Bajaj Finance (India) Alpha and Beta Analysis
| BAJFINANCE | 6,618 67.45 1.01% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Bajaj Finance Limited. It also helps investors analyze the systematic and unsystematic risks associated with investing in Bajaj Finance over a specified time horizon. Remember, high Bajaj Finance'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 Bajaj Finance's market risk premium analysis include:
Beta 0.0438 | Alpha (0.02) | Risk 1.63 | Sharpe Ratio (0.06) | Expected Return (0.09) |
Bajaj Finance Quarterly Cash And Equivalents |
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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.
Bajaj |
Bajaj Finance Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Bajaj Finance market risk premium is the additional return an investor will receive from holding Bajaj Finance 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 Bajaj Finance. 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 Bajaj Finance's performance over market.| α | -0.02 | β | 0.04 |
Bajaj Finance 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 Bajaj Finance's Buy-and-hold return. Our buy-and-hold chart shows how Bajaj Finance performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Bajaj Finance Market Price Analysis
Market price analysis indicators help investors to evaluate how Bajaj Finance stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Bajaj Finance shares will generate the highest return on investment. By understating and applying Bajaj Finance stock market price indicators, traders can identify Bajaj Finance position entry and exit signals to maximize returns.
Bajaj Finance Return and Market Media
The median price of Bajaj Finance for the period between Thu, Aug 29, 2024 and Wed, Nov 27, 2024 is 7040.9 with a coefficient of variation of 4.93. The daily time series for the period is distributed with a sample standard deviation of 350.3, arithmetic mean of 7105.15, and mean deviation of 303.3. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | Bajaj Housing Finance IPO All you need to know about the 6,560 crore issue - Hindustan Times | 09/02/2024 |
2 | Bajaj Housing Finance shares hit 10 percent upper circuit limit after blockbuster debut - The Hindu | 09/17/2024 |
3 | Bajaj Finance Share Price Prediction An Upside Breakout In The Making - InvestingCube | 09/25/2024 |
4 | Bajaj Finance shares tumble 3 percent after Q2 update - The Economic Times | 10/03/2024 |
5 | Bajaj Finance shares in focus ahead of Q2FY25 earnings. Heres what to expect - The Economic Times | 10/22/2024 |
6 | Share Market Highlights 22nd November 2024 Sensex closes higher by 1961.32 pts at 79,117.11, Nifty at 23,874.40 Top Gainers SBI, Bajaj Finance - BusinessLine | 11/22/2024 |
About Bajaj Finance 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 Bajaj or other stocks. Alpha measures the amount that position in Bajaj Finance Limited 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 Bajaj Finance 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, Bajaj Finance's short interest history, or implied volatility extrapolated from Bajaj Finance options trading.
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Other Information on Investing in Bajaj Stock
Bajaj Finance financial ratios help investors to determine whether Bajaj 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 Bajaj with respect to the benefits of owning Bajaj Finance security.