Tata Steel (UK) Alpha and Beta Analysis
| TTST Stock | USD 17.00 0.40 2.41% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Tata Steel Limited. It also helps investors analyze the systematic and unsystematic risks associated with investing in Tata Steel over a specified time horizon. Remember, high Tata Steel'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 Tata Steel's market risk premium analysis include:
Beta 0.0182 | Alpha (0.10) | Risk 2 | Sharpe Ratio (0.06) | Expected Return (0.13) |
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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.
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Tata Steel Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Tata Steel market risk premium is the additional return an investor will receive from holding Tata Steel 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 Tata Steel. 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 Tata Steel's performance over market.| α | -0.1 | β | 0.02 |
Tata Steel 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 Tata Steel's Buy-and-hold return. Our buy-and-hold chart shows how Tata Steel performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Tata Steel Market Price Analysis
Market price analysis indicators help investors to evaluate how Tata Steel stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Tata Steel shares will generate the highest return on investment. By understating and applying Tata Steel stock market price indicators, traders can identify Tata Steel position entry and exit signals to maximize returns.
Tata Steel Return and Market Media
The median price of Tata Steel for the period between Wed, Aug 28, 2024 and Tue, Nov 26, 2024 is 17.95 with a coefficient of variation of 5.42. The daily time series for the period is distributed with a sample standard deviation of 0.98, arithmetic mean of 18.03, and mean deviation of 0.75. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | Tata Steel Shares Rise On News UK May Give 500-Million Pound Grant - NDTV Profit | 09/10/2024 |
2 | Tata Steel share are up by 2.48, Nifty up by 0.81 percent - Mint | 09/25/2024 |
3 | Tata Steel Stocks, Tata Steel Share Price Updates 03 Oct 2024 Tata Steel shares end flat on Thursday - BusinessLine | 10/02/2024 |
4 | Tata Steel Q2 earnings beat estimates, can the stock reach fresh highs - Business Today | 11/08/2024 |
5 | Tata Steel shares lose steam in short term Price targets, technicals, outlook and more - MSN | 11/22/2024 |
About Tata Steel 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 Tata or other stocks. Alpha measures the amount that position in Tata Steel Limited 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.
| 2022 | 2023 | 2024 (projected) | Dividend Yield | 0.0493 | 0.0221 | 0.019 | Price To Sales Ratio | 0.53 | 0.87 | 0.79 |
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 Tata Steel 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, Tata Steel's short interest history, or implied volatility extrapolated from Tata Steel options trading.
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Other Information on Investing in Tata Stock
Tata Steel financial ratios help investors to determine whether Tata 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 Tata with respect to the benefits of owning Tata Steel security.