CHEKZ Stock: The Next Bubble?

Outlook: Check-Cap Ltd. Series C Warrant is assigned short-term Baa2 & long-term Ba3 estimated rating.
Dominant Strategy : Hold
Time series to forecast n: 22 Jun 2023 for 16 Weeks
Methodology : Transfer Learning (ML)

Abstract

Check-Cap Ltd. Series C Warrant prediction model is evaluated with Transfer Learning (ML) and Spearman Correlation^1,2,3,4 and it is concluded that the CHEKZ stock is predictable in the short/long term. Transfer learning is a machine learning (ML) method where a model developed for one task is reused as the starting point for a model on a second task. This can be useful when the second task is similar to the first task, or when there is limited data available for the second task. According to price forecasts for 16 Weeks period, the dominant strategy among neural network is: Hold

Key Points

1. Why do we need predictive models?
2. What is statistical models in machine learning?
3. How do predictive algorithms actually work?

CHEKZ Target Price Prediction Modeling Methodology

We consider Check-Cap Ltd. Series C Warrant Decision Process with Transfer Learning (ML) where A is the set of discrete actions of CHEKZ stock holders, F is the set of discrete states, P : S × F × S → R is the transition probability distribution, R : S × F → R is the reaction function, and γ ∈ [0, 1] is a move factor for expectation.^1,2,3,4

F(Spearman Correlation)^5,6,7= $\begin{array}{cccc}{p}_{\mathrm{a}1}& p_{\mathrm{a}2}& \dots & p_{1n}\\ & ⋮\\ p_{j1}& p_{j2}& \dots & p_{jn}\\ & ⋮\\ p_{k1}& p_{k2}& \dots & p_{kn}\\ & ⋮\\ p_{n1}& p_{n2}& \dots & p_{nn}\end{array}$ X R(Transfer Learning (ML)) X S(n):→ 16 Weeks $\begin{array}{l}\int e^x\mathrm{rx}\end{array}$

n:Time series to forecast

p:Price signals of CHEKZ stock

j:Nash equilibria (Neural Network)

k:Dominated move

a:Best response for target price

Transfer Learning (ML)

Transfer learning is a machine learning (ML) method where a model developed for one task is reused as the starting point for a model on a second task. This can be useful when the second task is similar to the first task, or when there is limited data available for the second task.

Spearman Correlation

Spearman correlation is a nonparametric measure of the strength and direction of association between two variables. It is a rank-based correlation, which means that it does not assume that the data is normally distributed. Spearman correlation is calculated by first ranking the data for each variable, and then calculating the Pearson correlation between the ranks.

 

For further technical information as per how our model work we invite you to visit the article below: 

How do AC Investment Research machine learning (predictive) algorithms actually work?

CHEKZ Stock Forecast (Buy or Sell) for 16 Weeks

Sample Set: Neural Network
Stock/Index: CHEKZ Check-Cap Ltd. Series C Warrant
Time series to forecast n: 22 Jun 2023 for 16 Weeks

According to price forecasts for 16 Weeks period, the dominant strategy among neural network is: Hold

X axis: *Likelihood% (The higher the percentage value, the more likely the event will occur.)

Y axis: *Potential Impact% (The higher the percentage value, the more likely the price will deviate.)

