Orient Europharma (Taiwan) Market Value
| 4120 Stock | TWD 48.10 0.30 0.63% |
| Symbol | Orient |
Orient Europharma '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 Orient Europharma'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 Orient Europharma.
| 12/05/2024 |
| 01/04/2025 |
If you would invest 0.00 in Orient Europharma on December 5, 2024 and sell it all today you would earn a total of 0.00 from holding Orient Europharma Co or generate 0.0% return on investment in Orient Europharma over 30 days. Orient Europharma is related to or competes with Chung Hwa, Sporton International, Landis Taipei, Jia Jie, International CSRC, PChome Online, and Formosa International. More
Orient Europharma 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 Orient Europharma'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 Orient Europharma Co upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.03) | |||
| Maximum Drawdown | 18.14 | |||
| Value At Risk | (1.81) | |||
| Potential Upside | 1.91 |
Orient Europharma Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Orient Europharma's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Orient Europharma's standard deviation. In reality, there are many statistical measures that can use Orient Europharma historical prices to predict the future Orient Europharma's volatility.| Risk Adjusted Performance | (0.01) | |||
| Jensen Alpha | (0.05) | |||
| Total Risk Alpha | (0.08) | |||
| Treynor Ratio | (0.71) |
Orient Europharma Backtested Returns
Orient Europharma maintains Sharpe Ratio (i.e., Efficiency) of -0.0193, which implies the firm had a -0.0193% return per unit of risk over the last 3 months. Orient Europharma exposes twenty-three different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please check Orient Europharma's Risk Adjusted Performance of (0.01), coefficient of variation of (5,187), and Variance of 3.61 to confirm the risk estimate we provide. The company holds a Beta of 0.0661, which implies not very significant fluctuations relative to the market. As returns on the market increase, Orient Europharma's returns are expected to increase less than the market. However, during the bear market, the loss of holding Orient Europharma is expected to be smaller as well. At this point, Orient Europharma has a negative expected return of -0.0367%. Please make sure to check Orient Europharma's mean deviation, standard deviation, total risk alpha, as well as the relationship between the coefficient of variation and jensen alpha , to decide if Orient Europharma performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.11 |
Insignificant predictability
Orient Europharma Co has insignificant predictability. Overlapping area represents the amount of predictability between Orient Europharma time series from 5th of December 2024 to 20th of December 2024 and 20th of December 2024 to 4th of January 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 Orient Europharma price movement. The serial correlation of 0.11 indicates that less than 11.0% of current Orient Europharma price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.11 | |
| Spearman Rank Test | -0.36 | |
| Residual Average | 0.0 | |
| Price Variance | 0.04 |
Orient Europharma lagged returns against current returns
Autocorrelation, which is Orient Europharma 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 Orient Europharma's stock expected returns. We can calculate the autocorrelation of Orient Europharma returns to help us make a trade decision. For example, suppose you find that Orient Europharma 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 |
Orient Europharma 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 Orient Europharma stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Orient Europharma stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Orient Europharma stock over time.
Current vs Lagged Prices |
| Timeline |
Orient Europharma Lagged Returns
When evaluating Orient Europharma's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Orient Europharma stock have on its future price. Orient Europharma 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, Orient Europharma autocorrelation shows the relationship between Orient Europharma stock current value and its past values and can show if there is a momentum factor associated with investing in Orient Europharma Co.
Regressed Prices |
| Timeline |
Pair Trading with Orient Europharma
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 Orient Europharma 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 Orient Europharma will appreciate offsetting losses from the drop in the long position's value.Moving against Orient Stock
The ability to find closely correlated positions to Orient Europharma could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Orient Europharma 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 Orient Europharma - 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 Orient Europharma Co to buy it.
The correlation of Orient Europharma 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 Orient Europharma moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Orient Europharma 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 Orient Europharma 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.Additional Tools for Orient Stock Analysis
When running Orient Europharma's price analysis, check to measure Orient Europharma's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Orient Europharma is operating at the current time. Most of Orient Europharma's value examination focuses on studying past and present price action to predict the probability of Orient Europharma's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Orient Europharma's price. Additionally, you may evaluate how the addition of Orient Europharma to your portfolios can decrease your overall portfolio volatility.