SCHNITZER STEEL INDUSTRIES Volatility
| SCHNDelisted Stock | USD 32.77 0.31 0.96% |
We have found twenty-nine technical indicators for SCHNITZER STEEL INDUSTRIES, which you can use to evaluate the volatility of the entity. Please validate SCHNITZER STEEL's Risk Adjusted Performance of 0.0461, downside deviation of 2.18, and Market Risk Adjusted Performance of 0.2032 to confirm if the risk estimate we provide is consistent with the expected return of 0.0%. Key indicators related to SCHNITZER STEEL's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
SCHNITZER STEEL Stock volatility depicts how high the prices fluctuate around the mean (or its average) price. In other words, it is a statistical measure of the distribution of SCHNITZER daily returns, and it is calculated using variance and standard deviation. We also use SCHNITZER's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of SCHNITZER STEEL volatility.
SCHNITZER |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as SCHNITZER STEEL can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of SCHNITZER STEEL at lower prices. For example, an investor can purchase SCHNITZER stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of SCHNITZER STEEL's stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns.
Moving against SCHNITZER Stock
| 0.53 | CHKEZ | Chesapeake Energy Symbol Change | PairCorr |
| 0.52 | BKRKY | Bank Rakyat | PairCorr |
| 0.51 | CHKEL | Chesapeake Energy Symbol Change | PairCorr |
| 0.43 | PPERY | Bank Mandiri Persero | PairCorr |
| 0.39 | TLK | Telkom Indonesia Tbk | PairCorr |
| 0.33 | BKRKF | PT Bank Rakyat | PairCorr |
| 0.31 | GOEVW | Canoo Holdings | PairCorr |
SCHNITZER STEEL Market Sensitivity And Downside Risk
SCHNITZER STEEL's beta coefficient measures the volatility of SCHNITZER stock compared to the systematic risk of the entire market represented by your selected benchmark. In mathematical terms, beta represents the slope of the line through a regression of data points where each of these points represents SCHNITZER stock's returns against your selected market. In other words, SCHNITZER STEEL's beta of 0.55 provides an investor with an approximation of how much risk SCHNITZER STEEL stock can potentially add to one of your existing portfolios. SCHNITZER STEEL INDUSTRIES currently demonstrates below-average downside deviation. It has Information Ratio of -0.01 and Jensen Alpha of 0.04. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure SCHNITZER STEEL's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact SCHNITZER STEEL's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.
3 Months Beta |Analyze SCHNITZER STEEL INDU Demand TrendCheck current 90 days SCHNITZER STEEL correlation with market (Dow Jones Industrial)SCHNITZER Beta |
SCHNITZER standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. A typical volatile entity has a high standard deviation, while the deviation of a stable instrument is usually low. As a downside, the standard deviation calculates all uncertainty as risk, even when it is in your favor, such as above-average returns.
Standard Deviation | 0.0 |
It is essential to understand the difference between upside risk (as represented by SCHNITZER STEEL's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of SCHNITZER STEEL's daily returns or price. Since the actual investment returns on holding a position in schnitzer stock tend to have a non-normal distribution, there will be different probabilities for losses than for gains. The likelihood of losses is reflected in the downside risk of an investment in SCHNITZER STEEL.
SCHNITZER STEEL INDU Stock Volatility Analysis
Volatility refers to the frequency at which SCHNITZER STEEL delisted stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with SCHNITZER STEEL's price changes. Investors will then calculate the volatility of SCHNITZER STEEL's stock to predict their future moves. A delisted stock that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A stock with relatively stable price changes has low volatility. A highly volatile delisted stock is riskier, but the risk cuts both ways. Investing in highly volatile security can either be highly successful, or you may experience significant failure. There are two main types of SCHNITZER STEEL's volatility:
Historical Volatility
This type of delisted stock volatility measures SCHNITZER STEEL's fluctuations based on previous trends. It's commonly used to predict SCHNITZER STEEL's future behavior based on its past. However, it cannot conclusively determine the future direction of the stock.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for SCHNITZER STEEL's current market price. This means that the delisted stock will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on SCHNITZER STEEL's to be redeemed at a future date.Transformation |
We are not able to run technical analysis function on this symbol. We either do not have that equity or its historical data is not available at this time. Please try again later.
SCHNITZER STEEL Projected Return Density Against Market
Given the investment horizon of 90 days SCHNITZER STEEL has a beta of 0.5451 . This usually implies as returns on the market go up, SCHNITZER STEEL average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding SCHNITZER STEEL INDUSTRIES will be expected to be much smaller as well.Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to SCHNITZER STEEL or Metals & Mining sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that SCHNITZER STEEL's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a SCHNITZER delisted stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
SCHNITZER STEEL INDUSTRIES has an alpha of 0.0358, implying that it can generate a 0.0358 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a SCHNITZER STEEL Price Volatility?
