Allot Communications (Israel) Alpha and Beta Analysis
| ALLT Stock | ILS 1,604 62.00 3.72% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Allot Communications. It also helps investors analyze the systematic and unsystematic risks associated with investing in Allot Communications over a specified time horizon. Remember, high Allot Communications' 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 Allot Communications' market risk premium analysis include:
Beta 0.22 | Alpha 0.64 | Risk 5.46 | Sharpe Ratio 0.12 | Expected Return 0.65 |
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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Allot Communications Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Allot Communications market risk premium is the additional return an investor will receive from holding Allot Communications 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 Allot Communications. 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 Allot Communications' performance over market.| α | 0.64 | β | 0.22 |
Allot Communications 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 Allot Communications' Buy-and-hold return. Our buy-and-hold chart shows how Allot Communications performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Allot Communications Market Price Analysis
Market price analysis indicators help investors to evaluate how Allot Communications stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Allot Communications shares will generate the highest return on investment. By understating and applying Allot Communications stock market price indicators, traders can identify Allot Communications position entry and exit signals to maximize returns.
Allot Communications Return and Market Media
The median price of Allot Communications for the period between Sun, Sep 1, 2024 and Sat, Nov 30, 2024 is 1188.0 with a coefficient of variation of 13.38. The daily time series for the period is distributed with a sample standard deviation of 165.55, arithmetic mean of 1237.4, and mean deviation of 129.36. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Allot Communications 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 Allot or other stocks. Alpha measures the amount that position in Allot Communications 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 Allot Communications 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, Allot Communications' short interest history, or implied volatility extrapolated from Allot Communications options trading.
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Additional Information and Resources on Investing in Allot Stock
When determining whether Allot Communications is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Allot Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Allot Communications Stock. Highlighted below are key reports to facilitate an investment decision about Allot Communications Stock:Check out Allot Communications Backtesting, Allot Communications Valuation, Allot Communications Correlation, Allot Communications Hype Analysis, Allot Communications Volatility, Allot Communications History and analyze Allot Communications Performance. For information on how to trade Allot Stock refer to our How to Trade Allot Stock guide.You can also try the FinTech Suite module to use AI to screen and filter profitable investment opportunities.
Allot Communications 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.