PureTech Health (UK) Alpha and Beta Analysis
| PRTC Stock | 169.40 3.80 2.29% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as PureTech Health plc. It also helps investors analyze the systematic and unsystematic risks associated with investing in PureTech Health over a specified time horizon. Remember, high PureTech Health'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 PureTech Health's market risk premium analysis include:
Beta 0.42 | Alpha (0.04) | Risk 2.2 | Sharpe Ratio 0.0381 | Expected Return 0.0838 |
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.
PureTech |
PureTech Health Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. PureTech Health market risk premium is the additional return an investor will receive from holding PureTech Health 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 PureTech Health. 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 PureTech Health's performance over market.| α | -0.04 | β | 0.42 |
PureTech Health 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 PureTech Health's Buy-and-hold return. Our buy-and-hold chart shows how PureTech Health performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.PureTech Health Market Price Analysis
Market price analysis indicators help investors to evaluate how PureTech Health stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading PureTech Health shares will generate the highest return on investment. By understating and applying PureTech Health stock market price indicators, traders can identify PureTech Health position entry and exit signals to maximize returns.
PureTech Health Return and Market Media
The median price of PureTech Health for the period between Fri, Aug 30, 2024 and Thu, Nov 28, 2024 is 154.2 with a coefficient of variation of 5.62. The daily time series for the period is distributed with a sample standard deviation of 8.71, arithmetic mean of 154.97, and mean deviation of 6.99. The Stock received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | PureTech Health Share Price Crosses Below 50 Day Moving Average of 162.62 - MarketBeat | 09/25/2024 |
2 | PureTech Health Hits New 12-Month Low at 138.75 - MarketBeat | 10/02/2024 |
3 | On The My Stocks Page - Stock Traders Daily | 11/18/2024 |
About PureTech Health 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 PureTech or other stocks. Alpha measures the amount that position in PureTech Health 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 PureTech Health 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, PureTech Health's short interest history, or implied volatility extrapolated from PureTech Health options trading.
Build Portfolio with PureTech Health
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Additional Tools for PureTech Stock Analysis
When running PureTech Health's price analysis, check to measure PureTech Health's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy PureTech Health is operating at the current time. Most of PureTech Health's value examination focuses on studying past and present price action to predict the probability of PureTech Health's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move PureTech Health's price. Additionally, you may evaluate how the addition of PureTech Health to your portfolios can decrease your overall portfolio volatility.