Baidu risk analysis

Use Baidu Inc risk analysis together with your stock portfolios to enhance returns of your portfolios and to determine Stock optimization strategy that fits your criteria.  Suggest Portfolio

Projected Return Density against Market

Given investment horizon of 30 days, the stock has beta cooficient of 1.52 . This suggests as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are expected to be negative, Baidu will likely underperform. In addition to that, Baidu Inc has alpha of 1.52 implying that it can potentially generate 1.52% excess return over S&P 500 after adjusting for the inherited market risk (beta).Given investment horizon of 30 days, the coefficient of variation of Baidu is 1215.97. The daily returns are destributed with a variance of 8.44 and standard deviation of 2.9. The mean deviation of Baidu Inc is currently at 2.04. For similar time horizon, the selected benchmark (S&P 500) has volatility of 0.58

	(alpha)	=	1.52	Details
	(beta)	=	1.52	Details
	(volatility)	=	2.90	Details

Actual Return Volatility

Baidu Inc inherits 2.9% risk (volatility on return distribution) over the 30 days horizon. S&P 500 shows 0.57% volatility of returns over 30 trading days.