Advanced Micro Devices Stock Alpha and Beta Analysis
| AMD Stock | 25.95 0.05 0.19% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Advanced Micro Devices. It also helps investors analyze the systematic and unsystematic risks associated with investing in Advanced Micro over a specified time horizon. Remember, high Advanced Micro'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 Advanced Micro's market risk premium analysis include:
Beta 1.45 | Alpha (0.29) | Risk 2.71 | Sharpe Ratio 0.0095 | Expected Return 0.0257 |
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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Advanced Micro Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Advanced Micro market risk premium is the additional return an investor will receive from holding Advanced Micro 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 Advanced Micro. 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 Advanced Micro's performance over market.| α | -0.29 | β | 1.45 |
Advanced Micro 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 Advanced Micro's Buy-and-hold return. Our buy-and-hold chart shows how Advanced Micro performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Advanced Micro Market Price Analysis
Market price analysis indicators help investors to evaluate how Advanced Micro stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Advanced Micro shares will generate the highest return on investment. By understating and applying Advanced Micro stock market price indicators, traders can identify Advanced Micro position entry and exit signals to maximize returns.
Advanced Micro Return and Market Media
The median price of Advanced Micro for the period between Sat, Aug 31, 2024 and Fri, Nov 29, 2024 is 28.68 with a coefficient of variation of 7.07. The daily time series for the period is distributed with a sample standard deviation of 2.03, arithmetic mean of 28.68, and mean deviation of 1.71. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | AMD lost some market share in Server Instances while Intel gained- report - Investing.com | 09/05/2024 |
2 | Advanced Micro Devices Stock Flashes Improved Price Strength - Investors Business Daily | 09/26/2024 |
3 | Nvidia Stock Slips. AMD, Broadcom, AI Chip Makers Face Crunch Quarter. - Barrons | 10/01/2024 |
4 | Whats Going on With AMD Stock - The Motley Fool | 10/08/2024 |
About Advanced Micro 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 Advanced or other stocks. Alpha measures the amount that position in Advanced Micro Devices 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 Advanced Micro 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, Advanced Micro's short interest history, or implied volatility extrapolated from Advanced Micro options trading.
Build Portfolio with Advanced Micro
Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.Build Diversified Portfolios
Align your risk with return expectations
Check out Advanced Micro Backtesting, Advanced Micro Valuation, Advanced Micro Correlation, Advanced Micro Hype Analysis, Advanced Micro Volatility, Advanced Micro History and analyze Advanced Micro Performance. You can also try the Fundamental Analysis module to view fundamental data based on most recent published financial statements.
Advanced Micro 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.