Formosa Laboratories (Taiwan) Market Value
| 4746 Stock | TWD 76.00 0.40 0.53% |
| Symbol | Formosa |
Formosa Laboratories 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Formosa Laboratories' stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Formosa Laboratories.
| 12/07/2023 |
| 12/01/2024 |
If you would invest 0.00 in Formosa Laboratories on December 7, 2023 and sell it all today you would earn a total of 0.00 from holding Formosa Laboratories or generate 0.0% return on investment in Formosa Laboratories over 360 days. Formosa Laboratories is related to or competes with Taiwan Semiconductor, Hon Hai, MediaTek, Chunghwa Telecom, Formosa Petrochemical, Delta Electronics, and Cathay Financial. Formosa Laboratories, Inc. produces and sells active pharmaceutical ingredients and UV-filters worldwide More
Formosa Laboratories Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Formosa Laboratories' stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Formosa Laboratories upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.21) | |||
| Maximum Drawdown | 10.85 | |||
| Value At Risk | (3.36) | |||
| Potential Upside | 2.43 |
Formosa Laboratories Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Formosa Laboratories' investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Formosa Laboratories' standard deviation. In reality, there are many statistical measures that can use Formosa Laboratories historical prices to predict the future Formosa Laboratories' volatility.| Risk Adjusted Performance | (0.10) | |||
| Jensen Alpha | (0.35) | |||
| Total Risk Alpha | (0.62) | |||
| Treynor Ratio | (0.65) |
Formosa Laboratories Backtested Returns
Formosa Laboratories secures Sharpe Ratio (or Efficiency) of -0.16, which denotes the company had a -0.16% return per unit of risk over the last 3 months. Formosa Laboratories exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Formosa Laboratories' Mean Deviation of 1.43, standard deviation of 1.97, and Variance of 3.88 to check the risk estimate we provide. The firm shows a Beta (market volatility) of 0.45, which means possible diversification benefits within a given portfolio. As returns on the market increase, Formosa Laboratories' returns are expected to increase less than the market. However, during the bear market, the loss of holding Formosa Laboratories is expected to be smaller as well. At this point, Formosa Laboratories has a negative expected return of -0.31%. Please make sure to confirm Formosa Laboratories' treynor ratio, value at risk, and the relationship between the total risk alpha and maximum drawdown , to decide if Formosa Laboratories performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.52 |
Modest predictability
Formosa Laboratories has modest predictability. Overlapping area represents the amount of predictability between Formosa Laboratories time series from 7th of December 2023 to 4th of June 2024 and 4th of June 2024 to 1st of December 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Formosa Laboratories price movement. The serial correlation of 0.52 indicates that about 52.0% of current Formosa Laboratories price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.52 | |
| Spearman Rank Test | 0.22 | |
| Residual Average | 0.0 | |
| Price Variance | 40.07 |
Formosa Laboratories lagged returns against current returns
Autocorrelation, which is Formosa Laboratories stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Formosa Laboratories' stock expected returns. We can calculate the autocorrelation of Formosa Laboratories returns to help us make a trade decision. For example, suppose you find that Formosa Laboratories has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Formosa Laboratories regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Formosa Laboratories stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Formosa Laboratories stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Formosa Laboratories stock over time.
Current vs Lagged Prices |
| Timeline |
Formosa Laboratories Lagged Returns
When evaluating Formosa Laboratories' market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Formosa Laboratories stock have on its future price. Formosa Laboratories autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Formosa Laboratories autocorrelation shows the relationship between Formosa Laboratories stock current value and its past values and can show if there is a momentum factor associated with investing in Formosa Laboratories.
Regressed Prices |
| Timeline |
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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.Additional Tools for Formosa Stock Analysis
When running Formosa Laboratories' price analysis, check to measure Formosa Laboratories' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Formosa Laboratories is operating at the current time. Most of Formosa Laboratories' value examination focuses on studying past and present price action to predict the probability of Formosa Laboratories' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Formosa Laboratories' price. Additionally, you may evaluate how the addition of Formosa Laboratories to your portfolios can decrease your overall portfolio volatility.