Republic Stock Volatility

FRBK
 Stock
  

USD 2.97  0.01  0.34%   

Republic First Bcp maintains Sharpe Ratio (i.e., Efficiency) of -0.0991, which implies the firm had -0.0991% of return per unit of risk over the last 3 months. Macroaxis standpoint towards forecasting the risk of any stock is to look at both systematic and unsystematic factors of the business, including all available market data and technical indicators. Republic First Bcp exposes twenty-seven different technical indicators, which can help you to evaluate volatility that cannot be diversified away. Please be advised to check Republic First Bcp coefficient of variation of (818.89), and Risk Adjusted Performance of (0.13) to confirm the risk estimate we provide.
  
Republic First 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 Republic daily returns, and it is calculated using variance and standard deviation. We also use Republic's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Republic First volatility.

720 Days Market Risk

Risky

Chance of Distress

Very Low

720 Days Economic Sensitivity

Almost mirrors the market
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Republic First 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 Republic First at lower prices. For example, an investor can purchase Republic 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 Republic First'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 Republic First

+0.62CIHHFChina Merchants BankPairCorr
+0.8CIHKYChina Merchants BankPairCorr

Moving against Republic First

-0.82IBNIcici BankPairCorr
-0.8SGMLSigma Lithium CorpPairCorr
-0.75IBAIndustrias BachocoPairCorr
-0.7BBAS3BRASIL ON NMPairCorr
-0.69PBCRFBANK CENTRAL ASIAPairCorr
-0.69FDSFactset Research Systems Fiscal Year End 27th of September 2022 PairCorr
-0.64BBDC4BRADESCO PN EJPairCorr

Republic First Market Sensitivity And Downside Risk

Republic First's beta coefficient measures the volatility of Republic stock compared to the systematic risk of the entire stock 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 Republic stock's returns against your selected market. In other words, Republic First's beta of 1.02 provides an investor with an approximation of how much risk Republic First stock can potentially add to one of your existing portfolios.
Republic First Bcp exhibits very low volatility with skewness of 1.97 and kurtosis of 10.39. However, we advise investors to further study Republic First Bcp technical indicators to ensure that all market info is available and is reliable. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Republic First'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 Republic First'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.
3 Months Beta |Analyze Republic First Bcp Demand Trend
Check current 90 days Republic First correlation with market (DOW)

Republic Beta

    
  1.02  
Republic standard deviation measures the daily dispersion of prices over your selected time horizon relative to its mean. Typical volatile equity 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

    
  4.03  
It is essential to understand the difference between upside risk (as represented by Republic First's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Republic First's daily returns or price. Since the actual investment returns on holding a position in republic 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 Republic First.

Using Republic Put Option to Manage Risk

Put options written on Republic First grant holders of the option the right to sell a specified amount of Republic First at a specified price within a specified time frame. The put buyer has a limited loss and, while not fully unlimited gains, as the price of Republic Stock cannot fall below zero, the put buyer does gain as the price drops. So, one way investors can hedge Republic First's position is by buying a put option against it. The put option used this way is usually referred to as insurance. If an undesired outcome occurs and loss on holding Republic First will be realized, the loss incurred will be offset by the profits made with the option trade.

Republic First's PUT expiring on 2022-10-21

   Profit   
Share
       Republic First Price At Expiration  

Current Republic First Insurance Chain

DeltaGammaOpen IntExpirationCurrent SpreadLast Price
Put
2022-10-21 PUT at $5.0-0.76040.196412022-10-211.7 - 2.22.05View
View All Republic First Options

Republic First Bcp Stock Volatility Analysis

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

Historical Volatility

This type of stock volatility measures Republic First's fluctuations based on previous trends. It's commonly used to predict Republic First'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 Republic First'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 Republic First's to be redeemed at a future date.
Transformation
The output start index for this execution was zero with a total number of output elements of sixty-one. Republic First Bcp 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.
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Republic First Projected Return Density Against Market

Given the investment horizon of 90 days the stock has the beta coefficient of 1.0198 . This usually indicates Republic First Bcp market returns are responsive to returns on the market. As the market goes up or down, Republic First is expected to follow.
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 Republic First or Financial Services 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 Republic First'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 Republic 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.
The company has a negative alpha, implying that the risk taken by holding this instrument is not justified. Republic First Bcp is significantly underperforming DOW.
   Predicted Return Density   
       Returns  
Republic First's volatility is measured either by using standard deviation or beta. Standard deviation will reflect the average amount of how republic 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 Republic First Price Volatility?

