New Frontier Energy Stock Volatility
| NFEI Stock | USD 0.01 0 16.67% |
New Frontier is out of control given 3 months investment horizon. New Frontier Energy has Sharpe Ratio of 0.15, which conveys that the firm had a 0.15 % return per unit of risk over the last 3 months. We were able to analyze and collect data for twenty-one different technical indicators, which can help you to evaluate if expected returns of 18.66% are justified by taking the suggested risk. Use New Frontier Energy Risk Adjusted Performance of 0.1342, mean deviation of 67.19, and Standard Deviation of 259.24 to evaluate company specific risk that cannot be diversified away. Key indicators related to New Frontier's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
New Frontier Pink Sheet 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 New daily returns, and it is calculated using variance and standard deviation. We also use New's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of New Frontier volatility.
New |
Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of New Frontier at lower prices. For example, an investor can purchase New 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 New Pink Sheet
| 0.69 | COP | ConocoPhillips | PairCorr |
| 0.74 | CNQ | Canadian Natural Res | PairCorr |
| 0.88 | EOG | EOG Resources | PairCorr |
| 0.79 | WOPEF | Woodside Petroleum | PairCorr |
| 0.88 | HES | Hess | PairCorr |
| 0.75 | OXY | Occidental Petroleum | PairCorr |
| 0.77 | AMZN | Amazon Inc | PairCorr |
| 0.73 | HNHPF | Hon Hai Precision | PairCorr |
New Frontier Market Sensitivity And Downside Risk
New Frontier's beta coefficient measures the volatility of New pink sheet 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 New pink sheet's returns against your selected market. In other words, New Frontier's beta of -14.66 provides an investor with an approximation of how much risk New Frontier pink sheet can potentially add to one of your existing portfolios. New Frontier Energy is displaying above-average volatility over the selected time horizon. New Frontier Energy is a penny stock. Even though New Frontier may be a good instrument to invest, many penny pink sheets are speculative instruments that are subject to artificial stock promotions. Please make sure you fully understand upside and downside scenarios of investing in New Frontier Energy or similar risky assets. We encourage investors to look for signals such as email spams, message board hypes, claims of breakthroughs, volume upswings,sudden promotions and many other similar artificial hype indicators. We also encourage traders to check work history of company executives before investing in high-volatility instruments, penny stocks, or equities with microcap classification. You can indeed make money on New instrument if you perfectly time your entry and exit. However, remember that penny pink sheets that have been the subject of artificial hype usually unable to maintain their increased share price for more than just a few days. The price of a promoted high volatility instrument will almost always revert back. The only way to increase shareholder value is through legitimate performance backed up by solid fundamentals.
3 Months Beta |Analyze New Frontier Energy Demand TrendCheck current 90 days New Frontier correlation with market (Dow Jones Industrial)New Beta |
New 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 | 127.94 |
It is essential to understand the difference between upside risk (as represented by New Frontier's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of New Frontier's daily returns or price. Since the actual investment returns on holding a position in new pink sheet 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 New Frontier.
New Frontier Energy Pink Sheet Volatility Analysis
Volatility refers to the frequency at which New Frontier pink sheet price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with New Frontier's price changes. Investors will then calculate the volatility of New Frontier's pink sheet to predict their future moves. A pink sheet that has erratic price changes quickly hits new highs, and lows are considered highly volatile. A pink sheet with relatively stable price changes has low volatility. A highly volatile pink sheet 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 New Frontier's volatility:
Historical Volatility
This type of pink sheet volatility measures New Frontier's fluctuations based on previous trends. It's commonly used to predict New Frontier's future behavior based on its past. However, it cannot conclusively determine the future direction of the pink sheet.Implied Volatility
This type of volatility provides a positive outlook on future price fluctuations for New Frontier's current market price. This means that the pink sheet will return to its initially predicted market price. This type of volatility can be derived from derivative instruments written on New Frontier'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. New Frontier Energy 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.
