Encore Stock Alpha and Beta Analysis

WIRE
 Stock
  

USD 139.73  0.96  0.69%   

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Encore Wire. It also helps investors analyze the systematic and unsystematic risks associated with investing in Encore Wire over a specified time horizon. Remember, high Encore Wire's alpha is almost always a sign of good performance; however, a high beta will depend on investors' risk tolerance level and may signal increased volatility and potential future overvaluation.
Check out Encore Wire Backtesting, Encore Wire Valuation, Encore Wire Correlation, Encore Wire Hype Analysis, Encore Wire Volatility, Encore Wire History and analyze Encore Wire Performance.
  
Please note that although Encore Wire alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., NYSE Composite index.) So in this particular case, Encore Wire did 0.047914  better 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 Encore Wire stock's relative risk over its benchmark. Encore Wire has a beta of 1.17  . Let's try to break down what Encore's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Encore Wire will likely underperform.
The current year Price to Book Value is expected to grow to 1.88, whereas Book Value per Share is forecasted to decline to 19.68.
Alpha is a measure of relative performance on a risk-adjusted basis, while beta measures volatility against the 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 its reference but still not compensate for the assumption of the risk.

Enterprise Value

614.62 Million

Encore Wire Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Encore Wire market risk premium is the additional return an investor will receive from holding Encore Wire long position in a well-diversified portfolio. The market premium is part of the Capital Asset Pricing Model (CAPM), which most analysts and investors use to calculate the acceptable rate of return on investment in Encore Wire. At the center of the CAPM is the concept of risk and reward, which is usually communicated by investors using alpha and beta measures. Alpha and beta are two of the key measurements used to evaluate Encore Wire's performance over market.
α0.047914   β1.17
90 days against NYA

Encore Wire expected buy-and-hold returns

Although buy-and-hold investment strategy may not appeal to all investors, it may be used as a good measure of Encore Wire's Buy-and-hold return. Our buy-and-hold chart shows how Encore Wire performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

Encore Wire Market Price Analysis

Market price analysis indicators help investors to evaluate how Encore Wire stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Encore Wire shares will generate the highest return on investment. By understating and applying Encore Wire stock market price indicators, traders can identify Encore Wire position entry and exit signals to maximize returns.

Encore Wire Return and Market Media

The median price of Encore Wire for the period between Wed, Sep 7, 2022 and Tue, Dec 6, 2022 is 131.19 with a coefficient of variation of 8.87. The daily time series for the period is distributed with a sample standard deviation of 11.7, arithmetic mean of 131.91, and mean deviation of 10.16. The Stock received some media coverage during the period.
 Price Growth (%)  
       Timeline  
1
EPS Estimate09/30/2022
2
Encore Wire Corporation Still Extremely Undervalued - Seekin...10/04/2022
3
EPS Reported10/25/2022

About Encore Wire 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 financial instruments including Encore or other stocks. Alpha measures the amount that position in Encore Wire 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.
 2010 2011 2021 2022 (projected)
Long Term Debt to Equity0.280.260.30.29
Interest Coverage77.24919.01827.11892.41

Encore Wire Upcoming Company Events

As portrayed in its financial statements, the presentation of Encore Wire's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Encore Wire's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Encore Wire's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Encore Wire. Please utilize our Beneish M Score to check the likelihood of Encore Wire's management manipulating its earnings.
Upcoming Quarterly Report15th of February 2022
Next Financial Report25th of April 2022
Next Fiscal Quarter End31st of December 2021
Next Fiscal Year End15th of February 2022
Last Quarter Report30th of September 2021
Last Financial Announcement31st of December 2020

Build Portfolio with Encore Wire

Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.

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By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations
Check out Encore Wire Backtesting, Encore Wire Valuation, Encore Wire Correlation, Encore Wire Hype Analysis, Encore Wire Volatility, Encore Wire History and analyze Encore Wire Performance. You can also try Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.

Complementary Tools for analysis

When running Encore Wire price analysis, check to measure Encore Wire's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Encore Wire is operating at the current time. Most of Encore Wire's value examination focuses on studying past and present price action to predict the probability of Encore Wire's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Encore Wire's price. Additionally, you may evaluate how the addition of Encore Wire to your portfolios can decrease your overall portfolio volatility.
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Encore Wire technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.
A focus of Encore Wire technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Encore Wire trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...