Several factors can influence a delisted stock's market volatility:Industry
Specific events can influence volatility within a particular industry. For instance, a significant weather upheaval in a crucial oil-production site may cause oil prices to increase in the oil sector. The direct result will be the rise in the stock price of oil distribution companies. Similarly, any government regulation in a specific industry could negatively influence stock prices due to increased regulations on compliance that may impact the company's future earnings and growth.Political and Economic environment
When governments make significant decisions regarding trade agreements, policies, and legislation regarding specific industries, they will influence stock prices. Everything from speeches to elections may influence investors, who can directly influence the stock prices in any particular industry. The prevailing economic situation also plays a significant role in stock prices. When the economy is doing well, investors will have a positive reaction and hence, better stock prices and vice versa.The Company's Performance
Sometimes volatility will only affect an individual company. For example, a revolutionary product launch or strong earnings report may attract many investors to purchase the company. This positive attention will raise the company's stock price. In contrast, product recalls and data breaches may negatively influence a company's stock prices.SCHNITZER STEEL Stock Return Volatility
SCHNITZER STEEL historical daily return volatility represents how much of SCHNITZER STEEL delisted stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 0.0% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7462% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About SCHNITZER STEEL Volatility
Volatility is a rate at which the price of SCHNITZER STEEL or any other equity instrument increases or decreases for a given set of returns. It is measured by calculating the standard deviation of the annualized returns over a given period of time and shows the range to which the price of SCHNITZER STEEL may increase or decrease. In other words, similar to SCHNITZER's beta indicator, it measures the risk of SCHNITZER STEEL and helps estimate the fluctuations that may happen in a short period of time. So if prices of SCHNITZER STEEL fluctuate rapidly in a short time span, it is termed to have high volatility, and if it swings slowly in a more extended period, it is understood to have low volatility.
Please read more on our technical analysis page.Schnitzer Steel Industries, Inc. recycles ferrous and nonferrous metal, and manufactures finished steel products worldwide. Schnitzer Steel Industries, Inc. was founded in 1906 and is headquartered in Portland, Oregon. Schnitzer Steel operates under Steel classification in the United States and is traded on NASDAQ Exchange. It employs 3471 people.
SCHNITZER STEEL's stock volatility refers to the amount of uncertainty or risk involved with the size of changes in its stock's price. It is a statistical measure of the dispersion of returns on SCHNITZER Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much SCHNITZER STEEL's price varies over time.
3 ways to utilize SCHNITZER STEEL's volatility to invest better
Higher SCHNITZER STEEL's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of SCHNITZER STEEL INDU stock is relatively stable. Investors and traders use stock volatility as an indicator of risk and potential reward, as stocks with higher volatility can offer the potential for more significant returns but also come with a greater risk of losses. SCHNITZER STEEL INDU stock volatility can provide helpful information for making investment decisions in the following ways:- Measuring Risk: Volatility can be used as a measure of risk, which can help you determine the potential fluctuations in the value of SCHNITZER STEEL INDU investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in SCHNITZER STEEL's stock can indicate that there is potential for significant price movements, either up or down, which could present investment opportunities.
- Diversification: Understanding how the volatility of SCHNITZER STEEL's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
SCHNITZER STEEL Investment Opportunity
Dow Jones Industrial has a standard deviation of returns of 0.75 and is 9.223372036854776E16 times more volatile than SCHNITZER STEEL INDUSTRIES. 0 percent of all equities and portfolios are less risky than SCHNITZER STEEL. You can use SCHNITZER STEEL INDUSTRIES to enhance the returns of your portfolios. The stock experiences a moderate upward volatility. Check odds of SCHNITZER STEEL to be traded at $36.05 in 90 days.Average diversification
The correlation between SCHNITZER STEEL INDUSTRIES and DJI is 0.19 (i.e., Average diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding SCHNITZER STEEL INDUSTRIES and DJI in the same portfolio, assuming nothing else is changed.
SCHNITZER STEEL Additional Risk Indicators
The analysis of SCHNITZER STEEL's secondary risk indicators is one of the essential steps in making a buy or sell decision. The process involves identifying the amount of risk involved in SCHNITZER STEEL's investment and either accepting that risk or mitigating it. Along with some common measures of SCHNITZER STEEL stock's risk such as standard deviation, beta, or value at risk, we also provide a set of secondary indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
| Risk Adjusted Performance | 0.0461 | |||
| Market Risk Adjusted Performance | 0.2032 | |||
| Mean Deviation | 1.66 | |||
| Semi Deviation | 2.05 | |||
| Downside Deviation | 2.18 | |||
| Coefficient Of Variation | 1934.27 | |||
| Standard Deviation | 2.23 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential stocks, we recommend comparing similar delisted stocks with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
SCHNITZER STEEL Suggested Diversification Pairs
Pair trading is one of the very effective strategies used by professional day traders and hedge funds capitalizing on short-time and mid-term market inefficiencies. The approach is based on the fact that the ratio of prices of two correlating shares is long-term stable and oscillates around the average value. If the correlation ratio comes outside the common area, you can speculate with a high success rate that the ratio will return to the mean value and collect a profit.
The effect of pair diversification on risk is to reduce it, but we should note this doesn't apply to all risk types. When we trade pairs against SCHNITZER STEEL as a counterpart, there is always some inherent risk that will never be diversified away no matter what. This volatility limits the effect of tactical diversification using pair trading. SCHNITZER STEEL's systematic risk is the inherent uncertainty of the entire market, and therefore cannot be mitigated even by pair-trading it against the equity that is not highly correlated to it. On the other hand, SCHNITZER STEEL's unsystematic risk describes the types of risk that we can protect against, at least to some degree, by selecting a matching pair that is not perfectly correlated to SCHNITZER STEEL INDUSTRIES.
Check out World Market Map to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in rate. You can also try the Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.
Other Consideration for investing in SCHNITZER Stock
If you are still planning to invest in SCHNITZER STEEL INDU check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the SCHNITZER STEEL's history and understand the potential risks before investing.
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Insider Screener Find insiders across different sectors to evaluate their impact on performance | |
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk |