SM Entertainment (Korea) Market Value
| 041510 Stock | KRW 91,200 2,200 2.36% |
| Symbol | 041510 |
SM Entertainment '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 SM Entertainment'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 SM Entertainment.
| 12/17/2024 |
| 03/17/2025 |
If you would invest 0.00 in SM Entertainment on December 17, 2024 and sell it all today you would earn a total of 0.00 from holding SM Entertainment Co or generate 0.0% return on investment in SM Entertainment over 90 days. SM Entertainment is related to or competes with YG Entertainment, JYP Entertainment, Cube Entertainment, and FNC Entertainment. SM Entertainment Co., Ltd. engages in musicsound production, talent management, and musicaudio content publication activ... More
SM Entertainment 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 SM Entertainment'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 SM Entertainment Co upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.55 | |||
| Information Ratio | 0.1187 | |||
| Maximum Drawdown | 10.75 | |||
| Value At Risk | (4.16) | |||
| Potential Upside | 5.33 |
SM Entertainment Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for SM Entertainment's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as SM Entertainment's standard deviation. In reality, there are many statistical measures that can use SM Entertainment historical prices to predict the future SM Entertainment's volatility.| Risk Adjusted Performance | 0.0781 | |||
| Jensen Alpha | 0.2267 | |||
| Total Risk Alpha | 0.5479 | |||
| Sortino Ratio | 0.1252 | |||
| Treynor Ratio | 1.43 |
SM Entertainment Backtested Returns
SM Entertainment appears to be very steady, given 3 months investment horizon. SM Entertainment retains Efficiency (Sharpe Ratio) of 0.15, which indicates the firm had a 0.15 % return per unit of price deviation over the last 3 months. We have found thirty technical indicators for SM Entertainment, which you can use to evaluate the volatility of the company. Please review SM Entertainment's Downside Deviation of 2.55, risk adjusted performance of 0.0781, and Mean Deviation of 2.11 to confirm if our risk estimates are consistent with your expectations. On a scale of 0 to 100, SM Entertainment holds a performance score of 11. The entity owns a Beta (Systematic Risk) of 0.15, which indicates not very significant fluctuations relative to the market. As returns on the market increase, SM Entertainment's returns are expected to increase less than the market. However, during the bear market, the loss of holding SM Entertainment is expected to be smaller as well. Please check SM Entertainment's market risk adjusted performance, semi deviation, coefficient of variation, as well as the relationship between the mean deviation and downside deviation , to make a quick decision on whether SM Entertainment's current price history will revert.
Auto-correlation | 0.12 |
Insignificant predictability
SM Entertainment Co has insignificant predictability. Overlapping area represents the amount of predictability between SM Entertainment time series from 17th of December 2024 to 31st of January 2025 and 31st of January 2025 to 17th of March 2025. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of SM Entertainment price movement. The serial correlation of 0.12 indicates that less than 12.0% of current SM Entertainment price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.12 | |
| Spearman Rank Test | 0.19 | |
| Residual Average | 0.0 | |
| Price Variance | 31.5 M |
SM Entertainment lagged returns against current returns
Autocorrelation, which is SM Entertainment 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 SM Entertainment's stock expected returns. We can calculate the autocorrelation of SM Entertainment returns to help us make a trade decision. For example, suppose you find that SM Entertainment 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 |
SM Entertainment 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 SM Entertainment stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if SM Entertainment stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in SM Entertainment stock over time.
Current vs Lagged Prices |
| Timeline |
SM Entertainment Lagged Returns
When evaluating SM Entertainment's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of SM Entertainment stock have on its future price. SM Entertainment 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, SM Entertainment autocorrelation shows the relationship between SM Entertainment stock current value and its past values and can show if there is a momentum factor associated with investing in SM Entertainment Co.
Regressed Prices |
| Timeline |
Pair Trading with SM Entertainment
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 SM Entertainment 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 SM Entertainment will appreciate offsetting losses from the drop in the long position's value.Moving together with 041510 Stock
Moving against 041510 Stock
The ability to find closely correlated positions to SM Entertainment could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace SM Entertainment 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 SM Entertainment - 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 SM Entertainment Co to buy it.
The correlation of SM Entertainment 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 SM Entertainment moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if SM Entertainment 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 SM Entertainment 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 041510 Stock
SM Entertainment financial ratios help investors to determine whether 041510 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 041510 with respect to the benefits of owning SM Entertainment security.