Portman Ridge Finance Stock Volatility
| PTMN Stock | USD 12.79 0.01 0.08% |
As of now, Portman Stock is very steady. Portman Ridge Finance maintains Sharpe Ratio (i.e., Efficiency) of 0.12, which implies the firm had a 0.12 % return per unit of risk over the last 3 months. We have found twenty-nine technical indicators for Portman Ridge Finance, which you can use to evaluate the volatility of the company. Please check Portman Ridge's Semi Deviation of 0.7981, coefficient of variation of 677.5, and Risk Adjusted Performance of 0.141 to confirm if the risk estimate we provide is consistent with the expected return of 0.16%. Key indicators related to Portman Ridge's volatility include:
90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Portman Ridge 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 Portman daily returns, and it is calculated using variance and standard deviation. We also use Portman's beta, its sensitivity to the market, as well as its odds of financial distress to provide a more practical estimation of Portman Ridge volatility.
ESG Sustainability
While most ESG disclosures are voluntary, Portman Ridge's sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to Portman Ridge's managers and investors.Environmental | Governance | Social |
Since volatility provides investors with entry points to take advantage of stock prices, companies, such as Portman Ridge can benefit from it. Downward market volatility can be a perfect environment for investors who play the long game. Here, they may decide to buy additional stocks of Portman Ridge at lower prices. For example, an investor can purchase Portman stock that has halved in price over a short period. This will lower your average cost per share, thereby improving your portfolio's performance when the markets normalize. Similarly, when the prices of Portman Ridge's stock rises, investors can sell out and invest the proceeds in other equities with better opportunities. Investing when markets are volatile with better valuations will accord both investors and companies the opportunity to generate better long-term returns.
Moving together with Portman Stock
| 0.73 | DHIL | Diamond Hill Investment | PairCorr |
| 0.82 | DIST | Distoken Acquisition | PairCorr |
| 0.81 | BN | Brookfield Corp | PairCorr |
| 0.79 | BX | Blackstone Group Normal Trading | PairCorr |
| 0.83 | CG | Carlyle Group Earnings Call This Week | PairCorr |
| 0.75 | DB | Deutsche Bank AG Earnings Call This Week | PairCorr |
Portman Ridge Market Sensitivity And Downside Risk
Portman Ridge's beta coefficient measures the volatility of Portman 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 Portman stock's returns against your selected market. In other words, Portman Ridge's beta of 0.0719 provides an investor with an approximation of how much risk Portman Ridge stock can potentially add to one of your existing portfolios. Portman Ridge Finance has relatively low volatility with skewness of 1.7 and kurtosis of 6.98. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Portman Ridge'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 Portman Ridge'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 Portman Ridge Finance Demand TrendCheck current 90 days Portman Ridge correlation with market (Dow Jones Industrial)Portman Beta |
Portman 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 | 1.4 |
It is essential to understand the difference between upside risk (as represented by Portman Ridge's standard deviation) and the downside risk, which can be measured by semi-deviation or downside deviation of Portman Ridge's daily returns or price. Since the actual investment returns on holding a position in portman 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 Portman Ridge.
Using Portman Put Option to Manage Risk
Put options written on Portman Ridge grant holders of the option the right to sell a specified amount of Portman Ridge at a specified price within a specified time frame. The put buyer has a limited loss and, while not fully unlimited gains, as the price of Portman Stock cannot fall below zero, the put buyer does gain as the price drops. So, one way investors can hedge Portman Ridge's position is by buying a put option against it. The put option used this way is usually referred to as insurance. If an undesired outcome occurs and loss on holding Portman Ridge will be realized, the loss incurred will be offset by the profits made with the option trade.
Portman Ridge's PUT expiring on 2025-10-17
Profit |
| Portman Ridge Price At Expiration |
Current Portman Ridge Insurance Chain
| Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
Put | PTMN251017P00017500 | -0.85763 | 0.057522 | 2 | 2025-10-17 | 3.0 - 7.2 | 0.0 | View |
Put | PTMN251017P00015000 | -0.643591 | 0.088154 | 4 | 2025-10-17 | 1.6 - 4.8 | 0.0 | View |
Put | PTMN251017P00012500 | -0.424745 | 0.097653 | 10 | 2025-10-17 | 0.2 - 2.8 | 0.0 | View |
Put | PTMN251017P00010000 | -0.181492 | 0.067001 | 2 | 2025-10-17 | 0.0 - 0.9 | 0.0 | View |
Portman Ridge Finance Stock Volatility Analysis
Volatility refers to the frequency at which Portman Ridge stock price increases or decreases within a specified period. These fluctuations usually indicate the level of risk that's associated with Portman Ridge's price changes. Investors will then calculate the volatility of Portman Ridge'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 Portman Ridge's volatility:
Historical Volatility
This type of stock volatility measures Portman Ridge's fluctuations based on previous trends. It's commonly used to predict Portman Ridge'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 Portman Ridge'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 Portman Ridge'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. Portman Ridge Finance 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.
