Cerenceinc Stock Market Value
| CRNC Stock | USD 9.71 0.32 3.41% |
| Symbol | CerenceInc |
CerenceInc Price To Book Ratio
Is CerenceInc'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 CerenceInc. If investors know CerenceInc 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 CerenceInc listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth (0.10) | Earnings Share (0.82) | Revenue Per Share 8.617 | Quarterly Revenue Growth 0.654 | Return On Assets 0.02 |
The market value of CerenceInc is measured differently than its book value, which is the value of CerenceInc that is recorded on the company's balance sheet. Investors also form their own opinion of CerenceInc's value that differs from its market value or its book value, called intrinsic value, which is CerenceInc'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 CerenceInc's market value can be influenced by many factors that don't directly affect CerenceInc'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 CerenceInc's value and its price as these two are different measures arrived at by different means. Investors typically determine if CerenceInc is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, CerenceInc'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.
CerenceInc 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to CerenceInc's stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of CerenceInc.
| 03/31/2024 |
| 04/30/2024 |
If you would invest 0.00 in CerenceInc on March 31, 2024 and sell it all today you would earn a total of 0.00 from holding CerenceInc or generate 0.0% return on investment in CerenceInc over 30 days. CerenceInc is related to or competes with Autodesk, Intuit, Zoom Video, Snowflake, Workday, Salesforce, and HubSpot. Cerence Inc. provides AI powered virtual assistants for the mobilitytransportation market worldwide More
CerenceInc Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure CerenceInc's stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess CerenceInc upside and downside potential and time the market with a certain degree of confidence.
| Information Ratio | (0.31) | |||
| Maximum Drawdown | 16.77 | |||
| Value At Risk | (7.10) | |||
| Potential Upside | 4.11 |
CerenceInc Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for CerenceInc's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as CerenceInc's standard deviation. In reality, there are many statistical measures that can use CerenceInc historical prices to predict the future CerenceInc's volatility.| Risk Adjusted Performance | (0.17) | |||
| Jensen Alpha | (1.25) | |||
| Total Risk Alpha | (1.55) | |||
| Treynor Ratio | (0.49) |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of CerenceInc'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.
CerenceInc Backtested Returns
CerenceInc secures Sharpe Ratio (or Efficiency) of -0.28, which signifies that the company had a -0.28% return per unit of risk over the last 3 months. CerenceInc exposes twenty-four different technical indicators, which can help you to evaluate volatility embedded in its price movement. Please confirm CerenceInc's Mean Deviation of 2.77, standard deviation of 3.75, and Risk Adjusted Performance of (0.17) to double-check the risk estimate we provide. The firm shows a Beta (market volatility) of 2.2, which signifies a somewhat significant risk relative to the market. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, CerenceInc will likely underperform. CerenceInc has an expected return of -1.09%. Please make sure to confirm CerenceInc value at risk, rate of daily change, relative strength index, as well as the relationship between the kurtosis and market facilitation index , to decide if CerenceInc performance from the past will be repeated at some point in the near future.
Auto-correlation | 0.72 |
Good predictability
CerenceInc has good predictability. Overlapping area represents the amount of predictability between CerenceInc time series from 31st of March 2024 to 15th of April 2024 and 15th of April 2024 to 30th of April 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of CerenceInc price movement. The serial correlation of 0.72 indicates that around 72.0% of current CerenceInc price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.72 | |
| Spearman Rank Test | 0.85 | |
| Residual Average | 0.0 | |
| Price Variance | 0.61 |
CerenceInc lagged returns against current returns
Autocorrelation, which is CerenceInc stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting CerenceInc's stock expected returns. We can calculate the autocorrelation of CerenceInc returns to help us make a trade decision. For example, suppose you find that CerenceInc has exhibited high autocorrelation historically, and you observe that the stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
CerenceInc regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If CerenceInc stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if CerenceInc stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in CerenceInc stock over time.
Current vs Lagged Prices |
| Timeline |
CerenceInc Lagged Returns
When evaluating CerenceInc's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of CerenceInc stock have on its future price. CerenceInc autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, CerenceInc autocorrelation shows the relationship between CerenceInc stock current value and its past values and can show if there is a momentum factor associated with investing in CerenceInc.
Regressed Prices |
| Timeline |
Pair Trading with CerenceInc
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if CerenceInc position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in CerenceInc will appreciate offsetting losses from the drop in the long position's value.Moving together with CerenceInc Stock
| 0.78 | U | Unity Software Aggressive Push | PairCorr |
| 0.83 | DT | Dynatrace Holdings LLC Financial Report 15th of May 2024 | PairCorr |
Moving against CerenceInc Stock
| 0.72 | DPSI | DecisionPoint Systems Financial Report 20th of May 2024 | PairCorr |
| 0.63 | ML | MoneyLion Downward Rally | PairCorr |
| 0.51 | VERX | Vertex Financial Report 8th of May 2024 | PairCorr |
The ability to find closely correlated positions to CerenceInc could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace CerenceInc when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back CerenceInc - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling CerenceInc to buy it.
The correlation of CerenceInc is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as CerenceInc moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if CerenceInc moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for CerenceInc can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out CerenceInc Correlation, CerenceInc Volatility and CerenceInc Alpha and Beta module to complement your research on CerenceInc. For information on how to trade CerenceInc Stock refer to our How to Trade CerenceInc Stock guide.You can also try the Bonds Directory module to find actively traded corporate debentures issued by US companies.
Complementary Tools for CerenceInc Stock analysis
When running CerenceInc's price analysis, check to measure CerenceInc'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 CerenceInc is operating at the current time. Most of CerenceInc's value examination focuses on studying past and present price action to predict the probability of CerenceInc's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move CerenceInc's price. Additionally, you may evaluate how the addition of CerenceInc to your portfolios can decrease your overall portfolio volatility.
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CerenceInc technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.