Perma Fix Environmental Svcs Stock Volatility
PESI Stock | USD 14.68 0.24 1.61% |
Perma Fix appears to be not too volatile, given 3 months investment horizon. Perma Fix Environmental maintains Sharpe Ratio (i.e., Efficiency) of 0.13, which implies the firm had a 0.13% return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Perma Fix Environmental, which you can use to evaluate the volatility of the company. Please evaluate Perma Fix's Risk Adjusted Performance of 0.1435, coefficient of variation of 561.73, and Semi Deviation of 2.84 to confirm if our risk estimates are consistent with your expectations. Key indicators related to Perma Fix's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Perma Fix Stock 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 Perma daily returns, and it is calculated using variance and standard deviation. We also use Perma's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Perma Fix volatility.
Perma |
ESG Sustainability
While most ESG disclosures are voluntary, Perma Fix's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Perma Fix's managers and investors.Environmental | Governance | Social |
Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of Perma Fix at lower prices. For example, an investor can purchase Perma stock that has halved in price over a short period. This will lower their average cost per share, thereby improving the overall portfolio performance when market normalizes.
Moving together with Perma Stock
0.83 | BV | BrightView Holdings Earnings Call Tomorrow | PairCorr |
0.72 | LZ | LegalZoom | PairCorr |
0.92 | NL | NL Industries Downward Rally | PairCorr |
0.73 | WM | Waste Management | PairCorr |
Moving against Perma Stock
0.9 | WHLM | Wilhelmina | PairCorr |
0.85 | DLHC | DLH Holdings Corp Fiscal Year End 4th of December 2024 | PairCorr |
0.83 | FORR | Forrester Research | PairCorr |
0.82 | VCIG | VCI Global Limited | PairCorr |
0.36 | VLTO | Veralto | PairCorr |
0.33 | MG | Mistras Group | PairCorr |
Perma Fix Market Sensitivity And Downside Risk
Perma Fix's beta coefficient measures the volatility of Perma stock 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 Perma stock's returns against your selected market. In other words, Perma Fix's beta of 2.43 provides an investor with an approximation of how much risk Perma Fix stock can potentially add to one of your existing portfolios. Perma Fix Environmental Svcs shows above-average downside volatility for the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Perma Fix's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Perma Fix's stock 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 Perma Fix Environmental Demand TrendCheck current 90 days Perma Fix correlation with market (Dow Jones Industrial)Perma Beta |
Perma 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 | 3.67 |
It is essential to understand the difference between upside risk (as represented by Perma Fix's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Perma Fix's daily returns or price. Since the actual investment returns on holding a position in perma stock 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 Perma Fix.
Perma Fix Environmental Stock Volatility Analysis
Volatility refers to the frequency at which Perma Fix stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Perma Fix's price changes. Investors will then calculate the volatility of Perma Fix's stock to predict their future moves. A stock that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A stock with relatively stable price changes has low volatility. A highly volatile stock 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 Perma Fix's volatility:
Historical Volatility
This type of stock volatility measures Perma Fix's fluctuations based on previous trends. It's commonly used to predict Perma Fix's future behavior based on its past. However, it cannot conclusively determine the future direction of the stock.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for Perma Fix's current market price. This means that the stock will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on Perma Fix'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. Perma Fix Environmental 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.
Perma Fix Projected Return Density Against Market
Given the investment horizon of 90 days the stock has the beta coefficient of 2.4325 indicating as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are projected to be negative, Perma Fix will likely underperform.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 Perma Fix or Commercial Services & Supplies 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 Perma Fix's price will be affected by overall stock 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 Perma stock'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.
Perma Fix Environmental Svcs has an alpha of 0.2434, implying that it can generate a 0.24 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
Returns |
What Drives a Perma Fix Price Volatility?
Several factors can influence a stock'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.Perma Fix Stock Risk Measures
Given the investment horizon of 90 days the coefficient of variation of Perma Fix is 787.46. The daily returns are distributed with a variance of 13.5 and standard deviation of 3.67. The mean deviation of Perma Fix Environmental Svcs is currently at 2.58. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.76
α | Alpha over Dow Jones | 0.24 | |
β | Beta against Dow Jones | 2.43 | |
σ | Overall volatility | 3.67 | |
Ir | Information ratio | 0.13 |
Perma Fix Stock Return Volatility
Perma Fix historical daily return volatility represents how much of Perma Fix stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 3.6741% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.7715% volatility on return distribution over the 90 days horizon. Performance |
Timeline |
About Perma Fix Volatility
Volatility is a rate at which the price of Perma Fix 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 Perma Fix may increase or decrease. In other words, similar to Perma's beta indicator, it measures the risk of Perma Fix and helps estimate the fluctuations that may happen in a short period of time. So if prices of Perma Fix 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.Last Reported | Projected for Next Year | ||
Market Cap | 43.9 M | 25.8 M |
Perma Fix'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 Perma Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Perma Fix's price varies over time.
3 ways to utilize Perma Fix's volatility to invest better
Higher Perma Fix's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Perma Fix Environmental 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. Perma Fix Environmental 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 Perma Fix Environmental investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Perma Fix'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 Perma Fix's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Perma Fix Investment Opportunity
Perma Fix Environmental Svcs has a volatility of 3.67 and is 4.77 times more volatile than Dow Jones Industrial. 32 percent of all equities and portfolios are less risky than Perma Fix. You can use Perma Fix Environmental Svcs to protect your portfolios against small market fluctuations. The stock experiences a somewhat bearish sentiment, but the market may correct it shortly. Check odds of Perma Fix to be traded at $14.24 in 90 days.Very weak diversification
The correlation between Perma Fix Environmental Svcs and DJI is 0.5 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Perma Fix Environmental Svcs and DJI in the same portfolio, assuming nothing else is changed.
Perma Fix Additional Risk Indicators
The analysis of Perma Fix'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 Perma Fix's investment and either accepting that risk or mitigating it. Along with some common measures of Perma Fix stock'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 | 0.1435 | |||
Market Risk Adjusted Performance | 0.2767 | |||
Mean Deviation | 2.69 | |||
Semi Deviation | 2.84 | |||
Downside Deviation | 3.33 | |||
Coefficient Of Variation | 561.73 | |||
Standard Deviation | 3.7 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential stocks, we recommend comparing similar stocks with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
Perma Fix 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.
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 Perma Fix 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. Perma Fix'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, Perma Fix'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 Perma Fix Environmental Svcs.
Complementary Tools for Perma Stock analysis
When running Perma Fix's price analysis, check to measure Perma Fix'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 Perma Fix is operating at the current time. Most of Perma Fix's value examination focuses on studying past and present price action to predict the probability of Perma Fix's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Perma Fix's price. Additionally, you may evaluate how the addition of Perma Fix to your portfolios can decrease your overall portfolio volatility.
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