Lucara Diamond Corp Stock Alpha and Beta Analysis

LUC Stock  CAD 0.30  0.01  3.23%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Lucara Diamond Corp. It also helps investors analyze the systematic and unsystematic risks associated with investing in Lucara Diamond over a specified time horizon. Remember, high Lucara Diamond'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 Lucara Diamond's market risk premium analysis include:
Beta
0.18
Alpha
(0.38)
Risk
3.52
Sharpe Ratio
(0.09)
Expected Return
(0.31)
Please note that although Lucara Diamond 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., NYSE Composite index.) So in this particular case, Lucara Diamond did 0.38  worse 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 Lucara Diamond Corp stock's relative risk over its benchmark. Lucara Diamond Corp has a beta of 0.18  . As returns on the market increase, Lucara Diamond's returns are expected to increase less than the market. However, during the bear market, the loss of holding Lucara Diamond is expected to be smaller as well. At this time, Lucara Diamond's Enterprise Value Over EBITDA is very stable compared to the past year. As of the 18th of April 2024, Enterprise Value Multiple is likely to grow to 4.92, while Book Value Per Share is likely to drop 0.42.

Lucara Diamond Quarterly Cash And Equivalents

16.84 Million

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 Lucara Diamond Backtesting, Lucara Diamond Valuation, Lucara Diamond Correlation, Lucara Diamond Hype Analysis, Lucara Diamond Volatility, Lucara Diamond History and analyze Lucara Diamond Performance.

Lucara Diamond Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Lucara Diamond market risk premium is the additional return an investor will receive from holding Lucara Diamond 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 Lucara Diamond. 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 Lucara Diamond's performance over market.
α-0.38   β0.18

Lucara Diamond 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 Lucara Diamond's Buy-and-hold return. Our buy-and-hold chart shows how Lucara Diamond performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

Lucara Diamond Market Price Analysis

Market price analysis indicators help investors to evaluate how Lucara Diamond stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Lucara Diamond shares will generate the highest return on investment. By understating and applying Lucara Diamond stock market price indicators, traders can identify Lucara Diamond position entry and exit signals to maximize returns.

Lucara Diamond Return and Market Media

The median price of Lucara Diamond for the period between Fri, Jan 19, 2024 and Thu, Apr 18, 2024 is 0.36 with a coefficient of variation of 9.57. The daily time series for the period is distributed with a sample standard deviation of 0.03, arithmetic mean of 0.36, and mean deviation of 0.03. The Stock received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  
1
Lucara Diamond Stock Price Crosses Below 200-Day Moving Average of 0. - AmericanBankingNEWS
02/13/2024
2
LUCARA 2023 YEAR END RESULTS TO BE RELEASED TUESDAY, FEBRUARY 20, 2024 - Barchart
02/21/2024
3
Closing Bell Lucara Diamond Corp down on Monday - Barchart
03/06/2024
4
Lucara Diamond Shares and Voting Rights Update - TipRanks.com - TipRanks
03/28/2024
5
Lucara Diamond Shares Pass Below 200 Day Moving Average of 0.27 - Defense World
04/12/2024

About Lucara Diamond 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 Lucara or other stocks. Alpha measures the amount that position in Lucara Diamond Corp 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.
 2023 2024 (projected)
Dividend Yield0.07760.0562
Price To Sales Ratio0.740.71
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 Lucara Diamond 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, Lucara Diamond's short interest history, or implied volatility extrapolated from Lucara Diamond options trading.

Build Portfolio with Lucara Diamond

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

Fix your portfolio
By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations
Check out Lucara Diamond Backtesting, Lucara Diamond Valuation, Lucara Diamond Correlation, Lucara Diamond Hype Analysis, Lucara Diamond Volatility, Lucara Diamond History and analyze Lucara Diamond Performance.
Note that the Lucara Diamond Corp information on this page should be used as a complementary analysis to other Lucara Diamond's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Portfolio Dashboard module to portfolio dashboard that provides centralized access to all your investments.

Complementary Tools for Lucara Stock analysis

When running Lucara Diamond's price analysis, check to measure Lucara Diamond'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 Lucara Diamond is operating at the current time. Most of Lucara Diamond's value examination focuses on studying past and present price action to predict the probability of Lucara Diamond's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Lucara Diamond's price. Additionally, you may evaluate how the addition of Lucara Diamond to your portfolios can decrease your overall portfolio volatility.
Pattern Recognition
Use different Pattern Recognition models to time the market across multiple global exchanges
Pair Correlation
Compare performance and examine fundamental relationship between any two equity instruments
Transaction History
View history of all your transactions and understand their impact on performance
Stock Screener
Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook.
Bonds Directory
Find actively traded corporate debentures issued by US companies
AI Investment Finder
Use AI to screen and filter profitable investment opportunities
Aroon Oscillator
Analyze current equity momentum using Aroon Oscillator and other momentum ratios
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Stocks Directory
Find actively traded stocks across global markets
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Analyst Advice
Analyst recommendations and target price estimates broken down by several categories
Lucara Diamond 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.
A focus of Lucara Diamond technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Lucara Diamond trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...