Macroaxis considers Facebook to be not too risky. Facebook secures Sharpe Ratio (or Efficiency) of -0.0407 which denotes Facebook had -0.0407% of return per unit of standard deviation over the last 2 months. Macroaxis philosophy in 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. Facebook exposes twenty-one different technical indicators which can help you to evaluate volatility that cannot be diversified away. Please be advised to confirm Facebook Mean Deviation of 1.78 to check risk estimate we provide.
|Time Horizon||30 Days Login to change|
Facebook Market Sensitivity
|As returns on market increase, Facebook returns are expected to increase less than the market. However during bear market, the loss on holding Facebook will be expected to be smaller as well.2 Months Beta |Analyze Facebook Demand TrendCheck current 30 days Facebook correlation with market (DOW)|
β = 0.1237
Facebook Technical Analysis
Projected Return Density Against MarketAllowing for the 30-days total investment horizon, Facebook has beta of 0.1237 suggesting as returns on market go up, Facebook average returns are expected to increase less than the benchmark. However during bear market, the loss on holding Facebook will be expected to be much smaller as well. Additionally, Facebook has a negative alpha implying that the risk taken by holding this equity is not justified. The company is significantly underperforming DOW
Predicted Return Density