The company's average rating is Hold from 6 analysts. Do analysts base this consensus on technical analyses? We know that typical technical analysis utilizes price momentum, patterns, and trends looking at historical prices. It aims to identify signals based on Bank Of Hawaii market sentiment investors' perception of the future value of Bank Of Hawaii. Let us look at a few aspects of Bank Of Hawaii technical analysis.
Using predictive
technical analysis, we can analyze different prices and returns patterns and
diagnose historical swings to determine the real value of Bank of Hawaii. In general, sophisticated investors focus on analyzing Bank of Hawaii stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build Bank of Hawaii's daily price indicators and compare them against related drivers such as
momentum indicators and various other types of predictive indicators. Using this methodology combined with a more conventional
technical analysis and
fundamental analysis, we attempt to find the most accurate representation of
Bank of Hawaii's intrinsic value. In addition to deriving basic predictive indicators for Bank of Hawaii, many experienced traders also check how macroeconomic factors affect Bank of Hawaii price patterns. Please read more on our
technical analysis page or use our predictive modules below to complement your research.
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of Bank of Hawaii'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 Hawaii. Your research has to be compared to or analyzed against Bank of Hawaii's peers to derive any actionable benefits. When done correctly, Bank of Hawaii'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 Hawaii.
How important is Bank of Hawaii's Liquidity
Bank of Hawaii
financial leverage refers to using borrowed capital as a funding source to finance Bank of Hawaii ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Bank of Hawaii 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 Hawaii'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 Hawaii'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 Hawaii's total debt and its cash.
Closer look at Bank Of Hawaii Mean Deviation
Bank Of Hawaii has current Mean Deviation of 2.01. The mean deviation of the equity instrument is the first measure of the distances between each value of security historical prices and the mean. It gives us an idea of how spread out from the center the distribution of returns.
Mean Deviation is the average of the absolute values of the differences between price distribution numbers and their mean. Mean deviation of equity instrument with a lot of historical data is a biased estimator because the time horizon used in calculation will always be much smaller than the entire price history of the equity. The mean deviation is typically used as a measure of dispersion for small investment horizon, otherwise standard deviation is a better measure of dispersion.
Mean Deviation | = | SUM(RET DEV) N |
| = | 2.01 |
| SUM | = | Summation notation |
| RET DEV | = | Sum of return deviations of Bank Of Hawaii |
| N | = | Number of calculation points for selected time horizon |
Let's now compare Bank Of Hawaii Mean Deviation to its closest peers:
| BOH | 2.0149207052341596 |
| EGBN | 2.19 |
| DB | 1.69 |
| KB | 1.57 |
| BY | 2.12 |
Will Bank Of Hawaii growth be viable after the rise?
Current Total Risk Alpha is up to 0.07. Price may drop again. Bank Of Hawaii currently demonstrates below-verage downside deviation. It has Information Ratio of 0.15 and Jensen Alpha of 0.68. However, we do advice investors to further question Bank Of Hawaii expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk.
Our Final Take On Bank Of Hawaii
While other entities within the banks—regional industry are still a little expensive, even after the recent corrections, Bank Of Hawaii may offer a potential longer-term growth to stockholders. To conclude, as of the 24th of January 2021, our primary 30 days buy-sell recommendation on the company is
Strong Buy. We believe Bank Of Hawaii is
fairly valued with
below average chance of distress for the next two years.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
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 Vlad Skutelnik do not own shares of Bank of Hawaii. Please refer to our
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