On a scale of 0 to 100, Bank of New York holds a
performance score of 12. The firm shows a Beta (market volatility) of 1.4477, which signifies a somewhat significant risk relative to the market. Let's try to break down what Bank of New York's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Bank of New York will likely underperform. Although it is extremely important to respect
Bank of New York historical returns, it is better to be realistic regarding the information on equity current trending patterns. The philosophy towards foreseeing
future performance of any stock is to evaluate the business as a whole together with its past performance, including all
available fundamental and
technical indicators. By analyzing
Bank of New York technical indicators, you can presently evaluate if the expected return of 0.24% will be sustainable into the future. Please makes use of Bank of New York
maximum drawdown, and the
relationship between the
information ratio and
downside variance to make a quick decision on whether Bank of New York
price patterns will revert.
There are currently many different techniques concerning forecasting the market as a whole as well as
predicting future values of individual securities such as Bank of New York. Regardless of method or technology, 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.
Predictive Modules for Bank of New York
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of Bank of New York'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.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Bank of New York. Your research has to be compared to or analyzed against Bank of New York's peers to derive any actionable benefits. When done correctly, Bank of New York's competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Bank of New York.
How important is Bank of New York's Liquidity
Bank of New York
financial leverage refers to using borrowed capital as a funding source to finance Bank Of New ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Bank of New York financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Bank of New York's owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Bank of New York's financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Bank of New York's total debt and its cash.
A Deeper Perspective On Bank of New York
The recent bullish price patterns experienced by current Bank of New York shareholders could raise concerns from traders as the firm it trading at a share price of
57.16 on
5,456,667 in volume. The company directors and management have been very successful in rebalancing the firm assets at opportune times to take advantage of market volatility in
September. The stock standard deviation of daily returns for 90 days investing horizon is currently 1.39. The below-average Stock volatility is a good sign for longer-term investment options and for buy-and-hold investors.
Returns Breakdown
| Return on Assets | 0.009316 |
| Return on Equity | 0.088 |
| Return Capital | 0.0143 |
| Return on Sales | 0.31 |
Bank of New York is expecting lower volatility in November
Treynor ratio is down to 0.17. It may signify a possible volatility plunge. Bank Of New has relatively low volatility with skewness of 0.1 and kurtosis of 0.16. However, we advise all investors to independently investigate Bank Of New to ensure all accessible information is consistent with the expectations about its upside potential and future expected returns. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Bank of New York's stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Bank of New York's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Our Final Takeaway
Although some firms under the asset management industry are still a bit expensive, Bank of New York may offer a potential longer-term growth to traders. To conclude, as of the 18th of October 2021, we believe Bank of New York is currently
undervalued. It responds to the market and projects
below average probability of distress in the next two years. Our primary 90 days buy-or-sell advice on the firm is
Strong Buy.
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Raphi Shpitalnik is a Junior Member of Macroaxis Editorial Board. Raphael is a young entrepreneur who joined Macroaxis on a part-time basis at the beginning of the pandemic and eventually acquired a real taste for investing and fintech. He likes to analyze different equity instruments across a wide range of industries, focusing primarily on consumer products, sports, fintech, cannabis, and AI.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Raphi Shpitalnik do not own shares of Bank Of New. Please refer to our
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