Converge Technology Solutions Stock Market Value
| CTS Stock | CAD 5.47 0.04 0.74% |
| Symbol | Converge |
Converge Technology Price To Book Ratio
Converge Technology '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 Converge Technology'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 Converge Technology.
| 12/16/2024 |
| 03/16/2025 |
If you would invest 0.00 in Converge Technology on December 16, 2024 and sell it all today you would earn a total of 0.00 from holding Converge Technology Solutions or generate 0.0% return on investment in Converge Technology over 90 days. Converge Technology is related to or competes with Dye Durham, Docebo, Topicus, and Goeasy. Converge Technology Solutions Corp. provides software-enabled IT and cloud solutions for corporate and government instit... More
Converge Technology 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 Converge Technology'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 Converge Technology Solutions upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.43 | |||
| Information Ratio | 0.1463 | |||
| Maximum Drawdown | 53.81 | |||
| Value At Risk | (3.79) | |||
| Potential Upside | 3.98 |
Converge Technology Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Converge Technology's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Converge Technology's standard deviation. In reality, there are many statistical measures that can use Converge Technology historical prices to predict the future Converge Technology's volatility.| Risk Adjusted Performance | 0.1237 | |||
| Jensen Alpha | 0.8095 | |||
| Total Risk Alpha | 1.77 | |||
| Sortino Ratio | 0.418 | |||
| Treynor Ratio | (1.03) |
Converge Technology Backtested Returns
Converge Technology appears to be very risky, given 3 months investment horizon. Converge Technology secures Sharpe Ratio (or Efficiency) of 0.14, which signifies that the company had a 0.14 % return per unit of risk over the last 3 months. By analyzing Converge Technology's technical indicators, you can evaluate if the expected return of 0.99% is justified by implied risk. Please makes use of Converge Technology's Risk Adjusted Performance of 0.1237, downside deviation of 2.43, and Mean Deviation of 2.57 to double-check if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Converge Technology holds a performance score of 10. The firm shows a Beta (market volatility) of -0.88, which signifies possible diversification benefits within a given portfolio. As the market becomes more bullish, returns on owning Converge Technology are expected to decrease slowly. On the other hand, during market turmoil, Converge Technology is expected to outperform it slightly. Please check Converge Technology's sortino ratio, skewness, price action indicator, as well as the relationship between the potential upside and rate of daily change , to make a quick decision on whether Converge Technology's price patterns will revert.
Auto-correlation | 0.63 |
Good predictability
Converge Technology Solutions has good predictability. Overlapping area represents the amount of predictability between Converge Technology time series from 16th of December 2024 to 30th of January 2025 and 30th of January 2025 to 16th 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 Converge Technology price movement. The serial correlation of 0.63 indicates that roughly 63.0% of current Converge Technology price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.63 | |
| Spearman Rank Test | 0.58 | |
| Residual Average | 0.0 | |
| Price Variance | 0.6 |
Converge Technology lagged returns against current returns
Autocorrelation, which is Converge Technology 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 Converge Technology's stock expected returns. We can calculate the autocorrelation of Converge Technology returns to help us make a trade decision. For example, suppose you find that Converge Technology 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 |
Converge Technology 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 Converge Technology stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Converge Technology stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Converge Technology stock over time.
Current vs Lagged Prices |
| Timeline |
Converge Technology Lagged Returns
When evaluating Converge Technology's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Converge Technology stock have on its future price. Converge Technology 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, Converge Technology autocorrelation shows the relationship between Converge Technology stock current value and its past values and can show if there is a momentum factor associated with investing in Converge Technology Solutions.
Regressed Prices |
| Timeline |
Pair Trading with Converge Technology
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 Converge Technology 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 Converge Technology will appreciate offsetting losses from the drop in the long position's value.Moving together with Converge Stock
Moving against Converge Stock
The ability to find closely correlated positions to Converge Technology could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Converge Technology 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 Converge Technology - 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 Converge Technology Solutions to buy it.
The correlation of Converge Technology 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 Converge Technology moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Converge Technology 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 Converge Technology 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 Converge Stock
Converge Technology financial ratios help investors to determine whether Converge 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 Converge with respect to the benefits of owning Converge Technology security.