Universal Health Stock Forecast - Naive Prediction

UHS Stock  EUR 181.00  1.00  0.55%   
The Naive Prediction forecasted value of Universal Health Services on the next trading day is expected to be 173.55 with a mean absolute deviation of 5.45 and the sum of the absolute errors of 332.34. Universal Stock Forecast is based on your current time horizon. We recommend always using this module together with an analysis of Universal Health's historical fundamentals, such as revenue growth or operating cash flow patterns.
  
A naive forecasting model for Universal Health is a special case of the moving average forecasting where the number of periods used for smoothing is one. Therefore, the forecast of Universal Health Services value for a given trading day is simply the observed value for the previous period. Due to the simplistic nature of the naive forecasting model, it can only be used to forecast up to one period.

Universal Health Naive Prediction Price Forecast For the 13th of December 2024

Given 90 days horizon, the Naive Prediction forecasted value of Universal Health Services on the next trading day is expected to be 173.55 with a mean absolute deviation of 5.45, mean absolute percentage error of 46.07, and the sum of the absolute errors of 332.34.
Please note that although there have been many attempts to predict Universal 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 Universal Health's next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

Universal Health Stock Forecast Pattern

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Universal Health Forecasted Value

In the context of forecasting Universal Health's 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. Universal Health's downside and upside margins for the forecasting period are 171.03 and 176.07, respectively. We have considered Universal Health's 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
181.00
171.03
Downside
173.55
Expected Value
176.07
Upside

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Naive Prediction forecasting method's relative quality and the estimations of the prediction error of Universal Health stock data series using in forecasting. Note that when a statistical model is used to represent Universal Health 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 Criteria121.9407
BiasArithmetic mean of the errors None
MADMean absolute deviation5.4481
MAPEMean absolute percentage error0.0272
SAESum of the absolute errors332.335
This model is not at all useful as a medium-long range forecasting tool of Universal Health Services. This model is simplistic and is included partly for completeness and partly because of its simplicity. It is unlikely that you'll want to use this model directly to predict Universal Health. Instead, consider using either the moving average model or the more general weighted moving average model with a higher (i.e., greater than 1) number of periods, and possibly a different set of weights.

Predictive Modules for Universal Health

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Universal Health Services. 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
179.48182.00184.52
Details
Intrinsic
Valuation
LowRealHigh
174.02176.54200.20
Details

Other Forecasting Options for Universal Health

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

Universal Health 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 Universal Health stock to make a market-neutral strategy. Peer analysis of Universal Health could also be used in its relative valuation, which is a method of valuing Universal Health by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

Universal Health Services 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 Universal Health's 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 Universal Health's current price.

Universal Health Market Strength Events

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

Universal Health Risk Indicators

The analysis of Universal Health's 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 Universal Health's investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting universal 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 Universal Stock

When determining whether Universal Health Services is a strong investment it is important to analyze Universal Health's 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 Universal Health's future performance. For an informed investment choice regarding Universal Stock, refer to the following important reports:
Check out Historical Fundamental Analysis of Universal Health to cross-verify your projections.
You can also try the Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
Please note, there is a significant difference between Universal Health's value and its price as these two are different measures arrived at by different means. Investors typically determine if Universal Health is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Universal Health'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.