Hammond Power Solutions Stock Market Value
| HPS-A Stock | CAD 142.00 4.31 3.13% |
| Symbol | Hammond |
Hammond Power Solutions Price To Book Ratio
Hammond Power '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 Hammond Power's 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 Hammond Power.
| 11/01/2024 |
| 12/01/2024 |
If you would invest 0.00 in Hammond Power on November 1, 2024 and sell it all today you would earn a total of 0.00 from holding Hammond Power Solutions or generate 0.0% return on investment in Hammond Power over 30 days. Hammond Power is related to or competes with Hammond Manufacturing, Firan Technology, Supremex, Geodrill, and Calian Technologies. Hammond Power Solutions Inc., together with its subsidiaries, designs, manufactures, and sells dry-type, cast resin, and... More
Hammond Power 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 Hammond Power's 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 Hammond Power Solutions upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 3.73 | |||
| Information Ratio | 0.0526 | |||
| Maximum Drawdown | 13.03 | |||
| Value At Risk | (5.99) | |||
| Potential Upside | 4.5 |
Hammond Power Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Hammond Power's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Hammond Power's standard deviation. In reality, there are many statistical measures that can use Hammond Power historical prices to predict the future Hammond Power's volatility.| Risk Adjusted Performance | 0.0805 | |||
| Jensen Alpha | 0.1351 | |||
| Total Risk Alpha | (0.24) | |||
| Sortino Ratio | 0.0455 | |||
| Treynor Ratio | 0.234 |
Hammond Power Solutions Backtested Returns
Hammond Power appears to be very steady, given 3 months investment horizon. Hammond Power Solutions holds Efficiency (Sharpe) Ratio of 0.12, which attests that the entity had a 0.12% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Hammond Power Solutions, which you can use to evaluate the volatility of the firm. Please utilize Hammond Power's Downside Deviation of 3.73, risk adjusted performance of 0.0805, and Market Risk Adjusted Performance of 0.244 to validate if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Hammond Power holds a performance score of 9. The company retains a Market Volatility (i.e., Beta) of 1.27, which attests to a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Hammond Power will likely underperform. Please check Hammond Power's standard deviation, total risk alpha, treynor ratio, as well as the relationship between the jensen alpha and sortino ratio , to make a quick decision on whether Hammond Power's current trending patterns will revert.
Auto-correlation | 0.54 |
Modest predictability
Hammond Power Solutions has modest predictability. Overlapping area represents the amount of predictability between Hammond Power time series from 1st of November 2024 to 16th of November 2024 and 16th of November 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 Hammond Power Solutions price movement. The serial correlation of 0.54 indicates that about 54.0% of current Hammond Power price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.54 | |
| Spearman Rank Test | 0.79 | |
| Residual Average | 0.0 | |
| Price Variance | 25.02 |
Hammond Power Solutions lagged returns against current returns
Autocorrelation, which is Hammond Power 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 Hammond Power's stock expected returns. We can calculate the autocorrelation of Hammond Power returns to help us make a trade decision. For example, suppose you find that Hammond Power 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 |
Hammond Power 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 Hammond Power stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Hammond Power stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Hammond Power stock over time.
Current vs Lagged Prices |
| Timeline |
Hammond Power Lagged Returns
When evaluating Hammond Power's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Hammond Power stock have on its future price. Hammond Power 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, Hammond Power autocorrelation shows the relationship between Hammond Power stock current value and its past values and can show if there is a momentum factor associated with investing in Hammond Power Solutions.
Regressed Prices |
| Timeline |
Pair Trading with Hammond Power
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Hammond Power position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Hammond Power will appreciate offsetting losses from the drop in the long position's value.The ability to find closely correlated positions to Hammond Power could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Hammond Power when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Hammond Power - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Hammond Power Solutions to buy it.
The correlation of Hammond Power is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Hammond Power moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Hammond Power Solutions moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Hammond Power can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Additional Tools for Hammond Stock Analysis
When running Hammond Power's price analysis, check to measure Hammond Power's 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 Hammond Power is operating at the current time. Most of Hammond Power's value examination focuses on studying past and present price action to predict the probability of Hammond Power's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Hammond Power's price. Additionally, you may evaluate how the addition of Hammond Power to your portfolios can decrease your overall portfolio volatility.