Macroaxis considers WebMD not too volatile. WebMD Health
shows Sharpe Ratio of -0.05 which attests that WebMD Health
had -0.05% of return per unit of risk over the last 1 month. Macroaxis philosophy towards determining 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
. WebMD Health exposes twenty-eight different technical indicators
which can help you to evaluate volatility that cannot be diversified away. Please be advised to check out WebMD Health Market Risk Adjusted Performance
of (0.07), Mean Deviation of 1.28 and Downside Deviation of 1.61 to validate risk estimate we provide.
Projected Return Density against Market
Given investment horizon of 30 days, the stock has beta coefficient of 1.12 . This means WebMD Health Corp market returns are very sensitive to returns on the market. As the market benchmark goes up or down, WebMD is expected to follow. Additionally, WebMD Health Corp has negative alpha implying that risk taken by holding this equity is not justified. The company is significantly underperforming NYSE
Predicted Return Density
Given investment horizon of 30 days, the coefficient of variation of WebMD is -2137.97. The daily returns are destributed with a variance of 3.07 and standard deviation of 1.75. The mean deviation of WebMD Health Corp is currently at 1.28. For similar time horizon, the selected benchmark (NYSE) has volatility of 0.63
Actual Return Volatility
WebMD Health Corp inherits 1.75% risk (volatility on return distribution) over the 30 days horizon. NYSE inherits 0.63% risk (volatility on return distribution) over the 30 days horizon.