Hermes International (France) Alpha and Beta Analysis
| RMS Stock | EUR 2,020 33.00 1.66% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Hermes International SCA. It also helps investors analyze the systematic and unsystematic risks associated with investing in Hermes International over a specified time horizon. Remember, high Hermes International'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 Hermes International's market risk premium analysis include:
Beta 0.58 | Alpha (0.18) | Risk 2.08 | Sharpe Ratio (0.03) | Expected Return (0.06) |
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.
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Hermes International Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Hermes International market risk premium is the additional return an investor will receive from holding Hermes International 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 Hermes International. 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 Hermes International's performance over market.| α | -0.18 | β | 0.58 |
Hermes International 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 Hermes International's Buy-and-hold return. Our buy-and-hold chart shows how Hermes International performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Hermes International Market Price Analysis
Market price analysis indicators help investors to evaluate how Hermes International stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Hermes International shares will generate the highest return on investment. By understating and applying Hermes International stock market price indicators, traders can identify Hermes International position entry and exit signals to maximize returns.
Hermes International Return and Market Media
The median price of Hermes International for the period between Tue, Aug 27, 2024 and Mon, Nov 25, 2024 is 2079.0 with a coefficient of variation of 4.43. The daily time series for the period is distributed with a sample standard deviation of 91.35, arithmetic mean of 2063.61, and mean deviation of 74.75. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Hermes International 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 Hermes or other stocks. Alpha measures the amount that position in Hermes International SCA 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 Hermes International 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, Hermes International's short interest history, or implied volatility extrapolated from Hermes International options trading.
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Other Information on Investing in Hermes Stock
Hermes International financial ratios help investors to determine whether Hermes 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 Hermes with respect to the benefits of owning Hermes International security.