QUOTIENT TECHNOLOGY INC.

12.46 +0.32 (+2.55%) Sell

QUOT does a dead cat bounce, it's still too early to buy into it

13 min read

QUOT outperformed the broader market today. On a longer term basis, investors in QUOTIENT TECHNOLOGY INC. made -0.01% per day. Wednesday's performance of +2.55% was a outperformance compared to it's daily average.

[Themes containing QUOT]

Buy-and-Hold investors in QUOT experienced a maximum drawdown of -24.57% over the last three months. It fell by -20.89% during this strong bearish trending period. There were both Long and Short signals during this period, where the short signals were significantly more profitable than the long signals. The net profit from Short signals was +11.06%.

Trend

QUOT has been outperforming the SP500 index in recent time. It showed significant outperformance (compared to the SP500 index) from 14 Jan, 2016 to 11 Oct, 2017. Over the last 2 years 11 months and 8 days, QUOT outperformed the SP500 index on 50% days. Which indicates that on days QUOT outperforms the SP500 index, it's performance is marginally better than on the days it underperforms the SP500 index.

During the last three months QUOT was mostly loss making and delivered on average -0.35% per day. It's best return during this period (of +5.53%) was on Wednesday, 28 Nov, 2018. While it's worst loss in the same period (of -5.22%) was on Wednesday, 10 Oct, 2018. The longest stort-term trend during this period was 5 losing days, which started on 16 Nov, 2018 and ended on 23 Nov, 2018. This bearish trend lost -8.81% of investor capital.

During the last year QUOT had 6 profitable months and 6 loss making months. QUOT returned profits in fewer months than SP500 index. QUOT was also a more risky investment than SP500 index as it's worst month in the last year, Oct 2018, returned -17.13% compared to -7.28% returned by SP500 index in Oct 2018. QUOT had a shorter streak of profitable months than SP500 index. It only went up in 3 straight months during the last year. It is interesting to note that both QUOT and SP500 index significantly outperform during months when quarterly/annual results are announced.

Wealth is like sea-water; the more we drink, the thirstier we become; and the same is true of fame.
-- Arthur Schopenhauer

QUOT 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 QUOT's volatility from 20 Sep, 2018 to 8 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 QUOT has negative skewness in it's return distribution. This indicates that investors may need to stay invested through long periods of drawdown before expecting a recovery.

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

Based on your interest in QUOT you may find it interesting to know that TDOC has delivered similar performance as QUOT and can be considered as an alternative investment candidate (to QUOT).

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