Lightspeed Commerce Stock Alpha and Beta Analysis
| LSPD Stock | CAD 25.00 0.20 0.81% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Lightspeed Commerce. It also helps investors analyze the systematic and unsystematic risks associated with investing in Lightspeed Commerce over a specified time horizon. Remember, high Lightspeed Commerce'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 Lightspeed Commerce's market risk premium analysis include:
Beta 0.45 | Alpha 0.48 | Risk 2.48 | Sharpe Ratio 0.26 | Expected Return 0.65 |
Lightspeed Commerce Quarterly Cash And Equivalents |
|
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.
Lightspeed |
Lightspeed Commerce Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Lightspeed Commerce market risk premium is the additional return an investor will receive from holding Lightspeed Commerce 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 Lightspeed Commerce. 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 Lightspeed Commerce's performance over market.| α | 0.48 | β | 0.45 |
Lightspeed Commerce 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 Lightspeed Commerce's Buy-and-hold return. Our buy-and-hold chart shows how Lightspeed Commerce performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Lightspeed Commerce Market Price Analysis
Market price analysis indicators help investors to evaluate how Lightspeed Commerce stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Lightspeed Commerce shares will generate the highest return on investment. By understating and applying Lightspeed Commerce stock market price indicators, traders can identify Lightspeed Commerce position entry and exit signals to maximize returns.
Lightspeed Commerce Return and Market Media
The median price of Lightspeed Commerce for the period between Wed, Aug 28, 2024 and Tue, Nov 26, 2024 is 21.35 with a coefficient of variation of 13.06. The daily time series for the period is distributed with a sample standard deviation of 2.71, arithmetic mean of 20.78, and mean deviation of 2.25. The Stock received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | Lightspeed Commerce Shares Gap Up to 12.85 - MarketBeat | 09/17/2024 |
2 | Further Upside For Lightspeed Commerce Inc. Shares Could Introduce Price Risks After 26 percent Bounce - Simply Wall St | 09/27/2024 |
About Lightspeed Commerce 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 Lightspeed or other stocks. Alpha measures the amount that position in Lightspeed Commerce 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.
| 2021 | 2022 | 2023 | 2024 (projected) | Payables Turnover | 7.06 | 10.78 | 15.64 | 16.42 | Days Of Inventory On Hand | 9.93 | 11.76 | 11.49 | 6.27 |
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 Lightspeed Commerce 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, Lightspeed Commerce's short interest history, or implied volatility extrapolated from Lightspeed Commerce options trading.
Build Portfolio with Lightspeed Commerce
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 Lightspeed Commerce Backtesting, Lightspeed Commerce Valuation, Lightspeed Commerce Correlation, Lightspeed Commerce Hype Analysis, Lightspeed Commerce Volatility, Lightspeed Commerce History and analyze Lightspeed Commerce Performance. To learn how to invest in Lightspeed Stock, please use our How to Invest in Lightspeed Commerce guide.You can also try the Transaction History module to view history of all your transactions and understand their impact on performance.
Lightspeed Commerce 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.