GSK Plc (Brazil) Alpha and Beta Analysis

G1SK34 Stock  BRL 41.07  0.29  0.71%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as GSK plc. It also helps investors analyze the systematic and unsystematic risks associated with investing in GSK Plc over a specified time horizon. Remember, high GSK Plc'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 GSK Plc's market risk premium analysis include:
Beta
0.0163
Alpha
(0.22)
Risk
1.92
Sharpe Ratio
(0.14)
Expected Return
(0.28)
Please note that although GSK Plc alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., Dow Jones Industrial index.) So in this particular case, GSK Plc did 0.22  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of GSK plc stock's relative risk over its benchmark. GSK plc has a beta of 0.02  . As returns on the market increase, GSK Plc's returns are expected to increase less than the market. However, during the bear market, the loss of holding GSK Plc is expected to be smaller as well. .
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.
  
Check out GSK Plc Backtesting, GSK Plc Valuation, GSK Plc Correlation, GSK Plc Hype Analysis, GSK Plc Volatility, GSK Plc History and analyze GSK Plc Performance.

GSK Plc Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. GSK Plc market risk premium is the additional return an investor will receive from holding GSK Plc 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 GSK Plc. 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 GSK Plc's performance over market.
α-0.22   β0.02

GSK Plc 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 GSK Plc's Buy-and-hold return. Our buy-and-hold chart shows how GSK Plc performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

GSK Plc Market Price Analysis

Market price analysis indicators help investors to evaluate how GSK Plc stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading GSK Plc shares will generate the highest return on investment. By understating and applying GSK Plc stock market price indicators, traders can identify GSK Plc position entry and exit signals to maximize returns.

GSK Plc Return and Market Media

The median price of GSK Plc for the period between Sun, Sep 1, 2024 and Sat, Nov 30, 2024 is 43.26 with a coefficient of variation of 6.85. The daily time series for the period is distributed with a sample standard deviation of 3.0, arithmetic mean of 43.81, and mean deviation of 2.4. The Stock did not receive any noticable media coverage during the period.
 Price Growth (%)  
       Timeline  

About GSK Plc 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 GSK or other stocks. Alpha measures the amount that position in GSK plc 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 GSK Plc 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, GSK Plc's short interest history, or implied volatility extrapolated from GSK Plc options trading.

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By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations

Other Information on Investing in GSK Stock

GSK Plc financial ratios help investors to determine whether GSK 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 GSK with respect to the benefits of owning GSK Plc security.