IDFC Alpha and Beta Analysis

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IDFC -- India Stock  

INR 13.50  0.05  0.37%

This module allows you to check different measures of market premium (i.e. an alpha and beta) for all equities including IDFC LIMITED, as well as systematic risk associated with investing in IDFC over a specified time horizon. Please see Risk vs Return Analysis.

Search Beta

Please note that although IDFC alpha is a measure of relative return and represented here as a single number, it actually indicates the percentage above or below your selected benchmark (i.e., DOW index.) So in this particular case, IDFC did 1.44  worse than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of IDFC LIMITED relative risk over its benchmark. IDFC LIMITED has beta of 0.0047  . As returns on market increase, IDFC returns are expected to increase less than the market. However, during bear market, the loss on holding IDFC will be expected to be smaller as well. Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility againt benchmark. The goal is to know if an investor is being compensated for the volatility risk taken.The return on investment might be better than a benchmark but still not compensate for the assumption of the volatility risk.

IDFC Market Premiums

α-1.44   β0.0047
30 days against DJI

IDFC Fundamentals

 Better Than Average     
 Worse Than Average Compare IDFC to competition

IDFC Fundamental Vs Peers

FundamentalsIDFCPeer Average
Return On Equity(3.79) (0.31) 
Return On Asset(0.76) (0.14) 
Profit Margin(290.64) (1.27) 
Operating Margin24.98 (5.51) 
Current Valuation15.3 B16.62 B
Shares Outstanding1.6 B571.82 M
Shares Owned by Insiders23.80 10.09 

IDFC Opportunities

IDFC Return and Market Media

The median price of IDFC for the period between Fri, Feb 28, 2020 and Thu, May 28, 2020 is 16.2 with a coefficient of variation of 42.91. The daily time series for the period is distributed with a sample standard deviation of 9.79, arithmetic mean of 22.81, and mean deviation of 9.24. The Stock did not receive any noticable media coverage during the period.
 Price Growth (%)  

About IDFC Beta and Alpha

For many years both, Alpha and Beta indicators are used by professional money managers as critical performance measurement tools across virtually all equity instruments such as Ford or other stocks, funds, and ETFs. Alpha measures the amount that position in IDFC LIMITED has returned in comparison to a selected market index or another relevant benchmark. In other words, Alpha is the excess return on an investment relative to the performance of your selected benchmark. Beta, on the other hand, measures the relative risk of your investment.

Macroaxis is not a registered investment advisor or broker/dealer. All investments, including stocks, funds, ETFs, or cryptocurrencies, are speculative and involve substantial risk of loss. We encourage our investors to invest carefully. Much of our information is derived directly from data published by companies or submitted to governmental agencies which we believe are reliable, but are without our independent verification. Therefore, we cannot assure you that the information is accurate or complete. We do not in any way warrant or guarantee the success of any action you take in reliance on our statements or recommendations. Also, note that past performance is not necessarily indicative of future results. All investments carry risk, and all investment decisions of an individual remain the responsibility of that individual. There is no guarantee that systems, indicators, or signals will result in profits or that they will not result in losses. All investors are advised to fully understand all risks associated with any investing they choose to do. Hypothetical or simulated performance is not indicative of future results. We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown because hypothetical or simulated performance is not necessarily indicative of future results. For more information please visit our terms and condition page