ArcelorMittal (Brazil) Probability of Future Stock Price Finishing Over 65.73
| ARMT34 Stock | BRL 66.90 1.80 2.76% |
ArcelorMittal |
ArcelorMittal Target Price Odds to finish over 65.73
The tendency of ArcelorMittal Stock price to converge on an average value over time is a known aspect in finance that investors have used since the beginning of the stock market for forecasting. However, many studies suggest that some traded equity instruments are consistently mispriced before traders' demand and supply correct the spread. One possible conclusion to this anomaly is that these stocks have additional risk, for which investors demand compensation in the form of extra returns.
| Current Price | Horizon | Target Price | Odds to stay above R$ 65.73 in 90 days |
| 66.90 | 90 days | 65.73 | about 72.8 |
Based on a normal probability distribution, the odds of ArcelorMittal to stay above R$ 65.73 in 90 days from now is about 72.8 (This ArcelorMittal SA probability density function shows the probability of ArcelorMittal Stock to fall within a particular range of prices over 90 days) . Probability of ArcelorMittal SA price to stay between R$ 65.73 and its current price of R$66.9 at the end of the 90-day period is about 21.25 .
Assuming the 90 days trading horizon ArcelorMittal SA has a beta of -0.0121. This suggests as returns on the benchmark increase, returns on holding ArcelorMittal are expected to decrease at a much lower rate. During a bear market, however, ArcelorMittal SA is likely to outperform the market. Additionally ArcelorMittal SA has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the NYSE Composite. ArcelorMittal Price Density |
| Price |
Predictive Modules for ArcelorMittal
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as ArcelorMittal SA. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of ArcelorMittal'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.
ArcelorMittal Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. ArcelorMittal is not an exception. The market had few large corrections towards the ArcelorMittal's value, including both sudden drops in prices as well as massive rallies. These swings have made and broken many portfolios. An investor can limit the violent swings in their portfolio by implementing a hedging strategy designed to limit downside losses. If you hold ArcelorMittal SA, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of ArcelorMittal within the framework of very fundamental risk indicators.α | Alpha over NYSE Composite | -0.01 | |
β | Beta against NYSE Composite | -0.01 | |
σ | Overall volatility | 2.06 | |
Ir | Information ratio | -0.03 |
ArcelorMittal Price Density Drivers
Market volatility will typically increase when nervous long traders begin to feel the short-sellers pressure to drive the market lower. The future price of ArcelorMittal Stock often depends not only on the future outlook of the current and potential ArcelorMittal's investors but also on the ongoing dynamics between investors with different trading styles. Because the market risk indicators may have small false signals, it is better to identify suitable times to hedge a portfolio using different long/short signals. ArcelorMittal's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 910.9 M |
ArcelorMittal Technical Analysis
ArcelorMittal's future price can be derived by breaking down and analyzing its technical indicators over time. ArcelorMittal Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of ArcelorMittal SA. In general, you should focus on analyzing ArcelorMittal Stock price patterns and their correlations with different microeconomic environments and drivers.
ArcelorMittal Predictive Forecast Models
ArcelorMittal's time-series forecasting models is one of many ArcelorMittal's stock analysis techniques aimed to predict future share value based on previously observed values. Time-series forecasting models are widely used for non-stationary data. Non-stationary data are called the data whose statistical properties, e.g., the mean and standard deviation, are not constant over time, but instead, these metrics vary over time. This non-stationary ArcelorMittal's historical data is usually called time series. Some empirical experimentation suggests that the statistical forecasting models outperform the models based exclusively on fundamental analysis to predict the direction of the stock market movement and maximize returns from investment trading.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards ArcelorMittal in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, ArcelorMittal's short interest history, or implied volatility extrapolated from ArcelorMittal options trading.
Check out ArcelorMittal Backtesting, ArcelorMittal Valuation, ArcelorMittal Correlation, ArcelorMittal Hype Analysis, ArcelorMittal Volatility, ArcelorMittal History as well as ArcelorMittal Performance. Note that the ArcelorMittal SA information on this page should be used as a complementary analysis to other ArcelorMittal'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 the Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.
Complementary Tools for ArcelorMittal Stock analysis
When running ArcelorMittal's price analysis, check to measure ArcelorMittal'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 ArcelorMittal is operating at the current time. Most of ArcelorMittal's value examination focuses on studying past and present price action to predict the probability of ArcelorMittal's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move ArcelorMittal's price. Additionally, you may evaluate how the addition of ArcelorMittal to your portfolios can decrease your overall portfolio volatility.
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