Sterling Construction (Germany) Alpha and Beta Analysis
| UAO Stock | EUR 187.55 0.25 0.13% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Sterling Construction. It also helps investors analyze the systematic and unsystematic risks associated with investing in Sterling Construction over a specified time horizon. Remember, high Sterling Construction'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 Sterling Construction's market risk premium analysis include:
Beta 0.27 | Alpha 0.9 | Risk 3.65 | Sharpe Ratio 0.27 | Expected Return 0.98 |
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.
Sterling |
Sterling Construction Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Sterling Construction market risk premium is the additional return an investor will receive from holding Sterling Construction 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 Sterling Construction. 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 Sterling Construction's performance over market.| α | 0.90 | β | 0.27 |
Sterling Construction 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 Sterling Construction's Buy-and-hold return. Our buy-and-hold chart shows how Sterling Construction performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Sterling Construction Market Price Analysis
Market price analysis indicators help investors to evaluate how Sterling Construction stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Sterling Construction shares will generate the highest return on investment. By understating and applying Sterling Construction stock market price indicators, traders can identify Sterling Construction position entry and exit signals to maximize returns.
Sterling Construction Return and Market Media
The median price of Sterling Construction for the period between Wed, Aug 28, 2024 and Tue, Nov 26, 2024 is 137.75 with a coefficient of variation of 18.52. The daily time series for the period is distributed with a sample standard deviation of 25.14, arithmetic mean of 135.78, and mean deviation of 20.0. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Sterling Construction 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 Sterling or other stocks. Alpha measures the amount that position in Sterling Construction 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 Sterling Construction 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, Sterling Construction's short interest history, or implied volatility extrapolated from Sterling Construction options trading.
Build Portfolio with Sterling Construction
Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.Build Diversified Portfolios
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Additional Information and Resources on Investing in Sterling Stock
When determining whether Sterling Construction is a strong investment it is important to analyze Sterling Construction's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Sterling Construction's future performance. For an informed investment choice regarding Sterling Stock, refer to the following important reports:Check out Sterling Construction Backtesting, Sterling Construction Valuation, Sterling Construction Correlation, Sterling Construction Hype Analysis, Sterling Construction Volatility, Sterling Construction History and analyze Sterling Construction Performance. For more detail on how to invest in Sterling Stock please use our How to Invest in Sterling Construction guide.You can also try the Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
Sterling Construction technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.