New Frontier Projected Return Density Against Market
Given the investment horizon of 90 days New Frontier Energy has a beta of -14.6617 . This indicates as returns on its benchmark rise, returns on holding New Frontier Energy are expected to decrease by similarly larger amounts. On the other hand, during market turmoils, New Frontier is expected to outperform its benchmark.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 New Frontier or Energy 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 New Frontier's price will be affected by overall pink sheet 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 New pink sheet'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.
New Frontier Energy has an alpha of 36.3826, implying that it can generate a 36.38 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a New Frontier Price Volatility?
Several factors can influence a pink sheet'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.New Frontier Pink Sheet Risk Measures
Given the investment horizon of 90 days the coefficient of variation of New Frontier is 685.77. The daily returns are distributed with a variance of 16368.65 and standard deviation of 127.94. The mean deviation of New Frontier Energy is currently at 36.52. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.93
α | Alpha over Dow Jones | 36.38 | |
β | Beta against Dow Jones | -14.66 | |
σ | Overall volatility | 127.94 | |
Ir | Information ratio | 0.13 |
New Frontier Pink Sheet Return Volatility
New Frontier historical daily return volatility represents how much of New Frontier pink sheet's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 127.94% risk (volatility on return distribution) over the 90 days horizon. By contrast, Dow Jones Industrial accepts 0.8415% volatility on return distribution over the 90 days horizon. Performance |
| Timeline |
About New Frontier Volatility
Volatility is a rate at which the price of New Frontier 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 New Frontier may increase or decrease. In other words, similar to New's beta indicator, it measures the risk of New Frontier and helps estimate the fluctuations that may happen in a short period of time. So if prices of New Frontier 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.New Frontier Energy, Inc., an independent energy company, engages in the acquisition, exploration, development, and production of natural gas and crude oil. New Frontier Energy, Inc. was founded in 2000 and is based in Denver, Colorado. New Frontier operates under Oil Gas EP classification in the United States and is traded on OTC Exchange. It employs 3 people.
New Frontier'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 New Pink Sheet over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much New Frontier's price varies over time.
3 ways to utilize New Frontier's volatility to invest better
Higher New Frontier's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of New Frontier Energy 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. New Frontier Energy 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 New Frontier Energy investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in New Frontier'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 New Frontier's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
New Frontier Investment Opportunity
New Frontier Energy has a volatility of 127.94 and is 152.31 times more volatile than Dow Jones Industrial. 96 percent of all equities and portfolios are less risky than New Frontier. You can use New Frontier Energy to protect your portfolios against small market fluctuations. The pink sheet experiences a very speculative downward sentiment. The market maybe over-reacting. Check odds of New Frontier to be traded at $0.0048 in 90 days.Good diversification
The correlation between New Frontier Energy and DJI is -0.05 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding New Frontier Energy and DJI in the same portfolio, assuming nothing else is changed.
New Frontier Additional Risk Indicators
The analysis of New Frontier'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 New Frontier's investment and either accepting that risk or mitigating it. Along with some common measures of New Frontier pink sheet'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 | 0.1342 | |||
| Market Risk Adjusted Performance | (2.34) | |||
| Mean Deviation | 67.19 | |||
| Coefficient Of Variation | 751.96 | |||
| Standard Deviation | 259.24 | |||
| Variance | 67205.25 | |||
| Information Ratio | 0.1324 |
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential pink sheets, we recommend comparing similar pink sheets with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.
New Frontier 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 New Frontier 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. New Frontier'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, New Frontier'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 New Frontier Energy.
Complementary Tools for New Pink Sheet analysis
When running New Frontier's price analysis, check to measure New Frontier'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 New Frontier is operating at the current time. Most of New Frontier's value examination focuses on studying past and present price action to predict the probability of New Frontier's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move New Frontier's price. Additionally, you may evaluate how the addition of New Frontier to your portfolios can decrease your overall portfolio volatility.
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