XOMAO Stock: The Can That's Slowly Rotting Away

Outlook: XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock is assigned short-term Ba2 & long-term B2 estimated rating.
AUC Score : What is AUC Score?
Short-Term Revised¹ :
Dominant Strategy : SellHold
Time series to forecast n: for Weeks²
Methodology : Modular Neural Network (DNN Layer)
Hypothesis Testing : Sign Test
Surveillance : Major exchange and OTC

¹The accuracy of the model is being monitored on a regular basis.(15-minute period)

²Time series is updated based on short-term trends.

Summary

XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock prediction model is evaluated with Modular Neural Network (DNN Layer) and Sign Test^1,2,3,4 and it is concluded that the XOMAO stock is predictable in the short/long term. In a modular neural network (MNN), a DNN layer is a type of module that is used to learn complex relationships between input and output data. DNN layers are made up of a series of artificial neurons, which are connected to each other by weighted edges. The weights of the edges are adjusted during training to minimize the error between the network's predictions and the desired output. DNN layers are used in a variety of MNN applications, including natural language processing, speech recognition, and machine translation. In natural language processing, DNN layers are used to extract features from text data, such as the sentiment of a sentence or the topic of a conversation. In speech recognition, DNN layers are used to convert audio data into text data. In machine translation, DNN layers are used to translate text from one language to another. According to price forecasts for 8 Weeks period, the dominant strategy among neural network is: SellHold

Key Points

1. What are the most successful trading algorithms?
2. Technical Analysis with Algorithmic Trading
3. Is it better to buy and sell or hold?

XOMAO Target Price Prediction Modeling Methodology

We consider XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock Decision Process with Modular Neural Network (DNN Layer) where A is the set of discrete actions of XOMAO 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(Sign Test)^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(Modular Neural Network (DNN Layer)) X S(n):→ 8 Weeks $\sum _{i=1}^n\left(r_i\right)$

n:Time series to forecast

p:Price signals of XOMAO stock

j:Nash equilibria (Neural Network)

k:Dominated move

a:Best response for target price

Modular Neural Network (DNN Layer)

In a modular neural network (MNN), a DNN layer is a type of module that is used to learn complex relationships between input and output data. DNN layers are made up of a series of artificial neurons, which are connected to each other by weighted edges. The weights of the edges are adjusted during training to minimize the error between the network's predictions and the desired output. DNN layers are used in a variety of MNN applications, including natural language processing, speech recognition, and machine translation. In natural language processing, DNN layers are used to extract features from text data, such as the sentiment of a sentence or the topic of a conversation. In speech recognition, DNN layers are used to convert audio data into text data. In machine translation, DNN layers are used to translate text from one language to another.

Sign Test

The sign test is a non-parametric hypothesis test that is used to compare two paired samples. In a paired sample, each data point in one sample is paired with a data point in the other sample. The pairs are typically related in some way, such as before and after measurements, or measurements from the same subject under different conditions. The sign test is a non-parametric test, which means that it does not assume that the data is normally distributed. The sign test is also a dependent samples test, which means that the data points in each pair are correlated.

 

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?

XOMAO Stock Forecast (Buy or Sell)

Sample Set: Neural Network
Stock/Index: XOMAO XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock
Time series to forecast: 8 Weeks

According to price forecasts, the dominant strategy among neural network is: SellHold

Strategic Interaction Table Legend:

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%

Financial Data Adjustments for Modular Neural Network (DNN Layer) based XOMAO Stock Prediction Model

