Qurate Retail (Germany) Volatility
| LB3A Stock | EUR 0.92 0.03 3.16% |
Qurate Retail appears to be abnormally volatile, given 3 months investment horizon. Qurate Retail Series maintains Sharpe Ratio (i.e., Efficiency) of 0.0747, which implies the firm had a 0.0747% return per unit of risk over the last 3 months. We have found twenty-seven technical indicators for Qurate Retail Series, which you can use to evaluate the volatility of the company. Please evaluate Qurate Retail's Semi Deviation of 3.43, coefficient of variation of 1256.12, and Risk Adjusted Performance of 0.0577 to confirm if our risk estimates are consistent with your expectations. Key indicators related to Qurate Retail's volatility include:
720 Days Market Risk | Chance Of Distress | 720 Days Economic Sensitivity |
Qurate Retail 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 Qurate daily returns, and it is calculated using variance and standard deviation. We also use Qurate's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Qurate Retail volatility.
Qurate |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Qurate Retail 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 Qurate Retail at lower prices. For example, an investor can purchase Qurate 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 Qurate Retail'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 together with Qurate Stock
| 0.62 | TR4 | Tractor Supply Earnings Call This Week | PairCorr |
Moving against Qurate Stock
Qurate Retail Market Sensitivity And Downside Risk
Qurate Retail's beta coefficient measures the volatility of Qurate 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 Qurate stock's returns against your selected market. In other words, Qurate Retail's beta of -0.44 provides an investor with an approximation of how much risk Qurate Retail stock can potentially add to one of your existing portfolios. Qurate Retail Series shows above-average downside volatility for the selected time horizon. Qurate Retail Series is a potential penny stock. Although Qurate Retail may be in fact a good instrument to invest, many penny stocks are speculative in nature and are subject to artificial price hype. Please make sure you totally understand the upside potential and downside risk of investing in Qurate Retail Series. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings, sudden news releases, promotions that are not reported, or demotions released before SEC filings. Please also check biographies and work history of current and past company officers before investing in high volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on Qurate instrument if you perfectly time your entry and exit. However, remember that penny stocks that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
3 Months Beta |Analyze Qurate Retail Series Demand TrendCheck current 90 days Qurate Retail correlation with market (NYSE Composite)Qurate Beta |
Qurate 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 | 4.74 |
It is essential to understand the difference between upside risk (as represented by Qurate Retail's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Qurate Retail's daily returns or price. Since the actual investment returns on holding a position in qurate 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 Qurate Retail.
Qurate Retail Series Stock Volatility Analysis
Volatility refers to the frequency at which Qurate Retail stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Qurate Retail's price changes. Investors will then calculate the volatility of Qurate Retail's stock to predict their future moves. A 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 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 Qurate Retail's volatility:
Historical Volatility
This type of stock volatility measures Qurate Retail's fluctuations based on previous trends. It's commonly used to predict Qurate Retail'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 Qurate Retail's current market price. This means that the stock will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Qurate Retail's to be redeemed at a future date.Transformation |
The output start index for this execution was zero with a total number of output elements of sixty-one. Qurate Retail Series 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.
Qurate Retail Projected Return Density Against Market
Assuming the 90 days trading horizon Qurate Retail Series has a beta of -0.4364 . This indicates as returns on the benchmark increase, returns on holding Qurate Retail are expected to decrease at a much lower rate. During a bear market, however, Qurate Retail Series is likely to outperform the market.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 Qurate Retail or Consumer Cyclical 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 Qurate Retail'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 Qurate 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.
Qurate Retail Series has an alpha of 0.4037, implying that it can generate a 0.4 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a Qurate Retail Price Volatility?
Several factors can influence a 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.Qurate Retail Stock Risk Measures
Assuming the 90 days trading horizon the coefficient of variation of Qurate Retail is 1339.11. The daily returns are distributed with a variance of 22.46 and standard deviation of 4.74. The mean deviation of Qurate Retail Series is currently at 3.74. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 0.62
α | Alpha over NYSE Composite | 0.40 | |
β | Beta against NYSE Composite | -0.44 | |
σ | Overall volatility | 4.74 | |
Ir | Information ratio | 0.06 |
Qurate Retail Stock Return Volatility
Qurate Retail historical daily return volatility represents how much of Qurate Retail stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company assumes 4.7389% volatility of returns over the 90 days investment horizon. By contrast, NYSE Composite accepts 0.6294% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About Qurate Retail Volatility
Volatility is a rate at which the price of Qurate Retail 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 Qurate Retail may increase or decrease. In other words, similar to Qurate's beta indicator, it measures the risk of Qurate Retail and helps estimate the fluctuations that may happen in a short period of time. So if prices of Qurate Retail 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.Qurate Retail, Inc., through its subsidiaries, engages in the video and online commerce industries in North America, Europe, and Asia. Qurate Retail, Inc. was founded in 1991 and is headquartered in Englewood, Colorado. QURATE RETAIL operates under Specialty Retail classification in Germany and is traded on Frankfurt Stock Exchange. It employs 27226 people.
Qurate Retail'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 Qurate Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Qurate Retail's price varies over time.
3 ways to utilize Qurate Retail's volatility to invest better
Higher Qurate Retail's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Qurate Retail Series 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. Qurate Retail Series 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 Qurate Retail Series investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Qurate Retail'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 Qurate Retail's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Qurate Retail Investment Opportunity
Qurate Retail Series has a volatility of 4.74 and is 7.52 times more volatile than NYSE Composite. Compared to the overall equity markets, volatility of historical daily returns of Qurate Retail Series is lower than 41 percent of all global equities and portfolios over the last 90 days. You can use Qurate Retail Series to protect your portfolios against small market fluctuations. The stock experiences an unexpected downward movement. The market is reacting to new fundamentals. Check odds of Qurate Retail to be traded at €0.8832 in 90 days.Good diversification
The correlation between Qurate Retail Series and NYA is -0.06 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Qurate Retail Series and NYA in the same portfolio, assuming nothing else is changed.
Qurate Retail Additional Risk Indicators
The analysis of Qurate Retail'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 Qurate Retail's investment and either accepting that risk or mitigating it. Along with some common measures of Qurate Retail 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 | 0.0577 | |||
| Market Risk Adjusted Performance | (0.84) | |||
| Mean Deviation | 3.8 | |||
| Semi Deviation | 3.43 | |||
| Downside Deviation | 3.85 | |||
| Coefficient Of Variation | 1256.12 | |||
| Standard Deviation | 4.76 |
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 stocks with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Qurate Retail 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 Qurate Retail 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. Qurate Retail'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, Qurate Retail'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 Qurate Retail Series.
When determining whether Qurate Retail Series offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Qurate Retail's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Qurate Retail Series Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Qurate Retail Series Stock: Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Qurate Retail Series. 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 Qurate Retail Series information on this page should be used as a complementary analysis to other Qurate Retail'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 Investing Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.
Complementary Tools for Qurate Stock analysis
When running Qurate Retail's price analysis, check to measure Qurate Retail'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 Qurate Retail is operating at the current time. Most of Qurate Retail's value examination focuses on studying past and present price action to predict the probability of Qurate Retail's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Qurate Retail's price. Additionally, you may evaluate how the addition of Qurate Retail to your portfolios can decrease your overall portfolio volatility.
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