Live Nation (Germany) Alpha and Beta Analysis
| 3LN Stock | EUR 133.20 2.45 1.81% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Live Nation Entertainment. It also helps investors analyze the systematic and unsystematic risks associated with investing in Live Nation over a specified time horizon. Remember, high Live Nation'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 Live Nation's market risk premium analysis include:
Beta 0.16 | Alpha 0.65 | Risk 1.87 | Sharpe Ratio 0.37 | Expected Return 0.69 |
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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Live Nation Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Live Nation market risk premium is the additional return an investor will receive from holding Live Nation 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 Live Nation. 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 Live Nation's performance over market.| α | 0.65 | β | 0.16 |
Live Nation 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 Live Nation's Buy-and-hold return. Our buy-and-hold chart shows how Live Nation performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Live Nation Market Price Analysis
Market price analysis indicators help investors to evaluate how Live Nation stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Live Nation shares will generate the highest return on investment. By understating and applying Live Nation stock market price indicators, traders can identify Live Nation position entry and exit signals to maximize returns.
Live Nation Return and Market Media
The median price of Live Nation for the period between Thu, Aug 29, 2024 and Wed, Nov 27, 2024 is 101.1 with a coefficient of variation of 12.76. The daily time series for the period is distributed with a sample standard deviation of 12.97, arithmetic mean of 101.7, and mean deviation of 10.55. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Live Nation 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 Live or other stocks. Alpha measures the amount that position in Live Nation Entertainment 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 Live Nation 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, Live Nation's short interest history, or implied volatility extrapolated from Live Nation options trading.
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Additional Information and Resources on Investing in Live Stock
When determining whether Live Nation Entertainment is a strong investment it is important to analyze Live Nation's competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Live Nation's future performance. For an informed investment choice regarding Live Stock, refer to the following important reports:Check out Live Nation Backtesting, Live Nation Valuation, Live Nation Correlation, Live Nation Hype Analysis, Live Nation Volatility, Live Nation History and analyze Live Nation Performance. You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
Live Nation 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.