GLADSTONE INVESTMENT CORPORATION is a falling knife that can bleed you if you catch it on Monday. It lost -5.44% to close at 9.39. On a day when the overall market breadth was 34%, it closed higher than 14% of the market. In comparison, the benchmark SP500 index closed today at -0.0191%.
GAIN is currently in a down trend. Over the last three months 2 bearish signals have generated a profit of +11.78% for investors.
GAIN has been outperforming the SP500 index in recent time. Over the last 2 years 11 months and 10 days, GAIN underperformed the SP500 index on 47% days. Which indicates that on days GAIN underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.
GAIN returned losses on 62% days in the last three months. During this time, it delivered on average -0.3% per day. It delivered it's worst daily return of -5.44%, during this period, on Monday, 17 Dec, 2018. There was initially a bearish trend during this period which started on 28 Sep, 2018 and went on till 12 Oct, 2018. The trend delivered -8.65% losses to investors. This was followed by a bullish trend that started on 23 Nov, 2018 and ended on 3 Dec, 2018. This bullish trend delivered +5.42% to investors.
GAIN had 6 profitable and 6 loss making months over the last year. During the last year, GAIN underperformed SP500 index on monthly return basis. GAIN was also a more risky investment than SP500 index as it's worst month in the last year, Jan 2018, returned -12.42% compared to -7.28% returned by SP500 index in Oct 2018. GAIN had a shorter streak of profitable months than SP500 index. It only went up in 5 straight months during the last year.
Glamour is what I sell, it's my stock in trade.
-- Marlene Dietrich
GAIN is becoming less volatile overall. In comparison, the SP500 index is seeing a rise in volatility. During the last three months, there was a significant fall in GAIN's volatility from 19 Sep, 2018 to 4 Dec, 2018. While there was a significant surge in the SP500 index's volatility from 25 Sep, 2018 to 29 Oct, 2018.
Advanced/professional short-term investors should note that GAIN has significant positive skewness in it's return distribution. This indicates that investors can expect GAIN to recover from drawdowns quickly. Which makes GAIN a good candidate for investing on short-term bullish trends or even counter-trends hoping for a pull-back.
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