Parsons Corp Stock Market Value
| PSN Stock | USD 95.86 0.47 0.49% |
| Symbol | Parsons |
Parsons Corp Price To Book Ratio
Is Aerospace & Defense space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Parsons Corp. If investors know Parsons will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Parsons Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.554 | Earnings Share 0.7 | Revenue Per Share 61.431 | Quarterly Revenue Growth 0.276 | Return On Assets 0.0589 |
The market value of Parsons Corp is measured differently than its book value, which is the value of Parsons that is recorded on the company's balance sheet. Investors also form their own opinion of Parsons Corp's value that differs from its market value or its book value, called intrinsic value, which is Parsons Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Parsons Corp's market value can be influenced by many factors that don't directly affect Parsons Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Parsons Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Parsons Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Parsons Corp'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.
Parsons Corp '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 Parsons Corp'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 Parsons Corp.
| 10/29/2024 |
| 11/28/2024 |
If you would invest 0.00 in Parsons Corp on October 29, 2024 and sell it all today you would earn a total of 0.00 from holding Parsons Corp or generate 0.0% return on investment in Parsons Corp over 30 days. Parsons Corp is related to or competes with Leidos Holdings, CACI International, ASGN, ExlService Holdings, Genpact, Science Applications, and CLARIVATE PLC. Parsons Corporation provides integrated solutions and services in the defense, intelligence, and critical infrastructure... More
Parsons Corp 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 Parsons Corp'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 Parsons Corp upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.35 | |||
| Information Ratio | (0.04) | |||
| Maximum Drawdown | 15.2 | |||
| Value At Risk | (2.83) | |||
| Potential Upside | 2.89 |
Parsons Corp Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Parsons Corp's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Parsons Corp's standard deviation. In reality, there are many statistical measures that can use Parsons Corp historical prices to predict the future Parsons Corp's volatility.| Risk Adjusted Performance | 0.0201 | |||
| Jensen Alpha | (0.07) | |||
| Total Risk Alpha | (0.27) | |||
| Sortino Ratio | (0.04) | |||
| Treynor Ratio | 0.0309 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Parsons Corp's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Parsons Corp Backtested Returns
As of now, Parsons Stock is very steady. Parsons Corp maintains Sharpe Ratio (i.e., Efficiency) of 0.0134, which implies the firm had a 0.0134% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Parsons Corp, which you can use to evaluate the volatility of the company. Please check Parsons Corp's Semi Deviation of 2.23, risk adjusted performance of 0.0201, and Coefficient Of Variation of 5514.67 to confirm if the risk estimate we provide is consistent with the expected return of 0.0272%. Parsons Corp has a performance score of 1 on a scale of 0 to 100. The company holds a Beta of 0.85, which implies possible diversification benefits within a given portfolio. As returns on the market increase, Parsons Corp's returns are expected to increase less than the market. However, during the bear market, the loss of holding Parsons Corp is expected to be smaller as well. Parsons Corp right now holds a risk of 2.02%. Please check Parsons Corp potential upside, as well as the relationship between the kurtosis and day typical price , to decide if Parsons Corp will be following its historical price patterns.
Auto-correlation | -0.68 |
Very good reverse predictability
Parsons Corp has very good reverse predictability. Overlapping area represents the amount of predictability between Parsons Corp time series from 29th of October 2024 to 13th of November 2024 and 13th of November 2024 to 28th of November 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 Parsons Corp price movement. The serial correlation of -0.68 indicates that around 68.0% of current Parsons Corp price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.68 | |
| Spearman Rank Test | -0.23 | |
| Residual Average | 0.0 | |
| Price Variance | 20.97 |
Parsons Corp lagged returns against current returns
Autocorrelation, which is Parsons Corp 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 Parsons Corp's stock expected returns. We can calculate the autocorrelation of Parsons Corp returns to help us make a trade decision. For example, suppose you find that Parsons Corp 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 |
Parsons Corp 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 Parsons Corp stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Parsons Corp stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Parsons Corp stock over time.
Current vs Lagged Prices |
| Timeline |
Parsons Corp Lagged Returns
When evaluating Parsons Corp's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Parsons Corp stock have on its future price. Parsons Corp 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, Parsons Corp autocorrelation shows the relationship between Parsons Corp stock current value and its past values and can show if there is a momentum factor associated with investing in Parsons Corp.
Regressed Prices |
| Timeline |
Pair Trading with Parsons Corp
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 Parsons Corp 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 Parsons Corp will appreciate offsetting losses from the drop in the long position's value.Moving together with Parsons Stock
Moving against Parsons Stock
The ability to find closely correlated positions to Parsons Corp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Parsons Corp 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 Parsons Corp - 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 Parsons Corp to buy it.
The correlation of Parsons Corp 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 Parsons Corp moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Parsons Corp 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 Parsons Corp 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.Check out Parsons Corp Correlation, Parsons Corp Volatility and Parsons Corp Alpha and Beta module to complement your research on Parsons Corp. To learn how to invest in Parsons Stock, please use our How to Invest in Parsons Corp guide.You can also try the ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Parsons Corp technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.