Habib Insurance (Pakistan) Market Value
| HICL Stock | 8.74 0.35 4.17% |
| Symbol | Habib |
Habib Insurance '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 Habib Insurance'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 Habib Insurance.
| 07/20/2023 |
| 12/11/2024 |
If you would invest 0.00 in Habib Insurance on July 20, 2023 and sell it all today you would earn a total of 0.00 from holding Habib Insurance or generate 0.0% return on investment in Habib Insurance over 510 days. Habib Insurance is related to or competes with Masood Textile, Fauji Foods, KSB Pumps, Mari Petroleum, Loads, Thatta Cement, and KOT Addu. More
Habib Insurance 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 Habib Insurance'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 Habib Insurance upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 4.67 | |||
| Information Ratio | 0.092 | |||
| Maximum Drawdown | 14.69 | |||
| Value At Risk | (6.55) | |||
| Potential Upside | 6.9 |
Habib Insurance Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Habib Insurance's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Habib Insurance's standard deviation. In reality, there are many statistical measures that can use Habib Insurance historical prices to predict the future Habib Insurance's volatility.| Risk Adjusted Performance | 0.0983 | |||
| Jensen Alpha | 0.534 | |||
| Total Risk Alpha | (0.14) | |||
| Sortino Ratio | 0.0749 | |||
| Treynor Ratio | (0.76) |
Habib Insurance Backtested Returns
Habib Insurance appears to be slightly risky, given 3 months investment horizon. Habib Insurance holds Efficiency (Sharpe) Ratio of 0.17, which attests that the entity had a 0.17% return per unit of risk over the last 3 months. By evaluating Habib Insurance's technical indicators, you can evaluate if the expected return of 0.67% is justified by implied risk. Please utilize Habib Insurance's Downside Deviation of 4.67, risk adjusted performance of 0.0983, and Market Risk Adjusted Performance of (0.75) to validate if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Habib Insurance holds a performance score of 13. The company retains a Market Volatility (i.e., Beta) of -0.61, which attests to possible diversification benefits within a given portfolio. As returns on the market increase, returns on owning Habib Insurance are expected to decrease at a much lower rate. During the bear market, Habib Insurance is likely to outperform the market. Please check Habib Insurance's downside deviation, information ratio, and the relationship between the semi deviation and coefficient of variation , to make a quick decision on whether Habib Insurance's current trending patterns will revert.
Auto-correlation | -0.42 |
Modest reverse predictability
Habib Insurance has modest reverse predictability. Overlapping area represents the amount of predictability between Habib Insurance time series from 20th of July 2023 to 31st of March 2024 and 31st of March 2024 to 11th 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 Habib Insurance price movement. The serial correlation of -0.42 indicates that just about 42.0% of current Habib Insurance price fluctuation can be explain by its past prices.
| Correlation Coefficient | -0.42 | |
| Spearman Rank Test | -0.32 | |
| Residual Average | 0.0 | |
| Price Variance | 0.32 |
Habib Insurance lagged returns against current returns
Autocorrelation, which is Habib Insurance 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 Habib Insurance's stock expected returns. We can calculate the autocorrelation of Habib Insurance returns to help us make a trade decision. For example, suppose you find that Habib Insurance 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 |
Habib Insurance 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 Habib Insurance stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Habib Insurance stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Habib Insurance stock over time.
Current vs Lagged Prices |
| Timeline |
Habib Insurance Lagged Returns
When evaluating Habib Insurance's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Habib Insurance stock have on its future price. Habib Insurance 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, Habib Insurance autocorrelation shows the relationship between Habib Insurance stock current value and its past values and can show if there is a momentum factor associated with investing in Habib Insurance.
Regressed Prices |
| Timeline |
Pair Trading with Habib Insurance
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 Habib Insurance 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 Habib Insurance will appreciate offsetting losses from the drop in the long position's value.Moving together with Habib Stock
The ability to find closely correlated positions to Habib Insurance could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Habib Insurance 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 Habib Insurance - 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 Habib Insurance to buy it.
The correlation of Habib Insurance 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 Habib Insurance moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Habib Insurance 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 Habib Insurance 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 Habib Stock
Habib Insurance financial ratios help investors to determine whether Habib 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 Habib with respect to the benefits of owning Habib Insurance security.