Farmers National Total Risk Alpha
| FMNB Stock | | | USD 14.17 -0.01 -0.07% |
Total Risk Alpha measures the excess return of an asset after comparing its performance to a benchmark portfolio matched to the same total risk level. Unlike Jensen Alpha, which adjusts for systematic risk (beta) only, Total Risk Alpha accounts for total volatility. Below is Farmers National's current Total Risk Alpha with peer comparisons and related risk metrics.
Current Total Risk Alpha Value
At 0.124, Farmers National exhibits positive alpha — return above what market exposure alone would predict in Total Risk Alpha. Farmers National has generated modest excess return beyond what its systematic risk exposure explains.
Total Risk Alpha | = | RFR + (ER[b] - ER[a]) | x | STD[a] / STD[b] |
| = | 0.124 | |
| ER[a] | = | Expected return on investing in Farmers National |
| ER[b] | = | Expected return on market index or selected benchmark |
| STD[a] | = | Standard Deviation of returns on Farmers National |
| STD[b] | = | Standard Deviation of selected market or benchmark |
| RFR | = | Risk Free Rate of return. Typically T-Bill Rate |
Total Risk Alpha Peers Comparison
Farmers National's Total Risk Alpha of 0.124 falls above the 0.02 peer average. Values range from -0.172 (Third Coast Bancshares) to 0.2865 (Midland States Bancorp), with wide dispersion across the group. Farmers National has generated more excess return relative to its market exposure than the peer group average.
Total Risk Alpha Relative To Other Indicators
The chart below plots Total Risk Alpha against Maximum Drawdown for Farmers National and its peers. Each point represents one equity — position along the horizontal axis shows Total Risk Alpha while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Farmers National's Maximum Drawdown of
6.06 runs about
48.86 times its Total Risk Alpha of
0.12 . This indicates Maximum Drawdown substantially exceeds Total Risk Alpha for Farmers National.
Methodology, Assumptions & Data Sources
The current Total Risk Alpha for Farmers National is 0.124. This Total Risk Alpha reading for Farmers National results from applying the indicator's calculation rules to price and volume data over the selected window. Data sources include daily closing prices from supported exchanges, with standard corporate action adjustments applied. Farmers National operates in the financial services sector, which may exhibit distinct volatility and momentum characteristics relative to the broader market. The calculation assumes continuous price data across the selected period. All readings are presented as reference data.
Other Technical Indicators