High-Volume Stocks Outperform with 166.71% Return as Carpenter Ranks 419th in $240M Trade

On August 11, 2025, Carpenter (CRS) closed with a 0.16% decline, trading with a daily volume of $240 million, ranking 419th among listed stocks. The weak performance contrasts with broader market liquidity trends observed in high-volume equities.

Backtest analysis of a volume-weighted trading strategy revealed that purchasing the top 500 stocks by daily trading volume and holding for one day generated a 166.71% cumulative return between 2022 and 2025. This significantly outperformed the benchmark index’s 29.18% return, highlighting the advantages of liquidity concentration in volatile markets. The strategy’s 137.53% alpha underscores how high-volume stocks can amplify short-term momentum during periods of market turbulence.

The results emphasize the importance of liquidity dynamics in driving short-term returns, particularly for assets with strong trading activity. While Carpenter’s volume remains mid-tier, the broader market environment suggests that liquidity-focused strategies may retain relevance in navigating current market conditions.