Vichitbhan Palmoil (Thailand) Volatility
| VPO Stock | THB 0.60 0.02 3.23% |
Vichitbhan Palmoil is out of control given 3 months investment horizon. Vichitbhan Palmoil Public owns Efficiency Ratio (i.e., Sharpe Ratio) of 0.11, which indicates the firm had a 0.11% return per unit of risk over the last 3 months. We were able to break down and interpolate data for thirty different technical indicators, which can help you to evaluate if expected returns of 14.33% are justified by taking the suggested risk. Use Vichitbhan Palmoil Public Coefficient Of Variation of 3794.7, semi deviation of 3.2, and Risk Adjusted Performance of 0.0283 to evaluate company specific risk that cannot be diversified away. Key indicators related to Vichitbhan Palmoil's volatility include:
180 Days Market Risk | Chance Of Distress | 180 Days Economic Sensitivity |
Vichitbhan Palmoil 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 Vichitbhan daily returns, and it is calculated using variance and standard deviation. We also use Vichitbhan's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Vichitbhan Palmoil volatility.
Vichitbhan |
Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of Vichitbhan Palmoil at lower prices. For example, an investor can purchase Vichitbhan stock that has halved in price over a short period. This will lower their average cost per share, thereby improving the overall portfolio performance when market normalizes.
Vichitbhan Palmoil Market Sensitivity And Downside Risk
Vichitbhan Palmoil's beta coefficient measures the volatility of Vichitbhan 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 Vichitbhan stock's returns against your selected market. In other words, Vichitbhan Palmoil's beta of -1.45 provides an investor with an approximation of how much risk Vichitbhan Palmoil stock can potentially add to one of your existing portfolios. Vichitbhan Palmoil Public shows above-average downside volatility for the selected time horizon. Vichitbhan Palmoil Public is a potential penny stock. Although Vichitbhan Palmoil may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Vichitbhan Palmoil Public. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Vichitbhan 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 Vichitbhan Palmoil Public Demand TrendCheck current 90 days Vichitbhan Palmoil correlation with market (Dow Jones Industrial)Vichitbhan Beta |
Vichitbhan 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 | 126.87 |
It is essential to understand the difference between upside risk (as represented by Vichitbhan Palmoil's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Vichitbhan Palmoil's daily returns or price. Since the actual investment returns on holding a position in vichitbhan 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 Vichitbhan Palmoil.
Vichitbhan Palmoil Public Stock Volatility Analysis
Volatility refers to the frequency at which Vichitbhan Palmoil stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Vichitbhan Palmoil's price changes. Investors will then calculate the volatility of Vichitbhan Palmoil'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 Vichitbhan Palmoil's volatility:
Historical Volatility
This type of stock volatility measures Vichitbhan Palmoil's fluctuations based on previous trends. It's commonly used to predict Vichitbhan Palmoil'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 Vichitbhan Palmoil'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 Vichitbhan Palmoil'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. Vichitbhan Palmoil Public 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.
Vichitbhan Palmoil Projected Return Density Against Market
Assuming the 90 days trading horizon Vichitbhan Palmoil Public has a beta of -1.446 . This entails as returns on its benchmark rise, returns on holding Vichitbhan Palmoil Public are expected to decrease by similarly larger amounts. On the other hand, during market turmoils, Vichitbhan Palmoil 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 Vichitbhan Palmoil or Food 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 Vichitbhan Palmoil'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 Vichitbhan 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.
Vichitbhan Palmoil Public has an alpha of 0.2734, implying that it can generate a 0.27 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a Vichitbhan Palmoil 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.Vichitbhan Palmoil Stock Risk Measures
Assuming the 90 days trading horizon the coefficient of variation of Vichitbhan Palmoil is 885.39. The daily returns are distributed with a variance of 16096.1 and standard deviation of 126.87. The mean deviation of Vichitbhan Palmoil Public is currently at 31.29. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.76
α | Alpha over Dow Jones | 0.27 | |
β | Beta against Dow Jones | -1.45 | |
σ | Overall volatility | 126.87 | |
Ir | Information ratio | -0.0051 |
Vichitbhan Palmoil Stock Return Volatility
Vichitbhan Palmoil historical daily return volatility represents how much of Vichitbhan Palmoil stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company assumes 126.8704% volatility of returns over the 90 days investment horizon. By contrast, Dow Jones Industrial accepts 0.7734% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Vichitbhan Palmoil Volatility
Volatility is a rate at which the price of Vichitbhan Palmoil 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 Vichitbhan Palmoil may increase or decrease. In other words, similar to Vichitbhan's beta indicator, it measures the risk of Vichitbhan Palmoil and helps estimate the fluctuations that may happen in a short period of time. So if prices of Vichitbhan Palmoil 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.Vichitbhan Palmoil Public Company Limited produces and distributes crude palm oil and palm Kernel products in Thailand. Vichitbhan Palmoil Public Company Limited was incorporated in 1987 and is headquartered in Bangkok, Thailand. VICHITBHAN PALMOIL operates under Packaged Foods classification in Thailand and is traded on Stock Exchange of Thailand.
Vichitbhan Palmoil'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 Vichitbhan Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Vichitbhan Palmoil's price varies over time.
3 ways to utilize Vichitbhan Palmoil's volatility to invest better
Higher Vichitbhan Palmoil's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Vichitbhan Palmoil Public 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. Vichitbhan Palmoil Public 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 Vichitbhan Palmoil Public investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Vichitbhan Palmoil'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 Vichitbhan Palmoil's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Vichitbhan Palmoil Investment Opportunity
Vichitbhan Palmoil Public has a volatility of 126.87 and is 164.77 times more volatile than Dow Jones Industrial. 96 percent of all equities and portfolios are less risky than Vichitbhan Palmoil. You can use Vichitbhan Palmoil Public to protect your portfolios against small market fluctuations. The stock experiences an unexpected downward movement. The market is reacting to new fundamentals. Check odds of Vichitbhan Palmoil to be traded at 0.576 in 90 days.Very good diversification
The correlation between Vichitbhan Palmoil Public and DJI is -0.27 (i.e., Very good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Vichitbhan Palmoil Public and DJI in the same portfolio, assuming nothing else is changed.
Vichitbhan Palmoil Additional Risk Indicators
The analysis of Vichitbhan Palmoil'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 Vichitbhan Palmoil's investment and either accepting that risk or mitigating it. Along with some common measures of Vichitbhan Palmoil 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 | 0.0283 | |||
| Market Risk Adjusted Performance | (0.06) | |||
| Mean Deviation | 2.83 | |||
| Semi Deviation | 3.2 | |||
| Downside Deviation | 4.4 | |||
| Coefficient Of Variation | 3794.7 | |||
| Standard Deviation | 4.15 |
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.
Vichitbhan Palmoil 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 Vichitbhan Palmoil 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. Vichitbhan Palmoil'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, Vichitbhan Palmoil'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 Vichitbhan Palmoil Public.
Other Information on Investing in Vichitbhan Stock
Vichitbhan Palmoil financial ratios help investors to determine whether Vichitbhan Stock 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 Vichitbhan with respect to the benefits of owning Vichitbhan Palmoil security.