Parker Hannifin (Germany) Alpha and Beta Analysis
| PAR Stock | EUR 669.40 2.20 0.33% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Parker Hannifin. It also helps investors analyze the systematic and unsystematic risks associated with investing in Parker Hannifin over a specified time horizon. Remember, high Parker Hannifin'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 Parker Hannifin's market risk premium analysis include:
Beta 0.0267 | Alpha 0.35 | Risk 2.2 | Sharpe Ratio 0.15 | Expected Return 0.34 |
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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Parker Hannifin Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Parker Hannifin market risk premium is the additional return an investor will receive from holding Parker Hannifin 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 Parker Hannifin. 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 Parker Hannifin's performance over market.| α | 0.35 | β | 0.03 |
Parker Hannifin 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 Parker Hannifin's Buy-and-hold return. Our buy-and-hold chart shows how Parker Hannifin performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Parker Hannifin Market Price Analysis
Market price analysis indicators help investors to evaluate how Parker Hannifin stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Parker Hannifin shares will generate the highest return on investment. By understating and applying Parker Hannifin stock market price indicators, traders can identify Parker Hannifin position entry and exit signals to maximize returns.
Parker Hannifin Return and Market Media
The median price of Parker Hannifin for the period between Mon, Sep 2, 2024 and Sun, Dec 1, 2024 is 575.33 with a coefficient of variation of 8.57. The daily time series for the period is distributed with a sample standard deviation of 50.41, arithmetic mean of 588.28, and mean deviation of 40.63. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Parker Hannifin 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 Parker or other stocks. Alpha measures the amount that position in Parker Hannifin 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 Parker Hannifin 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, Parker Hannifin's short interest history, or implied volatility extrapolated from Parker Hannifin options trading.
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Additional Information and Resources on Investing in Parker Stock
When determining whether Parker Hannifin offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Parker Hannifin'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 Parker Hannifin Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Parker Hannifin Stock:Check out Parker Hannifin Backtesting, Parker Hannifin Valuation, Parker Hannifin Correlation, Parker Hannifin Hype Analysis, Parker Hannifin Volatility, Parker Hannifin History and analyze Parker Hannifin Performance. For more detail on how to invest in Parker Stock please use our How to Invest in Parker Hannifin guide.You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Parker Hannifin 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.