RenaissanceRe Holdings Stock Forecast - Simple Regression

RRJ Stock  EUR 238.00  6.00  2.59%   
The Simple Regression forecasted value of RenaissanceRe Holdings on the next trading day is expected to be 256.96 with a mean absolute deviation of 7.51 and the sum of the absolute errors of 458.23. RenaissanceRe Stock Forecast is based on your current time horizon. We recommend always using this module together with an analysis of RenaissanceRe Holdings' historical fundamentals, such as revenue growth or operating cash flow patterns.
  
Simple Regression model is a single variable regression model that attempts to put a straight line through RenaissanceRe Holdings price points. This line is defined by its gradient or slope, and the point at which it intercepts the x-axis. Mathematically, assuming the independent variable is X and the dependent variable is Y, then this line can be represented as: Y = intercept + slope * X.

RenaissanceRe Holdings Simple Regression Price Forecast For the 24th of December

Given 90 days horizon, the Simple Regression forecasted value of RenaissanceRe Holdings on the next trading day is expected to be 256.96 with a mean absolute deviation of 7.51, mean absolute percentage error of 91.76, and the sum of the absolute errors of 458.23.
Please note that although there have been many attempts to predict RenaissanceRe Stock prices using its time series forecasting, we generally do not recommend using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that RenaissanceRe Holdings' next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

RenaissanceRe Holdings Stock Forecast Pattern

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RenaissanceRe Holdings Forecasted Value

In the context of forecasting RenaissanceRe Holdings' Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. RenaissanceRe Holdings' downside and upside margins for the forecasting period are 254.71 and 259.21, respectively. We have considered RenaissanceRe Holdings' daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Market Value
238.00
254.71
Downside
256.96
Expected Value
259.21
Upside

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Simple Regression forecasting method's relative quality and the estimations of the prediction error of RenaissanceRe Holdings stock data series using in forecasting. Note that when a statistical model is used to represent RenaissanceRe Holdings stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.
AICAkaike Information Criteria122.6297
BiasArithmetic mean of the errors None
MADMean absolute deviation7.5119
MAPEMean absolute percentage error0.0298
SAESum of the absolute errors458.2276
In general, regression methods applied to historical equity returns or prices series is an area of active research. In recent decades, new methods have been developed for robust regression of price series such as RenaissanceRe Holdings historical returns. These new methods are regression involving correlated responses such as growth curves and different regression methods accommodating various types of missing data.

Predictive Modules for RenaissanceRe Holdings

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as RenaissanceRe Holdings. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Hype
Prediction
LowEstimatedHigh
235.77238.00240.23
Details
Intrinsic
Valuation
LowRealHigh
228.63230.86261.80
Details

Other Forecasting Options for RenaissanceRe Holdings

For every potential investor in RenaissanceRe, whether a beginner or expert, RenaissanceRe Holdings' price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. RenaissanceRe Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in RenaissanceRe. Basic forecasting techniques help filter out the noise by identifying RenaissanceRe Holdings' price trends.

RenaissanceRe Holdings Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with RenaissanceRe Holdings stock to make a market-neutral strategy. Peer analysis of RenaissanceRe Holdings could also be used in its relative valuation, which is a method of valuing RenaissanceRe Holdings by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

RenaissanceRe Holdings Technical and Predictive Analytics

The stock market is financially volatile. Despite the volatility, there exist limitless possibilities of gaining profits and building passive income portfolios. With the complexity of RenaissanceRe Holdings' price movements, a comprehensive understanding of forecasting methods that an investor can rely on to make the right move is invaluable. These methods predict trends that assist an investor in predicting the movement of RenaissanceRe Holdings' current price.

RenaissanceRe Holdings Market Strength Events

Market strength indicators help investors to evaluate how RenaissanceRe Holdings stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading RenaissanceRe Holdings shares will generate the highest return on investment. By undertsting and applying RenaissanceRe Holdings stock market strength indicators, traders can identify RenaissanceRe Holdings entry and exit signals to maximize returns.

RenaissanceRe Holdings Risk Indicators

The analysis of RenaissanceRe Holdings' basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in RenaissanceRe Holdings' investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting renaissancere stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

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Additional Information and Resources on Investing in RenaissanceRe Stock

When determining whether RenaissanceRe Holdings is a strong investment it is important to analyze RenaissanceRe Holdings' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact RenaissanceRe Holdings' future performance. For an informed investment choice regarding RenaissanceRe Stock, refer to the following important reports:
Check out Historical Fundamental Analysis of RenaissanceRe Holdings to cross-verify your projections.
For more detail on how to invest in RenaissanceRe Stock please use our How to Invest in RenaissanceRe Holdings guide.
You can also try the Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Please note, there is a significant difference between RenaissanceRe Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if RenaissanceRe Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, RenaissanceRe Holdings' 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.