Macroaxis considers Best Buy not too risky given 1 month investment horizon. Best Buy Co secures Sharpe Ratio (or Efficiency) of 0.3394 which signifies that Best Buy Co had 0.3394% of return per unit of risk over the last 1 month. Our philosophy towards foreseeing volatility of a stock is to use all available market data together with company specific technical indicators that cannot be diversified away. By analyzing Best Buy Co technical indicators you can presently evaluate if the expected return of 0.5391% is justified by implied risk. Please makes use of Best Buy Co Risk Adjusted Performance of 0.1983 and Mean Deviation of 1.07 to double-check if our risk estimates are consistent with your expectations.
|Investment Horizon||30 Days Login to change|
Best Buy Market Sensitivity
|As returns on market increase, Best Buy returns are expected to increase less than the market. However during bear market, the loss on holding Best Buy will be expected to be smaller as well.One Month Beta |Analyze Best Buy Co Demand TrendCheck current 30 days Best Buy correlation with market (DOW)|
β = 0.3063
Best Buy Co Technical Analysis
Projected Return Density Against MarketConsidering 30-days investment horizon, Best Buy has beta of 0.3063 . This suggests as returns on market go up, Best Buy average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Best Buy Co Inc will be expected to be much smaller as well. Moreover, Best Buy Co Inc has an alpha of 0.5377 implying that it can potentially generate 0.5377% excess return over DOW after adjusting for the inherited market risk (beta).
Considering 30-days investment horizon, the coefficient of variation of Best Buy is 294.64. The daily returns are destributed with a variance of 2.52 and standard deviation of 1.59. The mean deviation of Best Buy Co Inc is currently at 1.11. For similar time horizon, the selected benchmark (DOW) has volatility of 0.5