Travis Perkins (UK) Alpha and Beta Analysis
| TPK Stock | 760.50 16.50 2.12% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Travis Perkins PLC. It also helps investors analyze the systematic and unsystematic risks associated with investing in Travis Perkins over a specified time horizon. Remember, high Travis Perkins' 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 Travis Perkins' market risk premium analysis include:
Beta 0.39 | Alpha (0.30) | Risk 1.65 | Sharpe Ratio (0.14) | Expected Return (0.23) |
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.
Travis |
Travis Perkins Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Travis Perkins market risk premium is the additional return an investor will receive from holding Travis Perkins 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 Travis Perkins. 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 Travis Perkins' performance over market.| α | -0.3 | β | 0.39 |
Travis Perkins 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 Travis Perkins' Buy-and-hold return. Our buy-and-hold chart shows how Travis Perkins performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Travis Perkins Market Price Analysis
Market price analysis indicators help investors to evaluate how Travis Perkins stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Travis Perkins shares will generate the highest return on investment. By understating and applying Travis Perkins stock market price indicators, traders can identify Travis Perkins position entry and exit signals to maximize returns.
Travis Perkins Return and Market Media
The median price of Travis Perkins for the period between Tue, Sep 3, 2024 and Mon, Dec 2, 2024 is 880.0 with a coefficient of variation of 6.42. The daily time series for the period is distributed with a sample standard deviation of 55.35, arithmetic mean of 861.86, and mean deviation of 48.81. The Stock received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | Shareholders in Travis Perkins have lost 32, as stock drops 11 percent this past week - Yahoo Finance | 10/29/2024 |
| Travis Perkins dividend paid on 8th of November 2024 | 11/08/2024 |
About Travis Perkins 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 Travis or other stocks. Alpha measures the amount that position in Travis Perkins PLC 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 Travis Perkins 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, Travis Perkins' short interest history, or implied volatility extrapolated from Travis Perkins options trading.
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Other Information on Investing in Travis Stock
Travis Perkins financial ratios help investors to determine whether Travis 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 Travis with respect to the benefits of owning Travis Perkins security.