PLDT INC. (FOREIGN)

21.16 -0.47 (-2.22%) Sell

PHI is a falling knife, continues to bleed every investor trying to catch it

13 min read

PLDT INC. (Foreign) ranked among the worst performers on Friday. It lost -2.22% to close at 21.16. It is currently trading -33% below it's 52 week high of 31.87.

[Themes containing PHI]

PHI is currently in a down trend. Over the last three months 3 bearish signals have generated a profit of +11.05% for investors.

Trend

PHI has been outperforming the SP500 index in recent time. Over the last 2 years 11 months and 10 days, PHI underperformed the SP500 index on 51% days.

During the last three months PHI was mostly loss making and delivered on average -0.33% per day. It's best return during this period (of +4.58%) was on Monday, 19 Nov, 2018. While it's worst loss in the same period (of -6.55%) was on Friday, 9 Nov, 2018. There was initially a bearish trend during this period which started on 18 Sep, 2018 and went on till 27 Sep, 2018. The trend delivered -5.12% losses to investors. This was followed by a bullish trend that started on 16 Oct, 2018 and ended on 22 Oct, 2018. This bullish trend delivered +5.22% to investors.

PHI had 3 profitable and 9 loss making months over the last year. During the last year, PHI underperformed SP500 index on monthly return basis. PHI was also a more risky investment than SP500 index as it's worst month in the last year, Nov 2018, returned -15.11% compared to -7.28% returned by SP500 index in Oct 2018. PHI had a longer winning streak of losing months than SP500 index. It went down in 5 straight months (from Feb 2018 to Jun 2018) during which period it delivered -24.15%. It is interesting to note that both PHI and SP500 index significantly outperform during months when quarterly/annual results are announced.

Only buy something that you'd be perfectly happy to hold if the market shut down for 10 years.
-- Warren Buffett

PHI is becoming more volatile overall. In comparison, the SP500 index is seeing a rise in volatility. During the last three months, there was a significant surge in PHI's volatility from 19 Sep, 2018 to 20 Nov, 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 PHI has significant positive skewness in it's return distribution. This indicates that investors can expect PHI to recover from drawdowns quickly. Which makes PHI 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 PHI. Therefore, SP500 must receive a lower allocation than PHI in your portfolio. PHI usually has shorter drawdown period than the SP500 index.

On a general note (since you are interested in PHI), two instruments that deserve special mention are AMRH and AYTU. They have significantly outperformed the overall market.

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