LG Household (Korea) Market Value
| 051905 Stock | 141,100 2,000 1.40% |
| Symbol | 051905 |
LG Household '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 LG Household'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 LG Household.
| 10/30/2024 |
| 11/29/2024 |
If you would invest 0.00 in LG Household on October 30, 2024 and sell it all today you would earn a total of 0.00 from holding LG Household Healthcare or generate 0.0% return on investment in LG Household over 30 days. LG Household is related to or competes with LG Household, Mirae Asset, and CKH Food. More
LG Household 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 LG Household'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 LG Household Healthcare upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.12) | |||
| Maximum Drawdown | 9.19 | |||
| Value At Risk | (2.39) | |||
| Potential Upside | 3.29 |
LG Household Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for LG Household's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as LG Household's standard deviation. In reality, there are many statistical measures that can use LG Household historical prices to predict the future LG Household's volatility.| Risk Adjusted Performance | (0.03) | |||
| Jensen Alpha | (0.08) | |||
| Total Risk Alpha | (0.36) | |||
| Treynor Ratio | 0.9087 |
LG Household Healthcare Backtested Returns
LG Household Healthcare retains Efficiency (Sharpe Ratio) of -0.12, which conveys that the firm had a -0.12% return per unit of price deviation over the last 3 months. LG Household exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify LG Household's Information Ratio of (0.12), market risk adjusted performance of 0.9187, and Mean Deviation of 1.15 to check out the risk estimate we provide. The company owns a Beta (Systematic Risk) of -0.11, which conveys not very significant fluctuations relative to the market. As returns on the market increase, returns on owning LG Household are expected to decrease at a much lower rate. During the bear market, LG Household is likely to outperform the market. At this point, LG Household Healthcare has a negative expected return of -0.21%. Please make sure to verify LG Household's coefficient of variation, jensen alpha, and the relationship between the mean deviation and standard deviation , to decide if LG Household Healthcare performance from the past will be repeated sooner or later.
Auto-correlation | -0.1 |
Very weak reverse predictability
LG Household Healthcare has very weak reverse predictability. Overlapping area represents the amount of predictability between LG Household time series from 30th of October 2024 to 14th of November 2024 and 14th of November 2024 to 29th of November 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 LG Household Healthcare price movement. The serial correlation of -0.1 indicates that less than 10.0% of current LG Household price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.1 | |
| Spearman Rank Test | -0.35 | |
| Residual Average | 0.0 | |
| Price Variance | 6.8 M |
LG Household Healthcare lagged returns against current returns
Autocorrelation, which is LG Household 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 LG Household's stock expected returns. We can calculate the autocorrelation of LG Household returns to help us make a trade decision. For example, suppose you find that LG Household 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 |
LG Household 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 LG Household stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if LG Household stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in LG Household stock over time.
Current vs Lagged Prices |
| Timeline |
LG Household Lagged Returns
When evaluating LG Household's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of LG Household stock have on its future price. LG Household 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, LG Household autocorrelation shows the relationship between LG Household stock current value and its past values and can show if there is a momentum factor associated with investing in LG Household Healthcare.
Regressed Prices |
| Timeline |
Pair Trading with LG Household
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 LG Household 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 LG Household will appreciate offsetting losses from the drop in the long position's value.Moving together with 051905 Stock
| 0.77 | 051900 | LG Household Healthcare | PairCorr |
| 0.77 | 090430 | Amorepacific Corp | PairCorr |
| 0.86 | 200130 | Mirae Asset No2 | PairCorr |
| 0.81 | 018250 | Aekyung Industrial | PairCorr |
Moving against 051905 Stock
| 0.79 | 111710 | Namhwa Industrial | PairCorr |
| 0.67 | 105560 | KB Financial Group | PairCorr |
| 0.61 | 329180 | Hyundai Heavy Industries | PairCorr |
| 0.42 | 222040 | Cosmax Nbt | PairCorr |
| 0.32 | 182360 | Cube Entertainment | PairCorr |
The ability to find closely correlated positions to LG Household could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace LG Household 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 LG Household - 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 LG Household Healthcare to buy it.
The correlation of LG Household 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 LG Household moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if LG Household Healthcare 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 LG Household 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 051905 Stock
LG Household financial ratios help investors to determine whether 051905 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 051905 with respect to the benefits of owning LG Household security.