Bank Bumi (Indonesia) Alpha and Beta Analysis
| BNBA Stock | IDR 715.00 40.00 5.93% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Bank Bumi Arta. It also helps investors analyze the systematic and unsystematic risks associated with investing in Bank Bumi over a specified time horizon. Remember, high Bank Bumi's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation. Key technical indicators related to Bank Bumi's market risk premium analysis include:
Beta (0.03) | Alpha (0.21) | Risk 2.63 | Sharpe Ratio (0.05) | Expected Return (0.13) |
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the benchmark. The goal is to know if an investor is being compensated for the volatility risk taken. The return on investment might be better than its reference but still not compensate for the assumption of the risk.
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Bank Bumi Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Bank Bumi market risk premium is the additional return an investor will receive from holding Bank Bumi long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Bank Bumi. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Bank Bumi's performance over market.| α | -0.21 | β | -0.03 |
Bank Bumi expected buy-and-hold returns
Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Bank Bumi's Buy-and-hold return. Our buy-and-hold chart shows how Bank Bumi performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Bank Bumi Market Price Analysis
Market price analysis indicators help investors to evaluate how Bank Bumi stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Bank Bumi shares will generate the highest return on investment. By understating and applying Bank Bumi stock market price indicators, traders can identify Bank Bumi position entry and exit signals to maximize returns.
Bank Bumi Return and Market Media
The median price of Bank Bumi for the period between Wed, Aug 28, 2024 and Tue, Nov 26, 2024 is 715.0 with a coefficient of variation of 6.91. The daily time series for the period is distributed with a sample standard deviation of 49.89, arithmetic mean of 721.59, and mean deviation of 41.13. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Bank Bumi Beta and Alpha
For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all financial instruments including Bank or other stocks. Alpha measures the amount that position in Bank Bumi Arta has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Bank Bumi in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Bank Bumi's short interest history, or implied volatility extrapolated from Bank Bumi options trading.
Build Portfolio with Bank Bumi
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Other Information on Investing in Bank Stock
Bank Bumi financial ratios help investors to determine whether Bank Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Bank with respect to the benefits of owning Bank Bumi security.