1. A contractually specified inflation risk component of the cash flows of a recognised inflation-linked bond (assuming that there is no requirement to account for an embedded derivative separately) is separately identifiable and reliably measurable, as long as other cash flows of the instrument are not affected by the inflation risk component.
2. When rebalancing a hedging relationship, an entity shall update its analysis of the sources of hedge ineffectiveness that are expected to affect the hedging relationship during its (remaining) term (see paragraph B6.4.2). The documentation of the hedging relationship shall be updated accordingly.
3. Historical information is an important anchor or base from which to measure expected credit losses. However, an entity shall adjust historical data, such as credit loss experience, on the basis of current observable data to reflect the effects of the current conditions and its forecasts of future conditions that did not affect the period on which the historical data is based, and to remove the effects of the conditions in the historical period that are not relevant to the future contractual cash flows. In some cases, the best reasonable and supportable information could be the unadjusted historical information, depending on the nature of the historical information and when it was calculated, compared to circumstances at the reporting date and the characteristics of the financial instrument being considered. Estimates of changes in expected credit losses should reflect, and be directionally consistent with, changes in related observable data from period to period
4. Leverage is a contractual cash flow characteristic of some financial assets. Leverage increases the variability of the contractual cash flows with the result that they do not have the economic characteristics of interest. Stand-alone option, forward and swap contracts are examples of financial assets that include such leverage. Thus, such contracts do not meet the condition in paragraphs 4.1.2(b) and 4.1.2A(b) and cannot be subsequently measured at amortised cost or fair value through other comprehensive income.

*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.

XOMAO XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock Financial Analysis*

Rating	Short-Term	Long-Term Senior
Outlook*	Ba2	B2
Income Statement	Baa2	B2
Balance Sheet	Baa2	B3
Leverage Ratios	B2	C
Cash Flow	B1	Baa2
Rates of Return and Profitability	B1	C

*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?

Conclusions

XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock is assigned short-term Ba2 & long-term B2 estimated rating. XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock prediction model is evaluated with Modular Neural Network (DNN Layer) and Sign Test^1,2,3,4 and it is concluded that the XOMAO stock is predictable in the short/long term. According to price forecasts for 8 Weeks period, the dominant strategy among neural network is: SellHold

Prediction Confidence Score

Trust metric by Neural Network: 77 out of 100 with 624 signals.

References

1. Hastie T, Tibshirani R, Wainwright M. 2015. Statistical Learning with Sparsity: The Lasso and Generalizations. New York: CRC Press
2. J. Baxter and P. Bartlett. Infinite-horizon policy-gradient estimation. Journal of Artificial Intelligence Re- search, 15:319–350, 2001.
3. M. Benaim, J. Hofbauer, and S. Sorin. Stochastic approximations and differential inclusions, Part II: Appli- cations. Mathematics of Operations Research, 31(4):673–695, 2006
4. Jorgenson, D.W., Weitzman, M.L., ZXhang, Y.X., Haxo, Y.M. and Mat, Y.X., 2023. Can Neural Networks Predict Stock Market?. AC Investment Research Journal, 220(44).
5. Kallus N. 2017. Balanced policy evaluation and learning. arXiv:1705.07384 [stat.ML]
6. Varian HR. 2014. Big data: new tricks for econometrics. J. Econ. Perspect. 28:3–28
7. Farrell MH, Liang T, Misra S. 2018. Deep neural networks for estimation and inference: application to causal effects and other semiparametric estimands. arXiv:1809.09953 [econ.EM]

Frequently Asked Questions

Q: What is the prediction methodology for XOMAO stock?
A: XOMAO stock prediction methodology: We evaluate the prediction models Modular Neural Network (DNN Layer) and Sign Test
Q: Is XOMAO stock a buy or sell?
A: The dominant strategy among neural network is to SellHold XOMAO Stock.
Q: Is XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock stock a good investment?
A: The consensus rating for XOMA Corporation Depositary Shares Rep Series B 8.375% Cumulative Preferred Stock is SellHold and is assigned short-term Ba2 & long-term B2 estimated rating.
Q: What is the consensus rating of XOMAO stock?
A: The consensus rating for XOMAO is SellHold.
Q: What is the prediction period for XOMAO stock?
A: The prediction period for XOMAO is 8 Weeks