61.05 +0.05 (+0.08%) Sell

Joy for K investors as it performed better than the broader market

13 min read

KELLOGG CO managed to outperform the broader market today. It surged by +0.08% to close at 61.05. It's recent 5 day performance has been +0.21%, +0.95%, -0.89%, -0.7% and -0.76%.

[Themes containing K]

K is currently in a bearish trend. Over the last three months 2 bearish signals have generated a profit of +8.06% for investors.


K has been outperforming the SP500 index in recent time. It showed significant underperformance (compared to the SP500 index) from 19 Jul, 2016 to 2 May, 2018. Over the last 2 years 11 months and 9 days, K underperformed the SP500 index on 50% days. Which indicates that on days K underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.

K returned losses on 56% days in the last three months. During this time, it delivered on average -0.31% per day. It delivered it's worst daily return of -8.88%, during this period, on Wednesday, 31 Oct, 2018. The longest stort-term trend during this period was 5 losing days, which started on 3 Dec, 2018 and ended on 10 Dec, 2018. This bearish trend lost -5.37% of investor capital.

During the last year K had 5 profitable months and 7 loss making months. K returned profits in fewer months than SP500 index. K significantly outperformed SP500 index in May 2018, when it returned +9.32% compared to +4.75% returned by SP500 index during it's best month in the last one year - Jan 2018. K had a shorter streak of profitable months than SP500 index. It only went up in 4 straight months during the last year.

Success usually comes to those who are too busy to be looking for it.
-- Henry David Thoreau

K is currently seeing overall fall in volatility. In comparison, the SP500 index is seeing increase in volatility. During the last three months, there was a significant surge in K's volatility from 17 Sep, 2018 to 2 Nov, 2018. While there was a significant surge in the SP500 index's volatility from 14 Sep, 2018 to 29 Oct, 2018.

Advanced/professional short-term investors should note that K has significant positive skewness in it's return distribution. This indicates that investors can expect K to recover from drawdowns quickly. Which makes K a good candidate for investing on short-term bullish trends or even counter-trends hoping for a pull-back.

SP500 index has more chance of extreme outcomes than K. Therefore, SP500 must receive a lower allocation than K in your portfolio. SP500 index usually has shorter drawdown period than K.

On a general note (since you are interested in K), ABMD is a mid cap that deserves to be closely tracked for investment opportunities.

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