Electronic Arts (Brazil) Probability of Future Stock Price Finishing Over 506.0
| EAIN34 Stock | BRL 505.92 0.08 0.02% |
Electronic |
Electronic Arts Target Price Odds to finish over 506.0
The tendency of Electronic 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 move over R$ 506.00 or more in 90 days |
| 505.92 | 90 days | 506.00 | about 1.16 |
Based on a normal probability distribution, the odds of Electronic Arts to move over R$ 506.00 or more in 90 days from now is about 1.16 (This Electronic Arts probability density function shows the probability of Electronic Stock to fall within a particular range of prices over 90 days) . Probability of Electronic Arts price to stay between its current price of R$ 505.92 and R$ 506.00 at the end of the 90-day period is near 1 .
Assuming the 90 days trading horizon Electronic Arts has a beta of -0.0057 suggesting as returns on the benchmark increase, returns on holding Electronic Arts are expected to decrease at a much lower rate. During a bear market, however, Electronic Arts is likely to outperform the market. Additionally Electronic Arts has an alpha of 0.2609, implying that it can generate a 0.26 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Electronic Arts Price Density |
| Price |
Predictive Modules for Electronic Arts
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Electronic Arts. 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.Electronic Arts Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Electronic Arts is not an exception. The market had few large corrections towards the Electronic Arts' 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 Electronic Arts, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Electronic Arts within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | 0.26 | |
β | Beta against Dow Jones | -0.0057 | |
σ | Overall volatility | 35.79 | |
Ir | Information ratio | 0.12 |
Electronic Arts 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 Electronic Stock often depends not only on the future outlook of the current and potential Electronic Arts' 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. Electronic Arts' indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 280 M | |
| Dividends Paid | 193 M |
Electronic Arts Technical Analysis
Electronic Arts' future price can be derived by breaking down and analyzing its technical indicators over time. Electronic Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Electronic Arts. In general, you should focus on analyzing Electronic Stock price patterns and their correlations with different microeconomic environments and drivers.
Electronic Arts Predictive Forecast Models
Electronic Arts' time-series forecasting models is one of many Electronic Arts' 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 Electronic Arts' 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.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Electronic Arts in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Electronic Arts' short interest history, or implied volatility extrapolated from Electronic Arts options trading.
Additional Information and Resources on Investing in Electronic Stock
When determining whether Electronic Arts offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Electronic Arts' financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Electronic Arts Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Electronic Arts Stock:Check out Electronic Arts Backtesting, Electronic Arts Valuation, Electronic Arts Correlation, Electronic Arts Hype Analysis, Electronic Arts Volatility, Electronic Arts History as well as Electronic Arts Performance. For information on how to trade Electronic Stock refer to our How to Trade Electronic Stock guide.You can also try the Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..