Humana (UK) Alpha and Beta Analysis
| 0J6Z Stock | 300.13 5.10 1.73% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Humana Inc. It also helps investors analyze the systematic and unsystematic risks associated with investing in Humana over a specified time horizon. Remember, high Humana'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 Humana's market risk premium analysis include:
Beta 1.51 | Alpha (0.37) | Risk 3.35 | Sharpe Ratio (0.06) | Expected Return (0.22) |
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.
Humana |
Humana Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Humana market risk premium is the additional return an investor will receive from holding Humana 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 Humana. 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 Humana's performance over market.| α | -0.37 | β | 1.51 |
Humana 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 Humana's Buy-and-hold return. Our buy-and-hold chart shows how Humana performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Humana Market Price Analysis
Market price analysis indicators help investors to evaluate how Humana stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Humana shares will generate the highest return on investment. By understating and applying Humana stock market price indicators, traders can identify Humana position entry and exit signals to maximize returns.
Humana Return and Market Media
The median price of Humana for the period between Mon, Aug 26, 2024 and Sun, Nov 24, 2024 is 286.69 with a coefficient of variation of 13.02. The daily time series for the period is distributed with a sample standard deviation of 38.32, arithmetic mean of 294.26, and mean deviation of 33.16. The Stock received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | Humana Earns 2024 Great Place To Work Certification - StockTitan | 09/19/2024 |
2 | Humanas stock leads SP 500 losers, and is a BofA tax-loss selling candidate - MarketWatch | 10/01/2024 |
About Humana 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 Humana or other stocks. Alpha measures the amount that position in Humana Inc 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 Humana 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, Humana's short interest history, or implied volatility extrapolated from Humana options trading.
Build Portfolio with Humana
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Additional Tools for Humana Stock Analysis
When running Humana's price analysis, check to measure Humana's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Humana is operating at the current time. Most of Humana's value examination focuses on studying past and present price action to predict the probability of Humana's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Humana's price. Additionally, you may evaluate how the addition of Humana to your portfolios can decrease your overall portfolio volatility.