SPECTRA's market value is the price at which a share of SPECTRA trades on an exchange. It measures the collective expectations of SPECTRA ENERGY PARTNERS investors about the bond's future performance. With this module, you can estimate the performance of a buy and hold strategy of SPECTRA ENERGY PARTNERS and determine expected loss or profit from investing in SPECTRA over a given investment horizon. Check out SPECTRA Correlation, SPECTRA Volatility and SPECTRA Alpha and Beta module to complement your research on SPECTRA.
Please note, there is a significant difference between SPECTRA's value and its price as these two are different measures arrived at by different means. Investors typically determine if SPECTRA is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, SPECTRA'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.
SPECTRA '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 SPECTRA's bond 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 SPECTRA.
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure SPECTRA's bond 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 SPECTRA ENERGY PARTNERS upside and downside potential and time the market with a certain degree of confidence.
Today, many novice investors tend to focus exclusively on investment returns with little concern for SPECTRA's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as SPECTRA's standard deviation. In reality, there are many statistical measures that can use SPECTRA historical prices to predict the future SPECTRA's volatility.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as SPECTRA. Your research has to be compared to or analyzed against SPECTRA's peers to derive any actionable benefits. When done correctly, SPECTRA's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in SPECTRA ENERGY PARTNERS.
SPECTRA ENERGY PARTNERS Backtested Returns
SPECTRA ENERGY PARTNERS owns Efficiency Ratio (i.e., Sharpe Ratio) of -0.13, which indicates the bond had a -0.13% return per unit of volatility over the last 3 months. SPECTRA ENERGY PARTNERS exposes twenty-two different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please validate SPECTRA's variance of 0.9462, and Risk Adjusted Performance of (0.03) to confirm the risk estimate we provide. The entity has a beta of -0.19, which indicates not very significant fluctuations relative to the market. As returns on the market increase, returns on owning SPECTRA are expected to decrease at a much lower rate. During the bear market, SPECTRA is likely to outperform the market.
Auto-correlation
-0.53
Good reverse predictability
SPECTRA ENERGY PARTNERS has good reverse predictability. Overlapping area represents the amount of predictability between SPECTRA time series from 6th of September 2024 to 21st of October 2024 and 21st of October 2024 to 5th 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 SPECTRA ENERGY PARTNERS price movement. The serial correlation of -0.53 indicates that about 53.0% of current SPECTRA price fluctuation can be explain by its past prices.
Correlation Coefficient
-0.53
Spearman Rank Test
-0.18
Residual Average
0.0
Price Variance
1.57
SPECTRA ENERGY PARTNERS lagged returns against current returns
Autocorrelation, which is SPECTRA bond'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 SPECTRA's bond expected returns. We can calculate the autocorrelation of SPECTRA returns to help us make a trade decision. For example, suppose you find that SPECTRA has exhibited high autocorrelation historically, and you observe that the bond 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
SPECTRA 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 SPECTRA bond is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if SPECTRA bond is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in SPECTRA bond over time.
Current vs Lagged Prices
Timeline
SPECTRA Lagged Returns
When evaluating SPECTRA's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of SPECTRA bond have on its future price. SPECTRA 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, SPECTRA autocorrelation shows the relationship between SPECTRA bond current value and its past values and can show if there is a momentum factor associated with investing in SPECTRA ENERGY PARTNERS.
Regressed Prices
Timeline
Also Currently Popular
Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.
SPECTRA financial ratios help investors to determine whether SPECTRA Bond 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 SPECTRA with respect to the benefits of owning SPECTRA security.