Localiza Rent (Brazil) Market Value
| RENT3 Stock | BRL 37.58 1.42 3.64% |
| Symbol | Localiza |
Localiza Rent '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 Localiza Rent'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 Localiza Rent.
| 05/06/2024 |
| 12/02/2024 |
If you would invest 0.00 in Localiza Rent on May 6, 2024 and sell it all today you would earn a total of 0.00 from holding Localiza Rent a or generate 0.0% return on investment in Localiza Rent over 210 days. Localiza Rent is related to or competes with Oi SA, Metalurgica Gerdau, Metalurgica Gerdau, Oi SA, Cyrela Brazil, and Klabin SA. Localiza Rent a Car S.A. engages in car rental and franchising activities More
Localiza Rent 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 Localiza Rent'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 Localiza Rent a upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.12) | |||
| Maximum Drawdown | 12.93 | |||
| Value At Risk | (3.22) | |||
| Potential Upside | 4.02 |
Localiza Rent Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Localiza Rent's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Localiza Rent's standard deviation. In reality, there are many statistical measures that can use Localiza Rent historical prices to predict the future Localiza Rent's volatility.| Risk Adjusted Performance | (0.04) | |||
| Jensen Alpha | (0.12) | |||
| Total Risk Alpha | (0.54) | |||
| Treynor Ratio | 0.5956 |
Localiza Rent a Backtested Returns
Localiza Rent a has Sharpe Ratio of -0.0363, which conveys that the firm had a -0.0363% return per unit of risk over the last 3 months. Localiza Rent exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify Localiza Rent's Risk Adjusted Performance of (0.04), standard deviation of 2.3, and Mean Deviation of 1.72 to check out the risk estimate we provide. The company secures a Beta (Market Risk) of -0.26, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning Localiza Rent are expected to decrease at a much lower rate. During the bear market, Localiza Rent is likely to outperform the market. At this point, Localiza Rent a has a negative expected return of -0.0848%. Please make sure to verify Localiza Rent's standard deviation, maximum drawdown, kurtosis, as well as the relationship between the total risk alpha and potential upside , to decide if Localiza Rent a performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.18 |
Very weak predictability
Localiza Rent a has very weak predictability. Overlapping area represents the amount of predictability between Localiza Rent time series from 6th of May 2024 to 19th of August 2024 and 19th of August 2024 to 2nd 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 Localiza Rent a price movement. The serial correlation of 0.18 indicates that over 18.0% of current Localiza Rent price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.18 | |
| Spearman Rank Test | -0.06 | |
| Residual Average | 0.0 | |
| Price Variance | 1.91 |
Localiza Rent a lagged returns against current returns
Autocorrelation, which is Localiza Rent 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 Localiza Rent's stock expected returns. We can calculate the autocorrelation of Localiza Rent returns to help us make a trade decision. For example, suppose you find that Localiza Rent 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 |
Localiza Rent 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 Localiza Rent stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Localiza Rent stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Localiza Rent stock over time.
Current vs Lagged Prices |
| Timeline |
Localiza Rent Lagged Returns
When evaluating Localiza Rent's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Localiza Rent stock have on its future price. Localiza Rent 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, Localiza Rent autocorrelation shows the relationship between Localiza Rent stock current value and its past values and can show if there is a momentum factor associated with investing in Localiza Rent a.
Regressed Prices |
| Timeline |
Also Currently Popular
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 Localiza Stock Analysis
When running Localiza Rent's price analysis, check to measure Localiza Rent'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 Localiza Rent is operating at the current time. Most of Localiza Rent's value examination focuses on studying past and present price action to predict the probability of Localiza Rent's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Localiza Rent's price. Additionally, you may evaluate how the addition of Localiza Rent to your portfolios can decrease your overall portfolio volatility.