American Water (Germany) Probability of Future Stock Price Finishing Under 116.71
| AWC Stock | EUR 117.80 1.60 1.34% |
American |
American Water Target Price Odds to finish below 116.71
The tendency of American Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
| Current Price | Horizon | Target Price | Odds to drop to € 116.71 or more in 90 days |
| 117.80 | 90 days | 116.71 | near 1 |
Based on a normal probability distribution, the odds of American Water to drop to € 116.71 or more in 90 days from now is near 1 (This American Water Works probability density function shows the probability of American Stock to fall within a particular range of prices over 90 days) . Probability of American Water Works price to stay between € 116.71 and its current price of €117.8 at the end of the 90-day period is near 1 .
Assuming the 90 days horizon American Water Works has a beta of -0.2. This suggests as returns on the benchmark increase, returns on holding American Water are expected to decrease at a much lower rate. During a bear market, however, American Water Works is likely to outperform the market. Additionally American Water Works 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. American Water Price Density |
| Price |
Predictive Modules for American Water
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as American Water Works. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.American Water Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. American Water is not an exception. The market had few large corrections towards the American Water's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold American Water Works, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of American Water within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | -0.17 | |
β | Beta against Dow Jones | -0.2 | |
σ | Overall volatility | 3.30 | |
Ir | Information ratio | -0.12 |
American Water Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of American Water for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for American Water Works can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| American Water Works generated a negative expected return over the last 90 days | |
| American Water Works has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| American Water Works has accumulated 10.93 B in total debt with debt to equity ratio (D/E) of 147.0, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. American Water Works has a current ratio of 0.36, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist American Water until it has trouble settling it off, either with new capital or with free cash flow. So, American Water's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like American Water Works sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for American to invest in growth at high rates of return. When we think about American Water's use of debt, we should always consider it together with cash and equity. | |
| Over 90.0% of American Water shares are held by institutions such as insurance companies |
American Water Price Density Drivers
Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of American Stock often depends not only on the future outlook of the current and potential American Water's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. American Water's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 181.9 M |
American Water Technical Analysis
American Water's future price can be derived by breaking down and analyzing its technical indicators over time. American Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of American Water Works. In general, you should focus on analyzing American Stock price patterns and their correlations with different microeconomic environments and drivers.
American Water Predictive Forecast Models
American Water's time-series forecasting models is one of many American Water's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary American Water's historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.
Things to note about American Water Works
Checking the ongoing alerts about American Water for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for American Water Works help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| American Water Works generated a negative expected return over the last 90 days | |
| American Water Works has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| American Water Works has accumulated 10.93 B in total debt with debt to equity ratio (D/E) of 147.0, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. American Water Works has a current ratio of 0.36, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist American Water until it has trouble settling it off, either with new capital or with free cash flow. So, American Water's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like American Water Works sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for American to invest in growth at high rates of return. When we think about American Water's use of debt, we should always consider it together with cash and equity. | |
| Over 90.0% of American Water shares are held by institutions such as insurance companies |
Additional Information and Resources on Investing in American Stock
When determining whether American Water Works is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if American Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about American Water Works Stock. Highlighted below are key reports to facilitate an investment decision about American Water Works Stock:Check out American Water Backtesting, American Water Valuation, American Water Correlation, American Water Hype Analysis, American Water Volatility, American Water History as well as American Water Performance. You can also try the Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.