ResMed Risk Analysis

ResMed Inc -- USA Stock  

USD 87.81  0.87  0.98%

Macroaxis considers ResMed not too risky given 1 month investment horizon. ResMed Inc maintains Sharpe Ratio (i.e. Efficiency) of 0.2611 which implies ResMed Inc had 0.2611% of return per unit of risk over the last 1 month. Our philosophy towards forecasting volatility of a stock is to use all available market data together with company specific technical indicators that cannot be diversified away. We have found twenty-eight technical indicators for ResMed Inc which you can use to evaluate future volatility of the company. Please employ ResMed Inc Coefficient Of Variation of 470.24, Semi Deviation of 0.5614 and Risk Adjusted Performance of 0.0981 to confirm if our risk estimates are consistent with your expectations.
 Time Horizon     30 Days    Login   to change

ResMed Market Sensitivity

ResMed returns are very sensitive to returns on the market. As market goes up or down, ResMed is expected to follow.
One Month Beta |Analyze ResMed Inc Demand Trend
Check current 30 days ResMed correlation with market (DOW)
β = 0.9676
ResMed llmost one BetaResMed Inc Beta Legend

ResMed Inc Technical Analysis

Transformation
The output start index for this execution was zero with a total number of output elements of seventeen. ResMed Inc Average Price is the average of the sum of open, high, low and close daily prices of a bar. It can be used to smooth an indicator that normally takes just the closing price as input. View also all equity analysis or get more info about average price price transform indicator.

Projected Return Density Against Market

Considering 30-days investment horizon, ResMed has beta of 0.9676 . This implies ResMed Inc market returns are very sensitive to returns on the market. As the market benchmark goes up or down, ResMed is expected to follow. Additionally, ResMed Inc 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 
      Returns 
Considering 30-days investment horizon, the coefficient of variation of ResMed is 383.03. The daily returns are destributed with a variance of 0.59 and standard deviation of 0.77. The mean deviation of ResMed Inc is currently at 0.55. For similar time horizon, the selected benchmark (DOW) has volatility of 0.44
α
Alpha over DOW
=0.06
β
Beta against DOW=0.97
σ
Overall volatility
=0.77
Ir
Information ratio =0.1

Actual Return Volatility

ResMed Inc has volatility of 0.7661% on return distribution over 30 days investment horizon. DOW inherits 0.4629% risk (volatility on return distribution) over the 30 days horizon.
 Performance (%) 
      Timeline 

Market Risk Breakdown

ResMed Volatility Factors

30 Days Market Risk

Not too risky

Chance of Distress in 24 months

30 Days Economic Sensitivity

Almost mirrors market

Total Debt

ResMed Inc Total Debt History

Total Debt

Largest Trends

ResMed Largest Period Trend

Investment Outlook

ResMed Investment Opportunity
ResMed Inc has a volatility of 0.77 and is 1.67 times more volatile than DOW. 7% of all equities and portfolios are less risky than ResMed. Compared to the overall equity markets, volatility of historical daily returns of ResMed Inc is lower than 7 (%) of all global equities and portfolios over the last 30 days. Use ResMed Inc to protect against small markets fluctuations. The stock experiences moderate downward daily trend and can be a good diversifier. Check odds of ResMed to be traded at $86.05 in 30 days. ResMed returns are very sensitive to returns on the market. As market goes up or down, ResMed is expected to follow.

ResMed correlation with market

Very weak diversification
Overlapping area represents the amount of risk that can be diversified away by holding ResMed Inc and equity matching DJI index in the same portfolio.