The company's average rating is Buy from 4 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 Magnachip Semiconductor market sentiment investors' perception of the future value of Magnachip. Let us look at a few aspects of Magnachip technical analysis.
Using predictive
technical analysis, we can analyze different prices and returns patterns and
diagnose historical swings to determine the real value of MagnaChip Semiconductor. In general, sophisticated investors focus on analyzing MagnaChip Semiconductor stock price patterns and their correlations with different microeconomic environment and drivers. They apply predictive analytics to build MagnaChip Semiconductor'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
MagnaChip Semiconductor's intrinsic value. In addition to deriving basic predictive indicators for MagnaChip Semiconductor, many experienced traders also check how macroeconomic factors affect MagnaChip Semiconductor 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 MagnaChip Semiconductor'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 MagnaChip Semiconductor. Your research has to be compared to or analyzed against MagnaChip Semiconductor's peers to derive any actionable benefits. When done correctly, MagnaChip Semiconductor'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 MagnaChip Semiconductor.
How does MagnaChip Stands against Peers?
Analyzing MagnaChip Semiconductor competition or peers my help you to expand the diversification possibilities of your existing portfolios and to get a better perspective on locking in new positions. Try to analyze the advantages of investing in traded instruments related to MagnaChip Semiconductor across multiple sectors and
thematic ideas. A good competitive analysis can cover a lot of different areas. But what areas to choose depends on who you are. The more exhaustive you are in your analysis, the more effective your competitive analysis will be. Check out
MagnaChip Semiconductor Competition DetailsMagnaChip Semiconductor Gross Profit
MagnaChip Semiconductor Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing MagnaChip Semiconductor previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show MagnaChip Semiconductor Gross Profit growth over the last 10 years. Please check MagnaChip Semiconductor's
gross profit and other
fundamental indicators for more details.
Closer look at Magnachip Semiconductor Semi Variance
Magnachip Semiconductor Corp has current Semi Variance of 7.05. Semi-variance provides a good measure of downside volatility for equity or a portfolio. It is similar to variance, but it only looks at periods where the returns are less than the target or average level.
Semi-variance is the square of semi-deviation. Semi-variance is calculated by averaging the deviations of returns that have a result that is less than the mean.
Semi Variance | = | SUM(RET DEV)2 N(ZERO) |
| = | 7.05 |
| SUM | = | Summation notation |
| RET DEV | = | Actual return deviation over selected period |
| N(ZERO) | = | Number of points with returns less than zero |
Let's now compare Magnachip Semiconductor Semi Variance to its closest peers:
| MX | 7.05 |
| ADI | 4.3 |
| DIOD | 11.62 |
| MXL | 18.59 |
Can Magnachip Semiconductor build up on the current rise?
The mean deviation is down to 2.67 as of today. Magnachip Semiconductor Corp shows above-average downside volatility for the selected time horizon. We advise investors to inspect Magnachip Semiconductor Corp further and ensure that all market timing and asset allocation strategies are consistent with the estimation of Magnachip Semiconductor future alpha. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Magnachip Semiconductor'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 Magnachip Semiconductor'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.
The Bottom Line
While many of the other players within the semiconductors industry are still a little expensive, even after the recent corrections, Magnachip Semiconductor may offer a potential longer-term growth to investors. To conclude, as of the 26th of March 2021, our present 30 days buy-hold-sell advice on the company is
Strong Buy. We believe Magnachip Semiconductor is currently
undervalued with
very low probability of distress for the next two years.
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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 MagnaChip Semiconductor. Please refer to our
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