Adamjee Insurance (Pakistan) Probability of Future Stock Price Finishing Over 37.98
| AICL Stock | 39.54 0.73 1.88% |
Adamjee |
Adamjee Insurance Target Price Odds to finish over 37.98
The tendency of Adamjee 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 37.98 in 90 days |
| 39.54 | 90 days | 37.98 | under 4 |
Based on a normal probability distribution, the odds of Adamjee Insurance to stay above 37.98 in 90 days from now is under 4 (This Adamjee Insurance probability density function shows the probability of Adamjee Stock to fall within a particular range of prices over 90 days) . Probability of Adamjee Insurance price to stay between 37.98 and its current price of 39.54 at the end of the 90-day period is under 4.
Assuming the 90 days trading horizon Adamjee Insurance has a beta of -0.83. This suggests as returns on the benchmark increase, returns on holding Adamjee Insurance are expected to decrease at a much lower rate. During a bear market, however, Adamjee Insurance is likely to outperform the market. Additionally Adamjee Insurance has an alpha of 0.274, implying that it can generate a 0.27 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Adamjee Insurance Price Density |
| Price |
Predictive Modules for Adamjee Insurance
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Adamjee Insurance. 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 Adamjee Insurance'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.
Adamjee Insurance Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Adamjee Insurance is not an exception. The market had few large corrections towards the Adamjee Insurance'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 Adamjee Insurance, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Adamjee Insurance within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | 0.27 | |
β | Beta against Dow Jones | -0.83 | |
σ | Overall volatility | 2.05 | |
Ir | Information ratio | 0.08 |
Adamjee Insurance 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 Adamjee Stock often depends not only on the future outlook of the current and potential Adamjee Insurance'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. Adamjee Insurance's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 350 M | |
| Short Term Investments | 21.3 B |
Adamjee Insurance Technical Analysis
Adamjee Insurance's future price can be derived by breaking down and analyzing its technical indicators over time. Adamjee Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Adamjee Insurance. In general, you should focus on analyzing Adamjee Stock price patterns and their correlations with different microeconomic environments and drivers.
Adamjee Insurance Predictive Forecast Models
Adamjee Insurance's time-series forecasting models is one of many Adamjee Insurance'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 Adamjee Insurance'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 Adamjee Insurance 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, Adamjee Insurance's short interest history, or implied volatility extrapolated from Adamjee Insurance options trading.
Other Information on Investing in Adamjee Stock
Adamjee Insurance financial ratios help investors to determine whether Adamjee Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Adamjee with respect to the benefits of owning Adamjee Insurance security.