Genesis Technology (Taiwan) Volatility

6221 Stock  TWD 86.40  0.70  0.80%   
At this stage we consider Genesis Stock to be out of control. Genesis Technology holds Efficiency (Sharpe) Ratio of 0.13, which attests that the entity had a 0.13% return per unit of risk over the last 3 months. We have found thirty technical indicators for Genesis Technology, which you can use to evaluate the volatility of the firm. Please check out Genesis Technology's Risk Adjusted Performance of 0.1319, market risk adjusted performance of 0.8197, and Downside Deviation of 0.566 to validate if the risk estimate we provide is consistent with the expected return of 0.0751%. Key indicators related to Genesis Technology's volatility include:
30 Days Market Risk
Chance Of Distress
30 Days Economic Sensitivity
Genesis Technology 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 Genesis daily returns, and it is calculated using variance and standard deviation. We also use Genesis's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Genesis Technology volatility.
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Genesis Technology 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 Genesis Technology at lower prices. For example, an investor can purchase Genesis 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 Genesis Technology'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 Genesis Stock

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Moving against Genesis Stock

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  0.583231 Wistron CorpPairCorr

Genesis Technology Market Sensitivity And Downside Risk

Genesis Technology's beta coefficient measures the volatility of Genesis 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 Genesis stock's returns against your selected market. In other words, Genesis Technology's beta of 0.15 provides an investor with an approximation of how much risk Genesis Technology stock can potentially add to one of your existing portfolios. Genesis Technology exhibits very low volatility with skewness of 0.93 and kurtosis of 3.18. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Genesis Technology's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Genesis Technology'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 financial instruments as prices fall.
3 Months Beta |Analyze Genesis Technology Demand Trend
Check current 90 days Genesis Technology correlation with market (Dow Jones Industrial)

Genesis Beta

Genesis 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

It is essential to understand the difference between upside risk (as represented by Genesis Technology's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Genesis Technology's daily returns or price. Since the actual investment returns on holding a position in genesis 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 Genesis Technology.

Genesis Technology Stock Volatility Analysis

Volatility refers to the frequency at which Genesis Technology stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Genesis Technology's price changes. Investors will then calculate the volatility of Genesis Technology'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 Genesis Technology's volatility:

Historical Volatility

This type of stock volatility measures Genesis Technology's fluctuations based on previous trends. It's commonly used to predict Genesis Technology'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 Genesis Technology'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 Genesis Technology's to be redeemed at a future date.
The output start index for this execution was zero with a total number of output elements of sixty-one. Genesis Technology 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.

Genesis Technology Projected Return Density Against Market

Assuming the 90 days trading horizon Genesis Technology has a beta of 0.1469 . This suggests as returns on the market go up, Genesis Technology average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Genesis Technology will be expected to be much smaller as well.
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 Genesis Technology or Technology 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 Genesis Technology'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 Genesis 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.
Genesis Technology has an alpha of 0.1049, implying that it can generate a 0.1 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta).
   Predicted Return Density   
Genesis Technology's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how genesis stock's price will differ from the mean after some time.To get its calculation, you should first determine the mean price during the specified period then subtract that from each price point.

What Drives a Genesis Technology Price Volatility?

Several factors can influence a stock's market volatility:


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.

Genesis Technology Stock Risk Measures

Assuming the 90 days trading horizon the coefficient of variation of Genesis Technology is 794.75. The daily returns are distributed with a variance of 0.36 and standard deviation of 0.6. The mean deviation of Genesis Technology is currently at 0.42. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.64
Alpha over Dow Jones
Beta against Dow Jones0.15
Overall volatility
Information ratio 0.04

Genesis Technology Stock Return Volatility

Genesis Technology historical daily return volatility represents how much of Genesis Technology stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The venture accepts 0.5968% volatility on return distribution over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.65% volatility on return distribution over the 90 days horizon.

About Genesis Technology Volatility

Volatility is a rate at which the price of Genesis Technology 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 Genesis Technology may increase or decrease. In other words, similar to Genesis's beta indicator, it measures the risk of Genesis Technology and helps estimate the fluctuations that may happen in a short period of time. So if prices of Genesis Technology 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.
Genesis Technology, Inc. provides various information technology solutions to enterprises in Taiwan. Genesis Technology, Inc. was founded in 1994 and is headquartered in Hsinchu, Taiwan. GENESIS TECHNOLOGY operates under Information Technology Services classification in Taiwan and is traded on Taiwan OTC Exchange.
Genesis Technology'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 Genesis Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Genesis Technology's price varies over time.

3 ways to utilize Genesis Technology's volatility to invest better

Higher Genesis Technology's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Genesis Technology 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. Genesis Technology 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 Genesis Technology investment. A higher volatility means higher risk and potentially larger changes in value.
  • Identifying Opportunities: High volatility in Genesis Technology'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 Genesis Technology's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Remember it's essential to remember that stock volatility is just one of many factors to consider when making investment decisions, and it should be used in conjunction with other fundamental and technical analysis tools.

Genesis Technology Investment Opportunity

Dow Jones Industrial has a standard deviation of returns of 0.65 and is 1.08 times more volatile than Genesis Technology. Compared to the overall equity markets, volatility of historical daily returns of Genesis Technology is lower than 5 percent of all global equities and portfolios over the last 90 days. You can use Genesis Technology to protect your portfolios against small market fluctuations. The stock experiences a moderate downward daily trend and can be a good diversifier. Check odds of Genesis Technology to be traded at NT$84.67 in 90 days.

Average diversification

The correlation between Genesis Technology and DJI is 0.15 (i.e., Average diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Genesis Technology and DJI in the same portfolio, assuming nothing else is changed.

Genesis Technology Additional Risk Indicators

The analysis of Genesis Technology'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 Genesis Technology's investment and either accepting that risk or mitigating it. Along with some common measures of Genesis Technology 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.
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.

Genesis Technology 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 Genesis Technology 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. Genesis Technology'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, Genesis Technology'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 Genesis Technology.

Additional Tools for Genesis Stock Analysis

When running Genesis Technology's price analysis, check to measure Genesis Technology'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 Genesis Technology is operating at the current time. Most of Genesis Technology's value examination focuses on studying past and present price action to predict the probability of Genesis Technology's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Genesis Technology's price. Additionally, you may evaluate how the addition of Genesis Technology to your portfolios can decrease your overall portfolio volatility.