Macroaxis considers DigitalTown to be abnormally risky. DigitalTown Inc secures Sharpe Ratio (or Efficiency) of -0.0376 which denotes DigitalTown Inc had -0.0376% of return per unit of risk over the last 1 month. Macroaxis philosophy towards predicting risk of any stock is to look at both systematic and un-systematic factors of the business, including all available market data and technical indicators. DigitalTown Inc exposes twenty-one different technical indicators which can help you to evaluate volatility that cannot be diversified away. Please be advised to confirm DigitalTown Inc Coefficient Of Variation of
(2,606) and Mean Deviation of 4.35 to check risk estimate we provide.
|Investment Horizon||30 Days Login to change|
DigitalTown Market Sensitivity
|As returns on market increase, returns on owning DigitalTown are expected to decrease by larger amounts. On the other hand, during market turmoil, DigitalTown is expected to significantly outperform it.One Month Beta |Analyze DigitalTown Inc Demand TrendCheck current 30 days DigitalTown correlation with market (DOW)|
β = -7.8677
Projected Return Density Against MarketGiven the investment horizon of 30 days, DigitalTown Inc has beta of -7.8677 suggesting as returns on its benchmark rise, returns on holding DigitalTown Inc are expected to decrease by similarly larger amounts. On the other hand, during market turmoils, DigitalTown is expected to outperform its benchmark. In addition to that, DigitalTown Inc has an alpha of 1.1362 implying that it can potentially generate 1.1362% excess return over DOW after adjusting for the inherited market risk (beta).
Given the investment horizon of 30 days, the coefficient of variation of DigitalTown is -2661.46. The daily returns are destributed with a variance of 57.21 and standard deviation of 7.56. The mean deviation of DigitalTown Inc is currently at 4.17. For similar time horizon, the selected benchmark (DOW) has volatility of 0.27