of Next10'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 Next10's investment and either accepting that risk or mitigating it. Along with some common measures of Next10 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 | 0.2217 | |||
| Market Risk Adjusted Performance | (2.26) | |||
| Mean Deviation | 5.02 | |||
| Semi Deviation | 2.7 | |||
| Downside Deviation | 6.65 | |||
| Coefficient Of Variation | 354.49 | |||
| Standard Deviation | 7.94 |
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.
Next10 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 Next10 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. Next10'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, Next10'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 Next10 Inc.
Other Information on Investing in Next10 Pink Sheet
Next10 financial ratios help investors to determine whether Next10 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 Next10 with respect to the benefits of owning Next10 security.