Macroaxis considers Alphabet not too risky given 1 month investment horizon. Alphabet Inc secures Sharpe Ratio (or Efficiency) of 0.6686 which signifies that Alphabet Inc had 0.6686% 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 Alphabet Inc technical indicators you can presently evaluate if the expected return of 0.5169% is justified by implied risk. Please makes use of Alphabet Inc Coefficient Of Variation of 224.09, Risk Adjusted Performance of 0.2017 and Mean Deviation of 0.6565 to double-check if our risk estimates are consistent with your expectations.
|Time Horizon||30 Days Login to change|
Alphabet Market Sensitivity
|As returns on market increase, Alphabet returns are expected to increase less than the market. However during bear market, the loss on holding Alphabet will be expected to be smaller as well.One Month Beta |Analyze Alphabet Inc Demand TrendCheck current 30 days Alphabet correlation with market (DOW)|
β = 0.084
Alphabet Inc Technical Analysis
Projected Return Density Against MarketGiven the investment horizon of 30 days, Alphabet has beta of 0.084 . This indicates as returns on market go up, Alphabet average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Alphabet Inc will be expected to be much smaller as well. Moreover, Alphabet Inc has an alpha of 0.3228 implying that it can potentially generate 0.3228% excess return over DOW after adjusting for the inherited market risk (beta).
Given the investment horizon of 30 days, the coefficient of variation of Alphabet is 149.56. The daily returns are destributed with a variance of 0.6 and standard deviation of 0.77. The mean deviation of Alphabet Inc is currently at 0.66. For similar time horizon, the selected benchmark (DOW) has volatility of 0.44