Portman Ridge Projected Return Density Against Market
Given the investment horizon of 90 days Portman Ridge has a beta of 0.0719 indicating as returns on the market go up, Portman Ridge average returns are expected to increase less than the benchmark. However, during the bear market, the loss on holding Portman Ridge Finance will be expected to be much smaller as well.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 Portman Ridge or Capital Markets 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 Portman Ridge'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 Portman 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.
Portman Ridge Finance has an alpha of 0.1829, implying that it can generate a 0.18 percent excess return over Dow Jones Industrial after adjusting for the inherited market risk (beta). Predicted Return Density |
| Returns |
What Drives a Portman Ridge 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.Portman Ridge Stock Risk Measures
Given the investment horizon of 90 days the coefficient of variation of Portman Ridge is 858.25. The daily returns are distributed with a variance of 1.96 and standard deviation of 1.4. The mean deviation of Portman Ridge Finance is currently at 1.0. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.93
α | Alpha over Dow Jones | 0.18 | |
β | Beta against Dow Jones | 0.07 | |
σ | Overall volatility | 1.40 | |
Ir | Information ratio | 0.04 |
Portman Ridge Stock Return Volatility
Portman Ridge historical daily return volatility represents how much of Portman Ridge stock's daily returns swing around its mean - it is a statistical measure of its dispersion of returns. The firm inherits 1.3982% 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 Portman Ridge Volatility
Volatility is a rate at which the price of Portman Ridge 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 Portman Ridge may increase or decrease. In other words, similar to Portman's beta indicator, it measures the risk of Portman Ridge and helps estimate the fluctuations that may happen in a short period of time. So if prices of Portman Ridge 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 | ||
| Selling And Marketing Expenses | 2.1 M | 2 M | |
| Market Cap | 151.5 M | 180.3 M |
Portman Ridge'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 Portman Stock over a specified period of time, often expressed as the standard deviation of daily returns. In other words, it measures how much Portman Ridge's price varies over time.
3 ways to utilize Portman Ridge's volatility to invest better
Higher Portman Ridge's stock volatility means that the price of its stock is changing rapidly and unpredictably, while lower stock volatility indicates that the price of Portman Ridge Finance 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. Portman Ridge Finance 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 Portman Ridge Finance investment. A higher volatility means higher risk and potentially larger changes in value.
- Identifying Opportunities: High volatility in Portman Ridge'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 Portman Ridge's stock relates to your other investments can help you create a well-diversified portfolio of assets with varying levels of risk.
Portman Ridge Investment Opportunity
Portman Ridge Finance has a volatility of 1.4 and is 1.67 times more volatile than Dow Jones Industrial. 12 percent of all equities and portfolios are less risky than Portman Ridge. You can use Portman Ridge Finance to enhance the returns of your portfolios. The stock experiences a normal upward fluctuation. Check odds of Portman Ridge to be traded at $13.43 in 90 days.Significant diversification
The correlation between Portman Ridge Finance and DJI is 0.05 (i.e., Significant diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Portman Ridge Finance and DJI in the same portfolio, assuming nothing else is changed.
Portman Ridge Additional Risk Indicators
The analysis of Portman Ridge'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 Portman Ridge's investment and either accepting that risk or mitigating it. Along with some common measures of Portman Ridge 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 | 0.141 | |||
| Market Risk Adjusted Performance | 2.68 | |||
| Mean Deviation | 0.9837 | |||
| Semi Deviation | 0.7981 | |||
| Downside Deviation | 1.02 | |||
| Coefficient Of Variation | 677.5 | |||
| Standard Deviation | 1.37 |
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.
Portman Ridge 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 Portman Ridge 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. Portman Ridge'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, Portman Ridge'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 Portman Ridge Finance.
When determining whether Portman Ridge Finance offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Portman Ridge's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Portman Ridge Finance Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Portman Ridge Finance Stock: Check out Your Equity Center to better understand how to build diversified portfolios, which includes a position in Portman Ridge Finance. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population. You can also try the Bonds Directory module to find actively traded corporate debentures issued by US companies.
Is Capital Markets space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Portman Ridge. If investors know Portman will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Portman Ridge listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 82.399 | Dividend Share 2.39 | Earnings Share (1.13) | Revenue Per Share | Quarterly Revenue Growth (0.27) |
The market value of Portman Ridge Finance is measured differently than its book value, which is the value of Portman that is recorded on the company's balance sheet. Investors also form their own opinion of Portman Ridge's value that differs from its market value or its book value, called intrinsic value, which is Portman Ridge's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Portman Ridge's market value can be influenced by many factors that don't directly affect Portman Ridge's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Portman Ridge's value and its price as these two are different measures arrived at by different means. Investors typically determine if Portman Ridge is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Portman Ridge's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.