NATIONAL RETAIL PROPERTIES, INC.

49.95 -1.18 (-2.37%) Buy

NNN investors take a moment to reassess their portfolio allocation

13 min read

NATIONAL RETAIL PROPERTIES, INC. has destroyed investor wealth on Wednesday. It delivered -2.37% to close at 49.95. On a day when the overall market breadth was 35%, it closed higher than 15% of the market. In comparison, the benchmark SP500 index closed today at +0.54%.

[Themes containing NNN]

Buy-and-Hold investors in NNN experienced a maximum drawdown of -5.69% over the last three months. It delivered +8.94% during this bullish trending period. There were both Long and Short signals during this period, while the long signals were significantly more profitable than the short signals. The net profit from Long signals was +8.26%.

Trend

NNN has been outperforming the SP500 index in recent time. It showed significant underperformance (compared to the SP500 index) from 5 Jul, 2016 to 1 Feb, 2018. Over the last 2 years 11 months and 8 days, NNN underperformed the SP500 index on 47% days. Which indicates that on days NNN underperforms the SP500 index, it's performance is marginally worse than on the days it outperforms the SP500 index.

During the last three months NNN delivered losses on 53% days. However, it still managed to end this period in a profit. It's best return during this period (of +2.91%) was on Tuesday, 16 Oct, 2018. While it's worst loss in the same period (of -2.92%) was on Wednesday, 19 Sep, 2018. The longest stort-term trend during this period was 6 profitable days, which started on 12 Oct, 2018 and went on till 19 Oct, 2018. This bullish trend returned +5.72% to investors.

The last 12 months saw NNN's investors making profits in 7 months and incurring losses in 5 months. NNN was less consistent in delivering monthly returs than SP500 index. NNN significantly outperformed SP500 index in May 2018, when it returned +8.91% compared to +4.75% returned by SP500 index during it's best month in the last one year - Jan 2018. NNN had a shorter streak of profitable months than SP500 index. It only went up in 4 straight months during the last year.

Money is multiplied in practical value depending on the number of W's you control in your life: what you do, when you do it, where you do it, and with whom you do it.
-- Timothy Ferriss

NNN is currently seeing overall increase in volatility. In comparison, the SP500 index is seeing increase in volatility. During the last three months, there was a significant surge in NNN's volatility from 13 Sep, 2018 to 26 Oct, 2018. While there was a significant surge in the SP500 index's volatility from 13 Sep, 2018 to 29 Oct, 2018.

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

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

Based on your interest in NNN you may find it interesting to know that APRN has shown remarkable performance and deserves to be on every investors' watchlist.

Want to improve your Portfolio's performance?

Spotalpha's Portfolio optimizer is all you need to improve your returns and reduce your risk.
Optimize Portfolio NOW
Following
Symbol Price {{retType}} | Tr.
{{detail.symbol}} {{detail.close}} {{detail.priceChange}}  {{detail.pctChange}}%  {{detail.name}} {{detail.trend}} 
 
If you liked what you read here ...

... we have a small favour to ask. Help us bring the power of algorithmic trading strategies to individual investors.

All content in this article was automatically generated by algorithms. This ensures that there are no human biases in the analysis provided. This approach to investing is not new and has been around for more than three decades. Yet, it has been available to only the most affluent or elite investors leaving individual investors to trade on emotions (such as fear and greed), intuition and poor analysis from third-parties. We want to change this.

We want to empower investors with all the tools and analysis required by them to make a rational investment decision.

If you found Spotalpha useful, consider making a contribution. For as little as $5 you can support our efforts and it takes less than a minute. Thank you. Contribute
Share with friends   WhatsApp   Facebook   Twitter