Macroaxis considers Edwards Lifesciences not too risky given 1 month investment horizon. Edwards Lifesciences secures Sharpe Ratio (or Efficiency) of 0.4157 which denotes Edwards Lifesciences had 0.4157% of return per unit of risk over the last 1 month. Our philosophy towards predicting volatility of a stock is to use all available market data together with company specific technical indicators that cannot be diversified away. By reviewing Edwards Lifesciences technical indicators you can presently evaluate if the expected return of 0.6158% is justified by implied risk. Please utilize Edwards Lifesciences Coefficient Of Variation of 269.49, Mean Deviation of 1.09 and Downside Deviation of 0.9584 to check if our risk estimates are consistent with your expectations.
|Investment Horizon||30 Days Login to change|
Edwards Lifesciences Market Sensitivity
|As market goes up, the company is expected to significantly outperform it. However, if the market returns are negative, Edwards Lifesciences will likely underperform.One Month Beta |Analyze Edwards Lifesciences Demand TrendCheck current 30 days Edwards Lifesciences correlation with market (DOW)|
β = 1.6098
Edwards Lifesciences Technical Analysis
Projected Return Density Against MarketAllowing for the 30-days total investment horizon, the stock has beta coefficient of 1.6098 suggesting as the benchmark fluctuates upward, the company is expected to outperform it on average. However, if the benchmark returns are expected to be negative, Edwards Lifesciences will likely underperform. Moreover, Edwards Lifesciences Corporation has an alpha of 0.3023 implying that it can potentially generate 0.3023% excess return over DOW after adjusting for the inherited market risk (beta).
Allowing for the 30-days total investment horizon, the coefficient of variation of Edwards Lifesciences is 240.56. The daily returns are destributed with a variance of 2.19 and standard deviation of 1.48. The mean deviation of Edwards Lifesciences Corporation is currently at 1.13. For similar time horizon, the selected benchmark (DOW) has volatility of 0.51