American Funds 2040 Fund Manager Performance Evaluation
| REGTX Fund | USD 22.02 0.10 0.46% |
The fund shows a Beta (market volatility) of 0.55, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, American Funds' returns are expected to increase less than the market. However, during the bear market, the loss of holding American Funds is expected to be smaller as well.
Risk-Adjusted Performance
9 of 100
Weak | Strong |
OK
Compared to the overall equity markets, risk-adjusted returns on investments in American Funds 2040 are ranked lower than 9 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly strong basic indicators, American Funds is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.
...more| Expense Ratio | 0.4200 |
American |
American Funds Relative Risk vs. Return Landscape
If you would invest 2,122 in American Funds 2040 on September 16, 2024 and sell it today you would earn a total of 80.00 from holding American Funds 2040 or generate 3.77% return on investment over 90 days. American Funds 2040 is currently producing 0.0582% returns and takes up 0.5072% volatility of returns over 90 trading days. Put another way, 4% of traded mutual funds are less volatile than American, and 99% of all traded equity instruments are likely to generate higher returns over the next 90 trading days. Expected Return |
| Risk |
American Funds Current Valuation
Fairly Valued
Today
Please note that American Funds' price fluctuation is very steady at this time. At this time, the entity appears to be fairly valued. American Funds 2040 shows a prevailing Real Value of $21.93 per share. The current price of the fund is $22.02. We determine the value of American Funds 2040 from analyzing fund fundamentals and technical indicators as well as its Probability Of Bankruptcy. In general, we favor acquiring undervalued mutual funds and dropping overvalued mutual funds since, at some point, mutual fund prices and their ongoing real values will blend.
Since American Funds is currently traded on the exchange, buyers and sellers on that exchange determine the market value of American Mutual Fund. However, American Funds' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 22.02 | Real 21.93 | Hype 22.02 | Naive 21.94 |
The intrinsic value of American Funds' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence American Funds' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of American Funds 2040 helps investors to forecast how American mutual fund's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of American Funds more accurately as focusing exclusively on American Funds' fundamentals will not take into account other important factors: American Funds Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for American Funds' investment risk. Standard deviation is the most common way to measure market volatility of mutual funds, such as American Funds 2040, and traders can use it to determine the average amount a American Funds' price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = 0.1148
| Best Portfolio | Best Equity | |||
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| Cash | REGTX | Average Risk | High Risk | Huge Risk |
| Negative Returns |
Estimated Market Risk
| 0.51 actual daily | 4 96% of assets are more volatile |
Expected Return
| 0.06 actual daily | 1 99% of assets have higher returns |
Risk-Adjusted Return
| 0.11 actual daily | 9 91% of assets perform better |
Based on monthly moving average American Funds is performing at about 9% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of American Funds by adding it to a well-diversified portfolio.
American Funds Fundamentals Growth
American Mutual Fund prices reflect investors' perceptions of the future prospects and financial health of American Funds, and American Funds fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on American Mutual Fund performance.
| Price To Earning | 19.18 X | ||||
| Price To Book | 2.52 X | ||||
| Price To Sales | 1.72 X | ||||
| Total Asset | 28.48 B | ||||
About American Funds Performance
Evaluating American Funds' performance through its fundamental ratios, provides valuable insights into its operational efficiency and profitability. For instance, if American Funds has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if American Funds has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements. Please also refer to our technical analysis and fundamental analysis pages.
The fund normally invests a greater portion of its assets in fixed income, equity-income and balanced funds as it approaches and passes its target date. The advisor attempts to achieve its investment objectives by investing in a mix of American Funds in different combinations and weightings. The underlying American Funds represent a variety of fund categories, including growth funds, growth-and-income funds, equity-income funds, balanced funds and fixed income funds. The fund categories represent differing investment objectives and strategies.Things to note about American Funds 2040 performance evaluation
Checking the ongoing alerts about American Funds for important developments is a great way to find new opportunities for your next move. Mutual Fund alerts and notifications screener for American Funds 2040 help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.| The fund maintains about 7.17% of its assets in cash |
- Analyzing American Funds' financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
- Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether American Funds' stock is overvalued or undervalued compared to its peers.
- Examining American Funds' industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
- Evaluating American Funds' management team can have a significant impact on its success or failure. Reviewing the track record and experience of American Funds' management team can help you assess the Mutual Fund's leadership.
- Pay attention to analyst opinions and ratings of American Funds' mutual fund. These opinions can provide insight into American Funds' potential for growth and whether the stock is currently undervalued or overvalued.
Other Information on Investing in American Mutual Fund
American Funds financial ratios help investors to determine whether American Mutual Fund is cheap or expensive when compared to a particular measure, such as profits or enterprise value. In other words, they help investors to determine the cost of investment in American with respect to the benefits of owning American Funds security.
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