Nusantara Infrastructure (Indonesia) Market Value

Symbol

Nusantara

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 Nusantara Infrastructure'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 Nusantara Infrastructure.

Nusantara Infrastructure Upside/Downside Indicators

Nusantara Infrastructure Market Risk Indicators

Today, many novice investors tend to focus exclusively on investment returns with little concern for Nusantara Infrastructure's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Nusantara Infrastructure's standard deviation. In reality, there are many statistical measures that can use Nusantara Infrastructure historical prices to predict the future Nusantara Infrastructure's volatility.

Autocorrelation, which is Nusantara Infrastructure 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 Nusantara Infrastructure's stock expected returns. We can calculate the autocorrelation of Nusantara Infrastructure returns to help us make a trade decision. For example, suppose you find that Nusantara Infrastructure 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.

Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Nusantara Infrastructure stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Nusantara Infrastructure stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Nusantara Infrastructure stock over time.

When evaluating Nusantara Infrastructure's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Nusantara Infrastructure stock have on its future price. Nusantara Infrastructure 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, Nusantara Infrastructure autocorrelation shows the relationship between Nusantara Infrastructure stock current value and its past values and can show if there is a momentum factor associated with investing in Nusantara Infrastructure Tbk.

Nusantara Infrastructure financial ratios help investors to determine whether Nusantara 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 Nusantara with respect to the benefits of owning Nusantara Infrastructure security.