Cadus Risk Analysis

Cadus Corporation -- USA Stock  

USD 1.25  0.01  0.81%

Cadus is abnormally risky given 1 month investment horizon. Cadus secures Sharpe Ratio (or Efficiency) of 0.2457 which signifies that Cadus had 0.2457% of return per unit of standard deviation over the last 1 month. Our philosophy in foreseeing risk of a stock is to use both market data as well as company specific technical data. We found twenty-one different technical indicators which can help you to evaluate if expected returns of 1.3858% are justified by taking the suggested risk. Use Cadus Mean Deviation of 2.43 and Risk Adjusted Performance of 0.0637 to evaluate company specific risk that cannot be diversified away.
Investment Horizon     30 Days    Login   to change

Cadus Market Sensitivity

As returns on market increase, returns on owning Cadus are expected to decrease by larger amounts. On the other hand, during market turmoil, Cadus is expected to significantly outperform it.
One Month Beta |Analyze Cadus Demand Trend
Check current 30 days Cadus correlation with market (DOW)
β = -9.7808
Cadus Large Negative BetaCadus Beta Legend

Projected Return Density Against Market

Given the investment horizon of 30 days, Cadus Corporation has beta of -9.7808 indicating as returns on its benchmark rise, returns on holding Cadus Corporation are expected to decrease by similarly larger amounts. On the other hand, during market turmoils, Cadus is expected to outperform its benchmark. In addition to that, Cadus Corporation has an alpha of 2.5405 implying that it can potentially generate 2.5405% excess return over DOW after adjusting for the inherited market risk (beta).
 Predicted Return Density 
      Returns 
Given the investment horizon of 30 days, the coefficient of variation of Cadus is 407.07. The daily returns are destributed with a variance of 31.82 and standard deviation of 5.64. The mean deviation of Cadus Corporation is currently at 2.41. For similar time horizon, the selected benchmark (DOW) has volatility of 0.23
α
Alpha over DOW
= 2.54 
βBeta against DOW=(9.78) 
σ
Overall volatility
= 5.64 
 IrInformation ratio = 0.21 

Actual Return Volatility

Cadus Corporation inherits 5.6412% risk (volatility on return distribution) over the 30 days horizon. DOW inherits 0.2303% risk (volatility on return distribution) over the 30 days horizon.
 Performance (%) 
      Timeline 

Market Risk Breakdown

Cadus Volatility Factors

30 Days Market Risk

Abnormally risky

Chance of Distress in 24 months

Below average

30 Days Economic Sensitivity

Completely opposite to market

Largest Trends

Cadus Largest Period Trend

Investment Outlook

Cadus Investment Opportunity
Cadus Corporation has a volatility of 5.64 and is 24.52 times more volatile than DOW. 53% of all equities and portfolios are less risky than Cadus. Compared to the overall equity markets, volatility of historical daily returns of Cadus Corporation is higher than 53 (%) of all global equities and portfolios over the last 30 days. Use Cadus Corporation to enhance returns of your portfolios. The stock experiences moderate upward volatility. Check odds of Cadus to be traded at $1.375 in 30 days. As returns on market increase, returns on owning Cadus are expected to decrease by larger amounts. On the other hand, during market turmoil, Cadus is expected to significantly outperform it.

Cadus correlation with market

Very good diversification
Overlapping area represents the amount of risk that can be diversified away by holding Cadus Corp. and equity matching DJI index in the same portfolio.