Alliance Data Financials

Please note, the imprecision that can be found in Alliance Data's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Alliance Data Systems. Check Alliance Data's Beneish M Score to see the likelihood of Alliance Data's management manipulating its earnings.

Alliance Data's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Alliance Data volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.

The output start index for this execution was five with a total number of output elements of fifty-six. The Beta measures systematic risk based on how returns on Alliance Data Systems correlated with the market. If Beta is less than 0 Alliance Data generally moves in the opposite direction as compared to the market. If Alliance Data Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Alliance Data Systems is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Alliance Data is generally in the same direction as the market. If Beta > 1 Alliance Data moves generally in the same direction as, but more than the movement of the benchmark.