Several factors can influence a Stock's stock volatility:

Industry

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.

Republic First Stock Risk Measures

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 Republic First or Financial Services 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 Republic First'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 Republic 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. Given the investment horizon of 90 days the coefficient of variation of Republic First is -1009.35. The daily returns are distributed with a variance of 16.22 and standard deviation of 4.03. The mean deviation of Republic First Bcp is currently at 2.43. For similar time horizon, the selected benchmark (DOW) has volatility of 1.14
α
Alpha over DOW
-0.45
β
Beta against DOW1.02
σ
Overall volatility
4.03
Ir
Information ratio -0.11

Republic First Stock Return Volatility

Republic First historical daily return volatility represents how much of Republic First stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 4.0275% risk (volatility on return distribution) over the 90 days horizon. By contrast, DOW inherits 1.1051% risk (volatility on return distribution) over the 90 days horizon.
 Performance (%) 
       Timeline  

About Republic First Volatility

Volatility is a rate at which the price of Republic First 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 Republic First may increase or decrease. In other words, similar to Republic's beta indicator, it measures the risk of Republic First and helps estimate the fluctuations that may happen in a short period of time. So if prices of Republic First 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.
Republic First Bancorp, Inc. operates as the holding company for Republic First Bank that provides a range of credit and depository banking products and services to individuals and businesses. Republic First Bancorp, Inc. was founded in 1987 and is based in Philadelphia, Pennsylvania. Republic First operates under BanksRegional classification in the United States and is traded on NASDAQ Exchange.

Republic First Investment Opportunity

Republic First Bcp has a volatility of 4.03 and is 3.63 times more volatile than DOW. 34  of all equities and portfolios are less risky than Republic First. Compared to the overall equity markets, volatility of historical daily returns of Republic First Bcp is lower than 34 () of all global equities and portfolios over the last 90 days. Use Republic First Bcp to enhance the returns of your portfolios. Benchmarks are essential to demonstrate the utility of optimization algorithms. The stock experiences a normal upward fluctuation. Check odds of Republic First to be traded at $3.12 in 90 days.

Modest diversification

The correlation between Republic First Bcp and DJI is 0.29 (i.e., Modest diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Republic First Bcp and DJI in the same portfolio, assuming nothing else is changed.

Republic First Additional Risk Indicators

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

Republic First 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 Republic First 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. Republic First'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, Republic First'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 Republic First Bcp.
Please check Investing Opportunities. Note that the Republic First Bcp information on this page should be used as a complementary analysis to other Republic First's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Pattern Recognition module to use different Pattern Recognition models to time the market across multiple global exchanges.

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When running Republic First Bcp price analysis, check to measure Republic First'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 Republic First is operating at the current time. Most of Republic First's value examination focuses on studying past and present price action to predict the probability of Republic First's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Republic First's price. Additionally, you may evaluate how the addition of Republic First to your portfolios can decrease your overall portfolio volatility.
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Is Republic First'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 Republic First. If investors know Republic 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 Republic First listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Republic First Bcp is measured differently than its book value, which is the value of Republic that is recorded on the company's balance sheet. Investors also form their own opinion of Republic First's value that differs from its market value or its book value, called intrinsic value, which is Republic First'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 Republic First's market value can be influenced by many factors that don't directly affect Republic First'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 Republic First's value and its price as these two are different measures arrived at by different means. Investors typically determine Republic First value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Republic First'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.