KM (Korea) Market Value
| 083550 Stock | KRW 3,020 5.00 0.17% |
| Symbol | KM |
KM '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 KM'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 KM.
| 12/13/2022 |
| 12/02/2024 |
If you would invest 0.00 in KM on December 13, 2022 and sell it all today you would earn a total of 0.00 from holding KM Corporation or generate 0.0% return on investment in KM over 720 days. KM is related to or competes with AptaBio Therapeutics, KT Hitel, SillaJen, Cytogen, Samsung Card, Woori Technology, and AnterogenCoLtd. KM Corporationration manufactures and sells clean goods in South Korea and internationally. More
KM 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 KM'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 KM Corporation upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.24) | |||
| Maximum Drawdown | 15.65 | |||
| Value At Risk | (5.07) | |||
| Potential Upside | 2.43 |
KM Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for KM's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as KM's standard deviation. In reality, there are many statistical measures that can use KM historical prices to predict the future KM's volatility.| Risk Adjusted Performance | (0.14) | |||
| Jensen Alpha | (0.45) | |||
| Total Risk Alpha | (0.92) | |||
| Treynor Ratio | 1.47 |
KM Corporation Backtested Returns
KM Corporation retains Efficiency (Sharpe Ratio) of -0.11, which conveys that the firm had a -0.11% return per unit of price deviation over the last 3 months. KM exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please verify KM's Mean Deviation of 1.67, market risk adjusted performance of 1.48, and Information Ratio of (0.24) to check out the risk estimate we provide. The company owns a Beta (Systematic Risk) of -0.33, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning KM are expected to decrease at a much lower rate. During the bear market, KM is likely to outperform the market. At this point, KM Corporation has a negative expected return of -0.28%. Please make sure to verify KM's coefficient of variation, jensen alpha, and the relationship between the mean deviation and standard deviation , to decide if KM Corporation performance from the past will be repeated sooner or later.
Auto-correlation | 0.84 |
Very good predictability
KM Corporation has very good predictability. Overlapping area represents the amount of predictability between KM time series from 13th of December 2022 to 8th of December 2023 and 8th of December 2023 to 2nd of December 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 KM Corporation price movement. The serial correlation of 0.84 indicates that around 84.0% of current KM price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.84 | |
| Spearman Rank Test | 0.86 | |
| Residual Average | 0.0 | |
| Price Variance | 347.9 K |
KM Corporation lagged returns against current returns
Autocorrelation, which is KM 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 KM's stock expected returns. We can calculate the autocorrelation of KM returns to help us make a trade decision. For example, suppose you find that KM 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 |
KM 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 KM stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if KM stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in KM stock over time.
Current vs Lagged Prices |
| Timeline |
KM Lagged Returns
When evaluating KM's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of KM stock have on its future price. KM 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, KM autocorrelation shows the relationship between KM stock current value and its past values and can show if there is a momentum factor associated with investing in KM Corporation.
Regressed Prices |
| Timeline |
Pair Trading with KM
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 KM 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 KM will appreciate offsetting losses from the drop in the long position's value.Moving against KM Stock
The ability to find closely correlated positions to KM could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace KM 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 KM - 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 KM Corporation to buy it.
The correlation of KM 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 KM moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if KM Corporation 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 KM 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 KM Stock
KM financial ratios help investors to determine whether KM 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 KM with respect to the benefits of owning KM security.