Pacific State Bancorp Alpha and Beta Analysis

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Pacific State Bancorp. It also helps investors analyze the systematic and unsystematic risks associated with investing in Pacific State over a specified time horizon. Remember, high Pacific State'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 Pacific State's market risk premium analysis include:
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Alpha
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Risk
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Sharpe Ratio
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Expected Return
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Please note that although Pacific State 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, Pacific State did 0.00  better 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 Pacific State Bancorp stock's relative risk over its benchmark. Pacific State Bancorp has a beta of 0.00  . The returns on DOW JONES INDUSTRIAL and Pacific State are completely uncorrelated. .
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 Your Equity Center to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of labor statistics.

Pacific State Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Pacific State market risk premium is the additional return an investor will receive from holding Pacific State 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 Pacific State. 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 Pacific State's performance over market.
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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 Pacific State 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, Pacific State's short interest history, or implied volatility extrapolated from Pacific State options trading.

Build Portfolio with Pacific State

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Check out Your Equity Center to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of labor statistics.
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Other Consideration for investing in Pacific Pink Sheet

If you are still planning to invest in Pacific State Bancorp check if it may still be traded through OTC markets such as Pink Sheets or OTC Bulletin Board. You may also purchase it directly from the company, but this is not always possible and may require contacting the company directly. Please note that delisted stocks are often considered to be more risky investments, as they are no longer subject to the same regulatory and reporting requirements as listed stocks. Therefore, it is essential to carefully research the Pacific State's history and understand the potential risks before investing.
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