Despegar Corp Stock Probability of Future Stock Price Finishing Over 11.32
DESP Stock | USD 11.32 0.02 0.18% |
Closest to current price Despegar long CALL Option Payoff at Expiration
Despegar |
Despegar Corp Target Price Odds to finish over 11.32
The tendency of Despegar Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
Current Price | Horizon | Target Price | Odds to move above the current price in 90 days |
11.32 | 90 days | 11.32 | about 19.49 |
Based on a normal probability distribution, the odds of Despegar Corp to move above the current price in 90 days from now is about 19.49 (This Despegar Corp probability density function shows the probability of Despegar Stock to fall within a particular range of prices over 90 days) .
Given the investment horizon of 90 days the stock has the beta coefficient of 1.91 suggesting as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Despegar Corp will likely underperform. Additionally Despegar Corp has an alpha of 0.2531, implying that it can generate a 0.25 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta). Despegar Corp Price Density |
Price |
Predictive Modules for Despegar Corp
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Despegar Corp. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Despegar Corp's price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Despegar Corp Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Despegar Corp is not an exception. The market had few large corrections towards the Despegar Corp's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold Despegar Corp, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Despegar Corp within the framework of very fundamental risk indicators.α | Alpha over NYSE Composite | 0.25 | |
β | Beta against NYSE Composite | 1.91 | |
σ | Overall volatility | 1.50 | |
Ir | Information ratio | 0.09 |
Despegar Corp Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Despegar Corp for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Despegar Corp can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.Despegar Corp had very high historical volatility over the last 90 days | |
The company currently holds 53.8 M in liabilities with Debt to Equity (D/E) ratio of 0.86, which is about average as compared to similar companies. Despegar Corp has a current ratio of 0.88, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Debt can assist Despegar Corp until it has trouble settling it off, either with new capital or with free cash flow. So, Despegar Corp's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Despegar Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Despegar to invest in growth at high rates of return. When we think about Despegar Corp's use of debt, we should always consider it together with cash and equity. | |
The entity reported the previous year's revenue of 706.04 M. Net Loss for the year was (68.53 M) with profit before overhead, payroll, taxes, and interest of 355.07 M. | |
About 72.0% of Despegar Corp shares are held by institutions such as insurance companies | |
Latest headline from finance.yahoo.com: Despegar.com Is Up 3.38 percent in One Week What You Should Know |
Despegar Corp Price Density Drivers
Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of Despegar Stock often depends not only on the future outlook of the current and potential Despegar Corp's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. Despegar Corp's indicators that are reflective of the short sentiment are summarized in the table below.
Common Stock Shares Outstanding | 77.2 M | |
Cash And Short Term Investments | 240.5 M |
Despegar Corp Technical Analysis
Despegar Corp's future price can be derived by breaking down and analyzing its technical indicators over time. Despegar Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Despegar Corp. In general, you should focus on analyzing Despegar Stock price patterns and their correlations with different microeconomic environments and drivers.
Despegar Corp Predictive Forecast Models
Despegar Corp's time-series forecasting models is one of many Despegar Corp's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary Despegar Corp's historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.
Things to note about Despegar Corp
Checking the ongoing alerts about Despegar Corp for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Despegar Corp help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
Despegar Corp had very high historical volatility over the last 90 days | |
The company currently holds 53.8 M in liabilities with Debt to Equity (D/E) ratio of 0.86, which is about average as compared to similar companies. Despegar Corp has a current ratio of 0.88, indicating that it has a negative working capital and may not be able to pay financial obligations when due. Debt can assist Despegar Corp until it has trouble settling it off, either with new capital or with free cash flow. So, Despegar Corp's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Despegar Corp sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Despegar to invest in growth at high rates of return. When we think about Despegar Corp's use of debt, we should always consider it together with cash and equity. | |
The entity reported the previous year's revenue of 706.04 M. Net Loss for the year was (68.53 M) with profit before overhead, payroll, taxes, and interest of 355.07 M. | |
About 72.0% of Despegar Corp shares are held by institutions such as insurance companies | |
Latest headline from finance.yahoo.com: Despegar.com Is Up 3.38 percent in One Week What You Should Know |
Check out Despegar Corp Backtesting, Despegar Corp Valuation, Despegar Corp Correlation, Despegar Corp Hype Analysis, Despegar Corp Volatility, Despegar Corp History as well as Despegar Corp Performance. To learn how to invest in Despegar Stock, please use our How to Invest in Despegar Corp guide.You can also try the Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
Complementary Tools for Despegar Stock analysis
When running Despegar Corp's price analysis, check to measure Despegar Corp'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 Despegar Corp is operating at the current time. Most of Despegar Corp's value examination focuses on studying past and present price action to predict the probability of Despegar Corp's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Despegar Corp's price. Additionally, you may evaluate how the addition of Despegar Corp to your portfolios can decrease your overall portfolio volatility.
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Is Despegar Corp'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 Despegar Corp. If investors know Despegar 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 Despegar Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (0.88) | Revenue Per Share 9.149 | Quarterly Revenue Growth 0.399 | Return On Assets 0.0511 | Return On Equity 0.5739 |
The market value of Despegar Corp is measured differently than its book value, which is the value of Despegar that is recorded on the company's balance sheet. Investors also form their own opinion of Despegar Corp's value that differs from its market value or its book value, called intrinsic value, which is Despegar Corp'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 Despegar Corp's market value can be influenced by many factors that don't directly affect Despegar Corp'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 Despegar Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine if Despegar Corp is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Despegar Corp'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.