Aston Martin (UK) Alpha and Beta Analysis
| AML Stock | 112.40 6.70 6.34% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Aston Martin Lagonda. It also helps investors analyze the systematic and unsystematic risks associated with investing in Aston Martin over a specified time horizon. Remember, high Aston Martin'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 Aston Martin's market risk premium analysis include:
Beta 0.23 | Alpha (0.46) | Risk 4.11 | Sharpe Ratio (0.08) | Expected Return (0.32) |
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.
Aston |
Aston Martin Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Aston Martin market risk premium is the additional return an investor will receive from holding Aston Martin 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 Aston Martin. 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 Aston Martin's performance over market.| α | -0.46 | β | 0.23 |
Aston Martin 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 Aston Martin's Buy-and-hold return. Our buy-and-hold chart shows how Aston Martin performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Aston Martin Market Price Analysis
Market price analysis indicators help investors to evaluate how Aston Martin stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Aston Martin shares will generate the highest return on investment. By understating and applying Aston Martin stock market price indicators, traders can identify Aston Martin position entry and exit signals to maximize returns.
Aston Martin Return and Market Media
The median price of Aston Martin for the period between Wed, Aug 28, 2024 and Tue, Nov 26, 2024 is 117.5 with a coefficient of variation of 17.25. The daily time series for the period is distributed with a sample standard deviation of 22.08, arithmetic mean of 128.01, and mean deviation of 20.63. The Stock received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | Aston Martin Lagonda Global Shares Cross Above Two Hundred Day Moving Average of 152.47 - MarketBeat | 09/20/2024 |
2 | Aston Martin Lagonda Global Sets New 1-Year Low - Heres What Happened - MarketBeat | 11/05/2024 |
About Aston Martin 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 Aston or other stocks. Alpha measures the amount that position in Aston Martin Lagonda 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 Aston Martin 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, Aston Martin's short interest history, or implied volatility extrapolated from Aston Martin options trading.
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Other Information on Investing in Aston Stock
Aston Martin financial ratios help investors to determine whether Aston Stock is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in Aston with respect to the benefits of owning Aston Martin security.