Nvidia Stock Alpha and Beta Analysis
| NVDA Stock | USD 141.95 4.72 3.22% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as NVIDIA. It also helps investors analyze the systematic and unsystematic risks associated with investing in NVIDIA over a specified time horizon. Remember, high NVIDIA'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 NVIDIA's market risk premium analysis include:
Beta 1.37 | Alpha 0.0751 | Risk 2.88 | Sharpe Ratio 0.0762 | Expected Return 0.22 |
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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.
NVIDIA |
NVIDIA Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. NVIDIA market risk premium is the additional return an investor will receive from holding NVIDIA 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 NVIDIA. 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 NVIDIA's performance over market.| α | 0.08 | β | 1.37 |
NVIDIA 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 NVIDIA's Buy-and-hold return. Our buy-and-hold chart shows how NVIDIA performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.NVIDIA Market Price Analysis
Market price analysis indicators help investors to evaluate how NVIDIA stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading NVIDIA shares will generate the highest return on investment. By understating and applying NVIDIA stock market price indicators, traders can identify NVIDIA position entry and exit signals to maximize returns.
NVIDIA Return and Market Media
The median price of NVIDIA for the period between Mon, Aug 26, 2024 and Sun, Nov 24, 2024 is 132.65 with a coefficient of variation of 9.88. The daily time series for the period is distributed with a sample standard deviation of 12.81, arithmetic mean of 129.77, and mean deviation of 11.21. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | Disposition of 18437 shares by Huang Jen Hsun of NVIDIA at 120.2905 subject to Rule 16b-3 | 09/12/2024 |
2 | How much will Nvidia pay out in dividends this year | 10/02/2024 |
| NVIDIA dividend paid on 3rd of October 2024 | 10/03/2024 |
3 | Teva Pharmaceutical Industries Limited A Bull Case Theory | 10/22/2024 |
4 | Eli Lilly Posts a Huge Earnings Miss. Should Investors Be Worried | 11/06/2024 |
5 | Lenovo Goes All-In On Hybrid AIEven SoftwareAt Lenovo Tech World | 11/08/2024 |
6 | Should You Buy Nvidia Stock Before Nov. 20 Heres What History Suggests | 11/11/2024 |
7 | Analysis of T. Rowe Price Investment Managements Recent Transaction in Veralto Corp | 11/14/2024 |
8 | Google and Nvidia Team Up on Quantum Computer Development | 11/18/2024 |
9 | Fabrinet Stock Declines Amid Nvidia-Related Concerns | 11/21/2024 |
About NVIDIA 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 NVIDIA or other stocks. Alpha measures the amount that position in NVIDIA 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.
| 2015 | 2020 | 2024 (projected) | Dividend Yield | 0.002664 | 2.56E-4 | 0.001209 | Price To Sales Ratio | 13.41 | 25.32 | 19.6 |
NVIDIA Upcoming Company Events
As portrayed in its financial statements, the presentation of NVIDIA's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, NVIDIA's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of NVIDIA's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of NVIDIA. Please utilize our Beneish M Score to check the likelihood of NVIDIA's management manipulating its earnings.
| 21st of February 2024 Upcoming Quarterly Report | View | |
| 22nd of May 2024 Next Financial Report | View | |
| 31st of January 2024 Next Fiscal Quarter End | View | |
| 21st of February 2024 Next Fiscal Year End | View | |
| 31st of October 2023 Last Quarter Report | View | |
| 31st of January 2023 Last Financial Announcement | View |
Build Portfolio with NVIDIA
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 NVIDIA Backtesting, NVIDIA Valuation, NVIDIA Correlation, NVIDIA Hype Analysis, NVIDIA Volatility, NVIDIA History and analyze NVIDIA Performance. For information on how to trade NVIDIA Stock refer to our How to Trade NVIDIA Stock guide.You can also try the Portfolio Optimization module to compute new portfolio that will generate highest expected return given your specified tolerance for risk.
NVIDIA 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.