Capital One Financial Preferred Stock Market Value
| COF-PN Preferred Stock | USD 19.33 0.02 0.10% |
| Symbol | Capital |
Capital One 'What if' Analysis
In the world of financial modeling, what-if analysis is part of sensitivity analysis performed to test how changes in assumptions impact individual outputs in a model. When applied to Capital One's preferred stock what-if analysis refers to the analyzing how the change in your past investing horizon will affect the profitability against the current market value of Capital One.
| 08/21/2024 |
| 09/20/2024 |
If you would invest 0.00 in Capital One on August 21, 2024 and sell it all today you would earn a total of 0.00 from holding Capital One Financial or generate 0.0% return on investment in Capital One over 30 days. Capital One is related to or competes with Capital One, Capital One, and JPMorgan Chase. Capital One Financial Corporation operates as the financial services holding company for the Capital One Bank , National... More
Capital One Upside/Downside Indicators
Understanding different market momentum indicators often help investors to time their next move. Potential upside and downside technical ratios enable traders to measure Capital One's preferred stock current market value against overall market sentiment and can be a good tool during both bulling and bearish trends. Here we outline some of the essential indicators to assess Capital One Financial upside and downside potential and time the market with a certain degree of confidence.
| Downside Deviation | 0.8625 | |||
| Information Ratio | 0.1045 | |||
| Maximum Drawdown | 4.47 | |||
| Value At Risk | (1.12) | |||
| Potential Upside | 1.65 |
Capital One Market Risk Indicators
Today, many novice investors tend to focus exclusively on investment returns with little concern for Capital One's investment risk. Other traders do consider volatility but use just one or two very conventional indicators such as Capital One's standard deviation. In reality, there are many statistical measures that can use Capital One historical prices to predict the future Capital One's volatility.| Risk Adjusted Performance | 0.1962 | |||
| Jensen Alpha | 0.1671 | |||
| Total Risk Alpha | 0.0809 | |||
| Sortino Ratio | 0.1103 | |||
| Treynor Ratio | 0.5651 |
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Capital One'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.
Capital One Financial Backtested Returns
Capital One appears to be very steady, given 3 months investment horizon. Capital One Financial secures Sharpe Ratio (or Efficiency) of 0.24, which signifies that the company had a 0.24% return per unit of risk over the last 3 months. We have found twenty-eight technical indicators for Capital One Financial, which you can use to evaluate the volatility of the firm. Please makes use of Capital One's Downside Deviation of 0.8625, mean deviation of 0.6869, and Risk Adjusted Performance of 0.1962 to double-check if our risk estimates are consistent with your expectations. On a scale of 0 to 100, Capital One holds a performance score of 18. The firm shows a Beta (market volatility) of 0.37, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, Capital One's returns are expected to increase less than the market. However, during the bear market, the loss of holding Capital One is expected to be smaller as well. Please check Capital One's downside variance, daily balance of power, and the relationship between the maximum drawdown and skewness , to make a quick decision on whether Capital One's price patterns will revert.
Auto-correlation | 0.82 |
Very good predictability
Capital One Financial has very good predictability. Overlapping area represents the amount of predictability between Capital One time series from 21st of August 2024 to 5th of September 2024 and 5th of September 2024 to 20th of September 2024. The more autocorrelation exist between current time interval and its lagged values, the more accurately you can make projection about the future pattern of Capital One Financial price movement. The serial correlation of 0.82 indicates that around 82.0% of current Capital One price fluctuation can be explain by its past prices.
| Correlation Coefficient | 0.82 | |
| Spearman Rank Test | 0.65 | |
| Residual Average | 0.0 | |
| Price Variance | 0.05 |
Capital One Financial lagged returns against current returns
Autocorrelation, which is Capital One preferred stock's lagged correlation, explains the relationship between observations of its time series of returns over different periods of time. The observations are said to be independent if autocorrelation is zero. Autocorrelation is calculated as a function of mean and variance and can have practical application in predicting Capital One's preferred stock expected returns. We can calculate the autocorrelation of Capital One returns to help us make a trade decision. For example, suppose you find that Capital One has exhibited high autocorrelation historically, and you observe that the preferred stock is moving up for the past few days. In that case, you can expect the price movement to match the lagging time series.
Current and Lagged Values |
| Timeline |
Capital One regressed lagged prices vs. current prices
Serial correlation can be approximated by using the Durbin-Watson (DW) test. The correlation can be either positive or negative. If Capital One preferred stock is displaying a positive serial correlation, investors will expect a positive pattern to continue. However, if Capital One preferred stock is observed to have a negative serial correlation, investors will generally project negative sentiment on having a locked-in long position in Capital One preferred stock over time.
Current vs Lagged Prices |
| Timeline |
Capital One Lagged Returns
When evaluating Capital One's market value, investors can use the concept of autocorrelation to see how much of an impact past prices of Capital One preferred stock have on its future price. Capital One autocorrelation represents the degree of similarity between a given time horizon and a lagged version of the same horizon over the previous time interval. In other words, Capital One autocorrelation shows the relationship between Capital One preferred stock current value and its past values and can show if there is a momentum factor associated with investing in Capital One Financial.
Regressed Prices |
| Timeline |
Pair Trading with Capital One
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Capital One position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Capital One will appreciate offsetting losses from the drop in the long position's value.Moving together with Capital Preferred Stock
| 0.67 | SYF-PA | Synchrony Financial | PairCorr |
| 0.75 | SYF-PB | Synchrony Financial | PairCorr |
| 0.7 | SLMBP | SLM Corp Pb | PairCorr |
Moving against Capital Preferred Stock
| 0.39 | C | Citigroup Aggressive Push | PairCorr |
The ability to find closely correlated positions to Capital One could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Capital One when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Capital One - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Capital One Financial to buy it.
The correlation of Capital One is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Capital One moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Capital One Financial moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Capital One can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Other Information on Investing in Capital Preferred Stock
Capital One financial ratios help investors to determine whether Capital Preferred 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 Capital with respect to the benefits of owning Capital One security.