Z axis (Grey to Black): *Technical Analysis%

IFRS Reconciliation Adjustments for Check-Cap Ltd. Series C Warrant

1. For the purpose of this Standard, reasonable and supportable information is that which is reasonably available at the reporting date without undue cost or effort, including information about past events, current conditions and forecasts of future economic conditions. Information that is available for financial reporting purposes is considered to be available without undue cost or effort.
2. At the date of initial application, an entity is permitted to make the designation in paragraph 2.5 for contracts that already exist on the date but only if it designates all similar contracts. The change in the net assets resulting from such designations shall be recognised in retained earnings at the date of initial application.
3. Expected credit losses shall be discounted to the reporting date, not to the expected default or some other date, using the effective interest rate determined at initial recognition or an approximation thereof. If a financial instrument has a variable interest rate, expected credit losses shall be discounted using the current effective interest rate determined in accordance with paragraph B5.4.5.
4. The requirements in paragraphs 6.8.4–6.8.8 may cease to apply at different times. Therefore, in applying paragraph 6.9.1, an entity may be required to amend the formal designation of its hedging relationships at different times, or may be required to amend the formal designation of a hedging relationship more than once. When, and only when, such a change is made to the hedge designation, an entity shall apply paragraphs 6.9.7–6.9.12 as applicable. An entity also shall apply paragraph 6.5.8 (for a fair value hedge) or paragraph 6.5.11 (for a cash flow hedge) to account for any changes in the fair value of the hedged item or the hedging instrument.

*International Financial Reporting Standards (IFRS) adjustment process involves reviewing the company's financial statements and identifying any differences between the company's current accounting practices and the requirements of the IFRS. If there are any such differences, neural network makes adjustments to financial statements to bring them into compliance with the IFRS.

Conclusions

Check-Cap Ltd. Series C Warrant is assigned short-term Baa2 & long-term Ba3 estimated rating. Check-Cap Ltd. Series C Warrant prediction model is evaluated with Transfer Learning (ML) and Spearman Correlation^1,2,3,4 and it is concluded that the CHEKZ stock is predictable in the short/long term. According to price forecasts for 16 Weeks period, the dominant strategy among neural network is: Hold

CHEKZ Check-Cap Ltd. Series C Warrant Financial Analysis*

Rating	Short-Term	Long-Term Senior
Outlook*	Baa2	Ba3
Income Statement	Ba1	C
Balance Sheet	Baa2	B2
Leverage Ratios	Baa2	Caa2
Cash Flow	Baa2	Baa2
Rates of Return and Profitability	Caa2	Baa2

*Financial analysis is the process of evaluating a company's financial performance and position by neural network. It involves reviewing the company's financial statements, including the balance sheet, income statement, and cash flow statement, as well as other financial reports and documents.
How does neural network examine financial reports and understand financial state of the company?

Prediction Confidence Score

Trust metric by Neural Network: 72 out of 100 with 468 signals.

References

1. Breiman L. 1996. Bagging predictors. Mach. Learn. 24:123–40
2. Bottomley, P. R. Fildes (1998), "The role of prices in models of innovation diffusion," Journal of Forecasting, 17, 539–555.
3. F. A. Oliehoek, M. T. J. Spaan, and N. A. Vlassis. Optimal and approximate q-value functions for decentralized pomdps. J. Artif. Intell. Res. (JAIR), 32:289–353, 2008
4. G. Theocharous and A. Hallak. Lifetime value marketing using reinforcement learning. RLDM 2013, page 19, 2013
5. L. Prashanth and M. Ghavamzadeh. Actor-critic algorithms for risk-sensitive MDPs. In Proceedings of Advances in Neural Information Processing Systems 26, pages 252–260, 2013.
6. Chernozhukov V, Chetverikov D, Demirer M, Duflo E, Hansen C, et al. 2018a. Double/debiased machine learning for treatment and structural parameters. Econom. J. 21:C1–68
7. G. Konidaris, S. Osentoski, and P. Thomas. Value function approximation in reinforcement learning using the Fourier basis. In AAAI, 2011

Frequently Asked Questions

Q: What is the prediction methodology for CHEKZ stock?
A: CHEKZ stock prediction methodology: We evaluate the prediction models Transfer Learning (ML) and Spearman Correlation
Q: Is CHEKZ stock a buy or sell?
A: The dominant strategy among neural network is to Hold CHEKZ Stock.
Q: Is Check-Cap Ltd. Series C Warrant stock a good investment?
A: The consensus rating for Check-Cap Ltd. Series C Warrant is Hold and is assigned short-term Baa2 & long-term Ba3 estimated rating.
Q: What is the consensus rating of CHEKZ stock?
A: The consensus rating for CHEKZ is Hold.
Q: What is the prediction period for CHEKZ stock?
A: The prediction period for CHEKZ is 16 Weeks