Despegar Corp Stock Market Value
| DESP Stock | USD 14.65 0.07 0.48% |
| Symbol | Despegar |
Despegar Corp Price To Book Ratio
Is Hotels, Resorts & Cruise Lines space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Despegar Corp. If investors know Despegar will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Despegar Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.72) | Earnings Share 0.08 | Revenue Per Share 9.399 | Quarterly Revenue Growth 0.118 | Return On Assets 0.0687 |
The market value of Despegar Corp is measured differently than its book value, which is the value of Despegar that is recorded on the company's balance sheet. Investors also form their own opinion of Despegar Corp's value that differs from its market value or its book value, called intrinsic value, which is Despegar Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Despegar Corp's market value can be influenced by many factors that don't directly affect Despegar Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Despegar Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Despegar Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Despegar Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.
Despegar Corp '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 Despegar Corp'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 Despegar Corp.
| 12/31/2022 |
| 12/20/2024 |
If you would invest 0.00 in Despegar Corp on December 31, 2022 and sell it all today you would earn a total of 0.00 from holding Despegar Corp or generate 0.0% return on investment in Despegar Corp over 720 days. Despegar Corp is related to or competes with TripAdvisor. Despegar.com, Corp., online travel company, provides a range of travel and travel-related products through its websites ... More
Despegar Corp 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 Despegar Corp'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 Despegar Corp upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 2.72 | |||
| Information Ratio | 0.076 | |||
| Maximum Drawdown | 25.35 | |||
| Value At Risk | (3.54) | |||
| Potential Upside | 5.78 |
Despegar Corp Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Despegar Corp's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Despegar Corp's standard deviation. In reality, there are many statistical measures that can use Despegar Corp historical prices to predict the future Despegar Corp's volatility.| Risk Adjusted Performance | 0.0757 | |||
| Jensen Alpha | 0.2667 | |||
| Total Risk Alpha | 0.187 | |||
| Sortino Ratio | 0.0984 | |||
| Treynor Ratio | 0.2847 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Despegar Corp's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Despegar Corp Backtested Returns
Despegar Corp appears to be somewhat reliable, given 3 months investment horizon. Despegar Corp secures Sharpe Ratio (or Efficiency) of 0.0955, which denotes the company had a 0.0955% return per unit of risk over the last 3 months. We have found twenty-seven technical indicators for Despegar Corp, which you can use to evaluate the volatility of the firm. Please utilize Despegar Corp's Coefficient Of Variation of 1169.0, mean deviation of 2.45, and Downside Deviation of 2.72 to check if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Despegar Corp holds a performance score of 7. The firm shows a Beta (market volatility) of 1.02, which means a somewhat significant risk relative to the market. Despegar Corp returns are very sensitive to returns on the market. As the market goes up or down, Despegar Corp is expected to follow. Please check Despegar Corp's value at risk, as well as the relationship between the skewness and day typical price , to make a quick decision on whether Despegar Corp's price patterns will revert.
Auto-correlation | 0.49 |
Average predictability
Despegar Corp has average predictability. Overlapping area represents the amount of predictability between Despegar Corp time series from 31st of December 2022 to 26th of December 2023 and 26th of December 2023 to 20th 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 Despegar Corp price movement. The serial correlation of 0.49 indicates that about 49.0% of current Despegar Corp price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.49 | |
| Spearman Rank Test | 0.52 | |
| Residual Average | 0.0 | |
| Price Variance | 6.13 |
Despegar Corp lagged returns against current returns
Autocorrelation, which is Despegar Corp 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 Despegar Corp's stock expected returns. We can calculate the autocorrelation of Despegar Corp returns to help us make a trade decision. For example, suppose you find that Despegar Corp 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 |
Despegar Corp 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 Despegar Corp stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Despegar Corp stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Despegar Corp stock over time.
Current vs Lagged Prices |
| Timeline |
Despegar Corp Lagged Returns
When evaluating Despegar Corp's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Despegar Corp stock have on its future price. Despegar Corp 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, Despegar Corp autocorrelation shows the relationship between Despegar Corp stock current value and its past values and can show if there is a momentum factor associated with investing in Despegar Corp.
Regressed Prices |
| Timeline |
Pair Trading with Despegar Corp
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 Despegar Corp 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 Despegar Corp will appreciate offsetting losses from the drop in the long position's value.Moving together with Despegar Stock
Moving against Despegar Stock
| 0.87 | EJH | E Home Household Buyout Trend | PairCorr |
| 0.76 | BDL | Flanigans Enterprises Earnings Call This Week | PairCorr |
| 0.72 | WING | Wingstop | PairCorr |
| 0.6 | CDROW | Codere Online Luxembourg | PairCorr |
| 0.34 | DNUT | Krispy Kreme | PairCorr |
The ability to find closely correlated positions to Despegar Corp could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Despegar Corp 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 Despegar Corp - 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 Despegar Corp to buy it.
The correlation of Despegar Corp 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 Despegar Corp moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Despegar Corp 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 Despegar Corp 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 Despegar Stock Analysis
When running Despegar Corp's price analysis, check to measure Despegar Corp'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 Despegar Corp is operating at the current time. Most of Despegar Corp's value examination focuses on studying past and present price action to predict the probability of Despegar Corp's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Despegar Corp's price. Additionally, you may evaluate how the addition of Despegar Corp to your portfolios can decrease your overall portfolio volatility.