Farmaceutica (Romania) Market Value
| RMAH Stock | 0.67 0.02 3.08% |
| Symbol | Farmaceutica |
Please note, there is a significant difference between Farmaceutica's value and its price as these two are different measures arrived at by different means. Investors typically determine if Farmaceutica is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Farmaceutica'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.
Farmaceutica '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 Farmaceutica'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 Farmaceutica.
| 09/12/2024 |
| 12/11/2024 |
If you would invest 0.00 in Farmaceutica on September 12, 2024 and sell it all today you would earn a total of 0.00 from holding Farmaceutica R or generate 0.0% return on investment in Farmaceutica over 90 days. More
Farmaceutica 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 Farmaceutica'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 Farmaceutica R upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.13) | |||
| Maximum Drawdown | 11.55 | |||
| Value At Risk | (3.08) | |||
| Potential Upside | 3.17 |
Farmaceutica Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Farmaceutica's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Farmaceutica's standard deviation. In reality, there are many statistical measures that can use Farmaceutica historical prices to predict the future Farmaceutica's volatility.| Risk Adjusted Performance | (0.04) | |||
| Jensen Alpha | (0.20) | |||
| Total Risk Alpha | (0.50) | |||
| Treynor Ratio | (0.48) |
Farmaceutica R Backtested Returns
Farmaceutica R secures Sharpe Ratio (or Efficiency) of -0.0701, which denotes the company had a -0.0701% return per unit of risk over the last 3 months. Farmaceutica R exposes twenty-two different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm Farmaceutica's Standard Deviation of 2.14, mean deviation of 1.59, and Variance of 4.59 to check the risk estimate we provide. The firm shows a Beta (market volatility) of 0.33, which means possible diversification benefits within a given portfolio. As returns on the market increase, Farmaceutica's returns are expected to increase less than the market. However, during the bear market, the loss of holding Farmaceutica is expected to be smaller as well. At this point, Farmaceutica R has a negative expected return of -0.15%. Please make sure to confirm Farmaceutica's maximum drawdown, skewness, accumulation distribution, as well as the relationship between the potential upside and kurtosis , to decide if Farmaceutica R performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.64 |
Good predictability
Farmaceutica R has good predictability. Overlapping area represents the amount of predictability between Farmaceutica time series from 12th of September 2024 to 27th of October 2024 and 27th of October 2024 to 11th 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 Farmaceutica R price movement. The serial correlation of 0.64 indicates that roughly 64.0% of current Farmaceutica price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.64 | |
| Spearman Rank Test | 0.5 | |
| Residual Average | 0.0 | |
| Price Variance | 0.0 |
Farmaceutica R lagged returns against current returns
Autocorrelation, which is Farmaceutica 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 Farmaceutica's stock expected returns. We can calculate the autocorrelation of Farmaceutica returns to help us make a trade decision. For example, suppose you find that Farmaceutica 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 |
Farmaceutica 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 Farmaceutica stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Farmaceutica stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Farmaceutica stock over time.
Current vs Lagged Prices |
| Timeline |
Farmaceutica Lagged Returns
When evaluating Farmaceutica's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Farmaceutica stock have on its future price. Farmaceutica 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, Farmaceutica autocorrelation shows the relationship between Farmaceutica stock current value and its past values and can show if there is a momentum factor associated with investing in Farmaceutica R.
Regressed Prices |
| Timeline |
Pair Trading with Farmaceutica
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 Farmaceutica 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 Farmaceutica will appreciate offsetting losses from the drop in the long position's value.Moving together with Farmaceutica Stock
The ability to find closely correlated positions to Farmaceutica could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Farmaceutica 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 Farmaceutica - 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 Farmaceutica R to buy it.
The correlation of Farmaceutica 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 Farmaceutica moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Farmaceutica R 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 Farmaceutica 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.Other Information on Investing in Farmaceutica Stock
Farmaceutica financial ratios help investors to determine whether Farmaceutica Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Farmaceutica with respect to the benefits of owning Farmaceutica security.