Trellus Health (UK) Volatility
| TRLS Stock | 0.57 0.00 0.00% |
Trellus Health plc owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.2, which indicates the firm had a -0.2% return per unit of risk over the last 3 months. Trellus Health plc exposes twenty-one different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate Trellus Health's Coefficient Of Variation of (703.43), risk adjusted performance of (0.10), and Variance of 37.26 to confirm the risk estimate we provide. Key indicators related to Trellus Health's volatility include:
30 Days Market Risk | Chance Of Distress | 30 Days Economic Sensitivity |
Trellus Health Stock volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of Trellus daily returns, and it is calculated using variance and standard deviation. We also use Trellus's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Trellus Health volatility.
Trellus |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Trellus Health can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of Trellus Health at lower prices. For example, an investor can purchase Trellus stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of Trellus Health's stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns.
Moving together with Trellus Stock
| 0.81 | SMSD | Samsung Electronics | PairCorr |
| 0.82 | SMSN | Samsung Electronics | PairCorr |
| 0.72 | HYUD | Hyundai Motor | PairCorr |
| 0.87 | RIGD | Reliance Industries | PairCorr |
| 0.77 | AXB | Axis Bank | PairCorr |
Moving against Trellus Stock
| 0.77 | 0LAI | Summit Materials | PairCorr |
| 0.73 | 0HJI | Automatic Data Processing | PairCorr |
| 0.69 | RR | Rolls Royce Holdings | PairCorr |
| 0.69 | HSBA | HSBC Holdings PLC | PairCorr |
| 0.68 | 0R15 | SoftBank Group Corp | PairCorr |
| 0.68 | MNKS | Monks Investment Trust | PairCorr |
| 0.62 | HSBK | Halyk Bank | PairCorr |
| 0.6 | QBT | Quantum Blockchain | PairCorr |
| 0.58 | IDHC | Integrated Diagnostics | PairCorr |
Trellus Health Market Sensitivity And Downside Risk
Trellus Health's beta coefficient measures the volatility of Trellus stock compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents Trellus stock's returns against your selected market. In other words, Trellus Health's beta of 0.54 provides an investor with an approximation of how much risk Trellus Health stock can potentially add to one of your existing portfolios. Trellus Health plc is displaying above-average volatility over the selected time horizon. Trellus Health plc is a potential penny stock. Although Trellus Health may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Trellus Health plc. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Trellus instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
3 Months Beta |Analyze Trellus Health plc Demand TrendCheck current 90 days Trellus Health correlation with market (Dow Jones Industrial)Trellus Beta |
Trellus standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Standard Deviation | 3.95 |
It is essential to understand the difference between upside risk (as represented by Trellus Health's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Trellus Health's daily returns or price. Since the actual investment returns on holding a position in trellus stock tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in Trellus Health.
Trellus Health plc Stock Volatility Analysis
Volatility refers to the frequency at which Trellus Health stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Trellus Health's price changes. Investors will then calculate the volatility of Trellus Health's stock to predict their future moves. A stock that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A stock with relatively stable price changes has low volatility. A highly volatile stock is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of Trellus Health's volatility:
Historical Volatility
This type of stock volatility measures Trellus Health's fluctuations based on previous trends. It's commonly used to predict Trellus Health's future behavior based on its past. However, it cannot conclusively determine the future direction of the stock.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for Trellus Health's current market price. This means that the stock will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Trellus Health's to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. Trellus Health plc Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input.
Trellus Health Projected Return Density Against Market
Assuming the 90 days trading horizon Trellus Health has a beta of 0.5356 . This usually implies as returns on the market go up, Trellus Health average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Trellus Health plc will be expected to be much smaller as well.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Trellus Health or Health Care Equipment & Supplies sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Trellus Health's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Trellus stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
Trellus Health plc has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Predicted Return Density |
| Returns |
What Drives a Trellus Health Price Volatility?
Several factors can influence a stock's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.Trellus Health Stock Risk Measures
Assuming the 90 days trading horizon the coefficient of variation of Trellus Health is -508.17. The daily returns are distributed with a variance of 15.62 and standard deviation of 3.95. The mean deviation of Trellus Health plc is currently at 2.23. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.79
α | Alpha over Dow Jones | -0.9 | |
β | Beta against Dow Jones | 0.54 | |
σ | Overall volatility | 3.95 | |
Ir | Information ratio | -0.15 |
Trellus Health Stock Return Volatility
Trellus Health historical daily return volatility represents how much of Trellus Health stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm accepts 3.9517% volatility on return distribution over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.8088% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Trellus Health Volatility
Volatility is a rate at which the price of Trellus Health or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of Trellus Health may increase or decrease. In other words, similar to Trellus's beta indicator, it measures the risk of Trellus Health and helps estimate the fluctuations that may happen in a short period of time. So if prices of Trellus Health fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.| Last Reported | Projected for Next Year | ||
| Selling And Marketing Expenses | 943.2 K | 838.4 K |
Trellus Health's stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on Trellus Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Trellus Health's price varies over time.
3 ways to utilize Trellus Health's volatility to invest better
Higher Trellus Health's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Trellus Health plc stock is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. Trellus Health plc stock volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of Trellus Health plc investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Trellus Health's stock can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of Trellus Health's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Trellus Health Investment Opportunity
Trellus Health plc has a volatility of 3.95 and is 4.88 times more volatile than Dow Jones Industrial. Compared to the overall equity markets, volatility of historical daily returns of Trellus Health plc is lower than 35 percent of all global equities and portfolios over the last 90 days. You can use Trellus Health plc to protect your portfolios against small market fluctuations. The stock experiences a normal downward trend, but the immediate impact on correlations cannot be determined at the moment . Check odds of Trellus Health to be traded at 0.5643 in 90 days.Significant diversification
The correlation between Trellus Health plc and DJI is 0.07 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Trellus Health plc and DJI in the same portfolio, assuming nothing else is changed.
Trellus Health Additional Risk Indicators
The analysis of Trellus Health's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in Trellus Health's investment and either accepting that risk or mitigating it. Along with some common measures of Trellus Health stock's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | (0.10) | |||
| Market Risk Adjusted Performance | (1.63) | |||
| Mean Deviation | 3.06 | |||
| Coefficient Of Variation | (703.43) | |||
| Standard Deviation | 6.1 | |||
| Variance | 37.26 | |||
| Information Ratio | (0.15) |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential stocks, we recommend comparing similar stocks with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Trellus Health Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against Trellus Health as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. Trellus Health's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, Trellus Health's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to Trellus Health plc.
Additional Tools for Trellus Stock Analysis
When running Trellus Health's price analysis, check to measure Trellus Health'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 Trellus Health is operating at the current time. Most of Trellus Health's value examination focuses on studying past and present price action to predict the probability of Trellus Health's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Trellus Health's price. Additionally, you may evaluate how the addition of Trellus Health to your portfolios can decrease your overall portfolio volatility.