Advance Auto Correlations
| AAP Stock | USD 76.53 1.47 1.88% |
The correlation of Advance Auto is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Advance Auto moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Advance Auto Parts moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Weak diversification
The correlation between Advance Auto Parts and NYA is 0.37 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Advance Auto Parts and NYA in the same portfolio, assuming nothing else is changed.
Advance |
The ability to find closely correlated positions to Advance Auto could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Advance Auto when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Advance Auto - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Advance Auto Parts to buy it.
Moving together with Advance Stock
| 0.91 | DIBS | 1StdibsCom Financial Report 8th of May 2024 | PairCorr |
| 0.84 | JD | JD Inc Adr Aggressive Push | PairCorr |
| 0.68 | AEO | American Eagle Outfitters Financial Report 22nd of May 2024 | PairCorr |
| 0.87 | AZO | AutoZone Financial Report 28th of May 2024 | PairCorr |
| 0.75 | BBY | Best Buy Financial Report 23rd of May 2024 | PairCorr |
Moving against Advance Stock
| 0.79 | AAN | Aarons | PairCorr |
| 0.78 | BGI | Birks Group | PairCorr |
| 0.71 | ETSY | Etsy Inc Earnings Call This Week | PairCorr |
| 0.66 | FL | Foot Locker Financial Report 17th of May 2024 | PairCorr |
| 0.64 | WEYS | Weyco Group | PairCorr |
| 0.42 | EXPE | Expedia Group Earnings Call This Week | PairCorr |
Related Correlations Analysis
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Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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Risk-Adjusted Indicators
There is a big difference between Advance Stock performing well and Advance Auto Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Advance Auto's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| TGT | 1.29 | 0.23 | 0.18 | 0.35 | 1.04 | 2.39 | 15.06 | |||
| LOW | 1.04 | (0.02) | 0.01 | 0.07 | 1.12 | 1.86 | 6.55 | |||
| KSS | 2.53 | (0.13) | 0.01 | 0.04 | 2.87 | 4.87 | 14.13 | |||
| GPS | 1.98 | 0.06 | 0.04 | 0.12 | 2.17 | 4.93 | 12.81 | |||
| WMT | 0.64 | 0.11 | 0.06 | 0.57 | 0.56 | 1.46 | 4.93 |
Be your own money manager
Our tools can tell you how much better you can do entering a position in Advance Auto without increasing your portfolio risk or giving up the expected return. As an individual investor, you need to find a reliable way to track all your investment portfolios. However, your requirements will often be based on how much of the process you decide to do yourself. In addition to allowing all investors analytical transparency into all their portfolios, our tools can evaluate risk-adjusted returns of your individual positions relative to your overall portfolio.Did you try this?
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Advance Auto Corporate Directors
Advance Auto corporate directors refer to members of an Advance Auto board of directors. The board of directors generally takes responsibility for the Advance Auto's affairs and long-term direction of the entity. A corporate director does not make decisions for the corporation on his own. As a member of the board of directors, she or he must function as a part of a group that makes decisions on behalf of the business only by the board of directors' meetings. To pass a resolution, a majority of Advance Auto's board members must vote for the resolution. The Advance Auto board of directors' duties also include the election, removal, and supervision of officers, including the adoption, amendment, and repeal of bylaws.| Arthur Valdez | Independent Director | Profile | |
| Joan Hilson | Independent Director | Profile | |
| John Bergstrom | Independent Director | Profile | |
| Julian Raines | Independent Director | Profile |
Already Invested in Advance Auto Parts?
The danger of trading Advance Auto Parts is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Advance Auto is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Advance Auto. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Advance Auto Parts is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
When determining whether Advance Auto Parts is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Advance Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Advance Auto Parts Stock. Highlighted below are key reports to facilitate an investment decision about Advance Auto Parts Stock: Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Advance Auto Parts. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in nation. Note that the Advance Auto Parts information on this page should be used as a complementary analysis to other Advance Auto's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
Complementary Tools for Advance Stock analysis
When running Advance Auto's price analysis, check to measure Advance Auto's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Advance Auto is operating at the current time. Most of Advance Auto's value examination focuses on studying past and present price action to predict the probability of Advance Auto's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Advance Auto's price. Additionally, you may evaluate how the addition of Advance Auto to your portfolios can decrease your overall portfolio volatility.
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Pair Correlation Compare performance and examine fundamental relationship between any two equity instruments | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |
Is Advance Auto's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Advance Auto. If investors know Advance will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Advance Auto listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.40) | Dividend Share 2.25 | Earnings Share 0.5 | Revenue Per Share 189.925 | Quarterly Revenue Growth (0) |
The market value of Advance Auto Parts is measured differently than its book value, which is the value of Advance that is recorded on the company's balance sheet. Investors also form their own opinion of Advance Auto's value that differs from its market value or its book value, called intrinsic value, which is Advance Auto's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Advance Auto's market value can be influenced by many factors that don't directly affect Advance Auto's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Advance Auto's value and its price as these two are different measures arrived at by different means. Investors typically determine if Advance Auto is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Advance Auto'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.