Target Risk Analysis

Target Corporation -- USA Stock  

USD 61.48  0.28  0.45%

We consider Target not too volatile. Target owns Efficiency Ratio (i.e. Sharpe Ratio) of 0.0466 which indicates Target had 0.0466% of return per unit of risk over the last 1 month. Our philosophy towards measuring volatility of a stock is to use all available market data together with company specific technical indicators that cannot be diversified away. We have found twenty-eight technical indicators for Target Corporation which you can use to evaluate future volatility of the company. Please validate Target Semi Deviation of 3.33, Coefficient Of Variation of 1789.17 and Risk Adjusted Performance of 0.0364 to confirm if risk estimate we provide are consistent with the epected return of 0.1692%.
Investment Horizon     30 Days    Login   to change

Target Market Sensitivity

As market goes up, the company is expected to significantly outperform it. However, if the market returns are negative, Target will likely underperform.
One Month Beta |Analyze Target Demand Trend
Check current 30 days Target correlation with market (DOW)
β = 1.1917
Target Large BetaTarget Beta Legend

Target Technical Analysis

The output start index for this execution was zero with a total number of output elements of seventeen. Target Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input. View also all equity analysis or get more info about average price price transform indicator.

Projected Return Density Against Market

Considering 30-days investment horizon, the stock has beta coefficient of 1.1917 . This entails as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are expected to be negative, Target will likely underperform. Additionally, Target Corporation has a negative alpha implying that the risk taken by holding this equity is not justified. The company is significantly underperforming DOW
 Predicted Return Density 
Considering 30-days investment horizon, the coefficient of variation of Target is 2146.45. The daily returns are destributed with a variance of 13.19 and standard deviation of 3.63. The mean deviation of Target Corporation is currently at 2.22. For similar time horizon, the selected benchmark (DOW) has volatility of 0.5
Alpha over DOW
βBeta against DOW=1.19
Overall volatility
 IrInformation ratio =0.0068

Actual Return Volatility

Target Corporation has volatility of 3.6313% on return distribution over 30 days investment horizon. DOW inherits 0.5042% risk (volatility on return distribution) over the 30 days horizon.
 Performance (%) 

Market Risk Breakdown

Target Volatility Factors

30 Days Market Risk

Not too volatile

Chance of Distress in 24 months

30 Days Economic Sensitivity

Almost mirrors market

Total Debt

Target Total Debt History

Total Debt

Largest Trends

Target Largest Period Trend

Investment Outlook

Target Investment Opportunity
Target Corporation has a volatility of 3.63 and is 7.26 times more volatile than DOW. 33% of all equities and portfolios are less risky than Target. Compared to the overall equity markets, volatility of historical daily returns of Target Corporation is lower than 33 (%) of all global equities and portfolios over the last 30 days. Use Target Corporation to protect against small markets fluctuations. The stock experiences normal downward trend and little activity. Check odds of Target to be traded at $60.87 in 30 days. As market goes up, the company is expected to significantly outperform it. However, if the market returns are negative, Target will likely underperform.

Target correlation with market

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