Projected Return Density against Market
Given investment horizon of 30 days, Amedisys has beta of 0.55 . This suggests as returns on market go up, Amedisys avarage returns are expected to increase less than the benchmark. However during bear market, the loss on holding Amedisys Inc will be expected to be much smaller as well. Moreover, Amedisys Inc has alpha of 0.55 implying that it can potentially generate 0.55% excess return over S&P 500 after adjusting for the inherited market risk (beta).
Predicted Return Density
Given investment horizon of 30 days, the coefficient of variation of Amedisys is 620.79. The daily returns are destributed with a variance of 6.49 and standard deviation of 2.55. The mean deviation of Amedisys Inc is currently at 1.64. For similar time horizon, the selected benchmark (S&P 500) has volatility of 0.55
Actual Return Volatility
Amedisys Inc inherits 2.55% risk (volatility on return distribution) over the 30 days horizon. S&P 500 shows 0.55% volatility of returns over 30 trading days.