Mda Stock Volatility
| MDALF Stock | USD 10.49 0.17 1.65% |
MDA appears to be not too volatile, given 3 months investment horizon. MDA retains Efficiency (Sharpe Ratio) of 0.24, which conveys that the firm had a 0.24% return per unit of return volatility over the last 3 months. We have found twenty-nine technical indicators for MDA, which you can use to evaluate the volatility of the firm. Please exercise MDA's Market Risk Adjusted Performance of 1.45, downside deviation of 1.52, and Mean Deviation of 1.27 to check out if our risk estimates are consistent with your expectations. Key indicators related to MDA's volatility include:
30 Days Market Risk | Chance Of Distress | 30 Days Economic Sensitivity |
MDA Pink Sheet 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 MDA daily returns, and it is calculated using variance and standard deviation. We also use MDA's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of MDA volatility.
MDA |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as MDA 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 MDA at lower prices. For example, an investor can purchase MDA 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 MDA'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 MDA Pink Sheet
| 0.64 | EADSF | Airbus Group SE | PairCorr |
| 0.65 | EADSY | Airbus Group NV | PairCorr |
| 0.76 | GD | General Dynamics Earnings Call This Week | PairCorr |
| 0.85 | TDG | Transdigm Group rporated Financial Report 14th of May 2024 | PairCorr |
Moving against MDA Pink Sheet
MDA Market Sensitivity And Downside Risk
MDA's beta coefficient measures the volatility of MDA pink sheet 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 MDA pink sheet's returns against your selected market. In other words, MDA's beta of 0.26 provides an investor with an approximation of how much risk MDA pink sheet can potentially add to one of your existing portfolios. MDA has relatively low volatility with skewness of 1.21 and kurtosis of 2.06. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure MDA's pink sheet risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact MDA's pink sheet 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 MDA Demand TrendCheck current 90 days MDA correlation with market (NYSE Composite)MDA Beta |
MDA 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 | 1.84 |
It is essential to understand the difference between upside risk (as represented by MDA's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of MDA's daily returns or price. Since the actual investment returns on holding a position in mda pink sheet 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 MDA.
MDA Pink Sheet Volatility Analysis
Volatility refers to the frequency at which MDA pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with MDA's price changes. Investors will then calculate the volatility of MDA's pink sheet to predict their future moves. A pink sheet that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A pink sheet with relatively stable price changes has low volatility. A highly volatile pink sheet 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 MDA's volatility:
Historical Volatility
This type of pink sheet volatility measures MDA's fluctuations based on previous trends. It's commonly used to predict MDA's future behavior based on its past. However, it cannot conclusively determine the future direction of the pink sheet.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for MDA's current market price. This means that the pink sheet will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on MDA'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. MDA 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.
MDA Projected Return Density Against Market
Assuming the 90 days horizon MDA has a beta of 0.2607 . This indicates as returns on the market go up, MDA average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding MDA 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 MDA or Industrials 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 MDA's price will be affected by overall pink sheet 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 MDA pink sheet'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.
MDA has an alpha of 0.3593, implying that it can generate a 0.36 percent excess return over NYSE Composite after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a MDA Price Volatility?
Several factors can influence a pink sheet's market 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.MDA Pink Sheet Risk Measures
Assuming the 90 days horizon the coefficient of variation of MDA is 417.41. The daily returns are distributed with a variance of 3.38 and standard deviation of 1.84. The mean deviation of MDA is currently at 1.27. For similar time horizon, the selected benchmark (NYSE Composite) has volatility of 0.62
α | Alpha over NYSE Composite | 0.36 | |
β | Beta against NYSE Composite | 0.26 | |
σ | Overall volatility | 1.84 | |
Ir | Information ratio | 0.17 |
MDA Pink Sheet Return Volatility
MDA historical daily return volatility represents how much of MDA pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The company shows 1.8375% volatility of returns over 90 . By contrast, NYSE Composite accepts 0.6214% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About MDA Volatility
Volatility is a rate at which the price of MDA 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 MDA may increase or decrease. In other words, similar to MDA's beta indicator, it measures the risk of MDA and helps estimate the fluctuations that may happen in a short period of time. So if prices of MDA 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.MDA Ltd. designs, manufactures, and services space robotics, satellite systems and components, and intelligence systems in Canada, the United States, Europe, Asia, the Middle East, and internationally. MDA Ltd. was founded in 1969 and is headquartered in Brampton, Canada. Mda operates under Aerospace Defense classification in the United States and is traded on OTC Exchange. It employs 2500 people.
MDA'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 MDA Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much MDA's price varies over time.
3 ways to utilize MDA's volatility to invest better
Higher MDA's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of MDA 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. MDA 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 MDA investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in MDA'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 MDA's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
MDA Investment Opportunity
MDA has a volatility of 1.84 and is 2.97 times more volatile than NYSE Composite. Compared to the overall equity markets, volatility of historical daily returns of MDA is lower than 16 percent of all global equities and portfolios over the last 90 days. You can use MDA to enhance the returns of your portfolios. The pink sheet experiences a large bullish trend. Check odds of MDA to be traded at $11.54 in 90 days.Significant diversification
The correlation between MDA and NYA is 0.09 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding MDA and NYA in the same portfolio, assuming nothing else is changed.
MDA Additional Risk Indicators
The analysis of MDA'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 MDA's investment and either accepting that risk or mitigating it. Along with some common measures of MDA pink sheet'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.
| Risk Adjusted Performance | 0.1364 | |||
| Market Risk Adjusted Performance | 1.45 | |||
| Mean Deviation | 1.27 | |||
| Semi Deviation | 0.8416 | |||
| Downside Deviation | 1.52 | |||
| Coefficient Of Variation | 476.14 | |||
| Standard Deviation | 1.83 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential pink sheets, we recommend comparing similar pink sheets with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
MDA 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.
| Salesforce vs. MDA | ||
| Ford vs. MDA | ||
| Bank of America vs. MDA | ||
| Alphabet vs. MDA | ||
| Citigroup vs. MDA | ||
| Visa vs. MDA | ||
| Walker Dunlop vs. MDA |
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 MDA 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. MDA'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, MDA'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 MDA.
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in MDA. Also, note that the market value of any company could be tightly coupled with the direction of predictive economic indicators such as signals in bureau of economic analysis. You can also try the Bollinger Bands module to use Bollinger Bands indicator to analyze target price for a given investing horizon.
Complementary Tools for MDA Pink Sheet analysis
When running MDA's price analysis, check to measure MDA'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 MDA is operating at the current time. Most of MDA's value examination focuses on studying past and present price action to predict the probability of MDA's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move MDA's price. Additionally, you may evaluate how the addition of MDA to your portfolios can decrease your overall portfolio volatility.
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