HDFC Bank (Brazil) Alpha and Beta Analysis
| H1DB34 Stock | BRL 73.85 0.91 1.25% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as HDFC Bank Limited. It also helps investors analyze the systematic and unsystematic risks associated with investing in HDFC Bank over a specified time horizon. Remember, high HDFC Bank'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 HDFC Bank's market risk premium analysis include:
Beta (0.13) | Alpha 0.4 | Risk 3.44 | Sharpe Ratio 0.12 | Expected Return 0.41 |
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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HDFC Bank Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. HDFC Bank market risk premium is the additional return an investor will receive from holding HDFC Bank 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 HDFC Bank. 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 HDFC Bank's performance over market.| α | 0.40 | β | -0.13 |
HDFC Bank 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 HDFC Bank's Buy-and-hold return. Our buy-and-hold chart shows how HDFC Bank performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.HDFC Bank Market Price Analysis
Market price analysis indicators help investors to evaluate how HDFC Bank stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading HDFC Bank shares will generate the highest return on investment. By understating and applying HDFC Bank stock market price indicators, traders can identify HDFC Bank position entry and exit signals to maximize returns.
HDFC Bank Return and Market Media
The median price of HDFC Bank for the period between Sat, Aug 24, 2024 and Fri, Nov 22, 2024 is 68.69 with a coefficient of variation of 6.75. The daily time series for the period is distributed with a sample standard deviation of 4.59, arithmetic mean of 68.0, and mean deviation of 3.97. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About HDFC Bank 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 HDFC or other stocks. Alpha measures the amount that position in HDFC Bank Limited 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 HDFC Bank 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, HDFC Bank's short interest history, or implied volatility extrapolated from HDFC Bank options trading.
Build Portfolio with HDFC Bank
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Additional Information and Resources on Investing in HDFC Stock
When determining whether HDFC Bank Limited offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of HDFC Bank's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Hdfc Bank Limited Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Hdfc Bank Limited Stock:Check out HDFC Bank Backtesting, HDFC Bank Valuation, HDFC Bank Correlation, HDFC Bank Hype Analysis, HDFC Bank Volatility, HDFC Bank History and analyze HDFC Bank Performance. You can also try the Alpha Finder module to use alpha and beta coefficients to find investment opportunities after accounting for the risk.
HDFC Bank 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.