Orient Rental (Pakistan) Market Value
| ORM Stock | 7.53 0.35 4.44% |
| Symbol | Orient |
Orient Rental '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 Orient Rental'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 Orient Rental.
| 11/01/2024 |
| 12/01/2024 |
If you would invest 0.00 in Orient Rental on November 1, 2024 and sell it all today you would earn a total of 0.00 from holding Orient Rental Modaraba or generate 0.0% return on investment in Orient Rental over 30 days. Orient Rental is related to or competes with Masood Textile, Fauji Foods, KSB Pumps, Mari Petroleum, Loads, Thatta Cement, and KOT Addu. More
Orient Rental 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 Orient Rental'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 Orient Rental Modaraba upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.96 | |||
| Information Ratio | 0.087 | |||
| Maximum Drawdown | 21.76 | |||
| Value At Risk | (4.07) | |||
| Potential Upside | 4.71 |
Orient Rental Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Orient Rental's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Orient Rental's standard deviation. In reality, there are many statistical measures that can use Orient Rental historical prices to predict the future Orient Rental's volatility.| Risk Adjusted Performance | 0.1082 | |||
| Jensen Alpha | 0.5 | |||
| Total Risk Alpha | (0.12) | |||
| Sortino Ratio | 0.0904 | |||
| Treynor Ratio | (0.48) |
Orient Rental Modaraba Backtested Returns
Orient Rental appears to be slightly risky, given 3 months investment horizon. Orient Rental Modaraba maintains Sharpe Ratio (i.e., Efficiency) of 0.15, which implies the firm had a 0.15% return per unit of risk over the last 3 months. We have found thirty technical indicators for Orient Rental Modaraba, which you can use to evaluate the volatility of the company. Please evaluate Orient Rental's Coefficient Of Variation of 759.46, risk adjusted performance of 0.1082, and Semi Deviation of 2.2 to confirm if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Orient Rental holds a performance score of 11. The company holds a Beta of -0.82, which implies possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning Orient Rental are expected to decrease at a much lower rate. During the bear market, Orient Rental is likely to outperform the market. Please check Orient Rental's standard deviation, treynor ratio, downside variance, as well as the relationship between the total risk alpha and value at risk , to make a quick decision on whether Orient Rental's historical price patterns will revert.
Auto-correlation | -0.32 |
Poor reverse predictability
Orient Rental Modaraba has poor reverse predictability. Overlapping area represents the amount of predictability between Orient Rental 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 Orient Rental Modaraba price movement. The serial correlation of -0.32 indicates that nearly 32.0% of current Orient Rental price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.32 | |
| Spearman Rank Test | -0.48 | |
| Residual Average | 0.0 | |
| Price Variance | 0.05 |
Orient Rental Modaraba lagged returns against current returns
Autocorrelation, which is Orient Rental 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 Orient Rental's stock expected returns. We can calculate the autocorrelation of Orient Rental returns to help us make a trade decision. For example, suppose you find that Orient Rental 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 |
Orient Rental 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 Orient Rental stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Orient Rental stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Orient Rental stock over time.
Current vs Lagged Prices |
| Timeline |
Orient Rental Lagged Returns
When evaluating Orient Rental's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Orient Rental stock have on its future price. Orient Rental 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, Orient Rental autocorrelation shows the relationship between Orient Rental stock current value and its past values and can show if there is a momentum factor associated with investing in Orient Rental Modaraba.
Regressed Prices |
| Timeline |
Pair Trading with Orient Rental
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 Orient Rental 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 Orient Rental will appreciate offsetting losses from the drop in the long position's value.Moving together with Orient Stock
| 0.93 | UBL | United Bank | PairCorr |
| 0.75 | BAFL | Bank Alfalah | PairCorr |
| 0.65 | ABL | Allied Bank | PairCorr |
| 0.66 | MEBL | Meezan Bank | PairCorr |
The ability to find closely correlated positions to Orient Rental could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Orient Rental 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 Orient Rental - 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 Orient Rental Modaraba to buy it.
The correlation of Orient Rental 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 Orient Rental moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Orient Rental Modaraba 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 Orient Rental 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 Orient Stock Analysis
When running Orient Rental's price analysis, check to measure Orient Rental'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 Orient Rental is operating at the current time. Most of Orient Rental's value examination focuses on studying past and present price action to predict the probability of Orient Rental's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Orient Rental's price. Additionally, you may evaluate how the addition of Orient Rental to your portfolios can decrease your overall portfolio volatility.