Laureate Education (Germany) Probability of Future Stock Price Finishing Under 13.35
| LA3A Stock | EUR 13.40 0.10 0.75% |
Laureate |
Laureate Education Target Price Odds to finish below 13.35
The tendency of Laureate 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 drop to € 13.35 or more in 90 days |
| 13.40 | 90 days | 13.35 | about 29.62 |
Based on a normal probability distribution, the odds of Laureate Education to drop to € 13.35 or more in 90 days from now is about 29.62 (This Laureate Education probability density function shows the probability of Laureate Stock to fall within a particular range of prices over 90 days) . Probability of Laureate Education price to stay between € 13.35 and its current price of €13.4 at the end of the 90-day period is roughly 2.6 .
Assuming the 90 days trading horizon the stock has the beta coefficient of 1.35 . This indicates as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Laureate Education will likely underperform. Additionally Laureate Education has a negative alpha, implying that the risk taken by holding this instrument is not justified. The company is significantly underperforming the Dow Jones Industrial. Laureate Education Price Density |
| Price |
Predictive Modules for Laureate Education
There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Laureate Education. 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 Laureate Education'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.
Laureate Education Risk Indicators
For the most part, the last 10-20 years have been a very volatile time for the stock market. Laureate Education is not an exception. The market had few large corrections towards the Laureate Education'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 Laureate Education, one way to have your portfolio be protected is to always look up for changing volatility and market elasticity of Laureate Education within the framework of very fundamental risk indicators.α | Alpha over Dow Jones | -0.03 | |
β | Beta against Dow Jones | 1.35 | |
σ | Overall volatility | 0.68 | |
Ir | Information ratio | -0.01 |
Laureate Education Alerts and Suggestions
In today's market, stock alerts give investors the competitive edge they need to time the market and increase returns. Checking the ongoing alerts of Laureate Education for significant developments is a great way to find new opportunities for your next move. Suggestions and notifications for Laureate Education can help investors quickly react to important events or material changes in technical or fundamental conditions and significant headlines that can affect investment decisions.| Laureate Education generated a negative expected return over the last 90 days | |
| Laureate Education has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Laureate Education has accumulated 175.93 M in total debt with debt to equity ratio (D/E) of 137.1, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Laureate Education has a current ratio of 0.85, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Laureate Education until it has trouble settling it off, either with new capital or with free cash flow. So, Laureate Education's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Laureate Education sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Laureate to invest in growth at high rates of return. When we think about Laureate Education's use of debt, we should always consider it together with cash and equity. | |
| Over 83.0% of Laureate Education shares are owned by institutional investors |
Laureate Education 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 Laureate Stock often depends not only on the future outlook of the current and potential Laureate Education'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. Laureate Education's indicators that are reflective of the short sentiment are summarized in the table below.
| Common Stock Shares Outstanding | 157 M |
Laureate Education Technical Analysis
Laureate Education's future price can be derived by breaking down and analyzing its technical indicators over time. Laureate Stock technical analysis helps investors analyze different prices and returns patterns as well as diagnose historical swings to determine the real value of Laureate Education. In general, you should focus on analyzing Laureate Stock price patterns and their correlations with different microeconomic environments and drivers.
Laureate Education Predictive Forecast Models
Laureate Education's time-series forecasting models is one of many Laureate Education'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 Laureate Education'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.
Things to note about Laureate Education
Checking the ongoing alerts about Laureate Education for important developments is a great way to find new opportunities for your next move. Our stock alerts and notifications screener for Laureate Education help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
| Laureate Education generated a negative expected return over the last 90 days | |
| Laureate Education has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations | |
| Laureate Education has accumulated 175.93 M in total debt with debt to equity ratio (D/E) of 137.1, indicating the company may have difficulties to generate enough cash to satisfy its financial obligations. Laureate Education has a current ratio of 0.85, indicating that it has a negative working capital and may not be able to pay financial obligations in time and when they become due. Debt can assist Laureate Education until it has trouble settling it off, either with new capital or with free cash flow. So, Laureate Education's shareholders could walk away with nothing if the company can't fulfill its legal obligations to repay debt. However, a more frequent occurrence is when companies like Laureate Education sell additional shares at bargain prices, diluting existing shareholders. Debt, in this case, can be an excellent and much better tool for Laureate to invest in growth at high rates of return. When we think about Laureate Education's use of debt, we should always consider it together with cash and equity. | |
| Over 83.0% of Laureate Education shares are owned by institutional investors |
Additional Information and Resources on Investing in Laureate Stock
When determining whether Laureate Education is a strong investment it is important to analyze Laureate Education's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Laureate Education's future performance. For an informed investment choice regarding Laureate Stock, refer to the following important reports:Check out Laureate Education Backtesting, Laureate Education Valuation, Laureate Education Correlation, Laureate Education Hype Analysis, Laureate Education Volatility, Laureate Education History as well as Laureate Education Performance. For more detail on how to invest in Laureate Stock please use our How to Invest in Laureate Education guide.You can also try the Financial Widgets module to easily integrated Macroaxis content with over 30 different plug-and-play financial widgets.