Loongson Technology (China) Alpha and Beta Analysis
| 688047 Stock | 137.86 1.86 1.37% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Loongson Technology Corp. It also helps investors analyze the systematic and unsystematic risks associated with investing in Loongson Technology over a specified time horizon. Remember, high Loongson Technology'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. Key technical indicators related to Loongson Technology's market risk premium analysis include:
Beta (0.58) | Alpha (0.23) | Risk 2.88 | Sharpe Ratio 0.0033 | Expected Return 0.0094 |
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.
Loongson |
Loongson Technology Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Loongson Technology market risk premium is the additional return an investor will receive from holding Loongson Technology 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 Loongson Technology. 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 Loongson Technology's performance over market.| α | -0.23 | β | -0.58 |
Loongson Technology 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 Loongson Technology's Buy-and-hold return. Our buy-and-hold chart shows how Loongson Technology performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Loongson Technology Market Price Analysis
Market price analysis indicators help investors to evaluate how Loongson Technology stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Loongson Technology shares will generate the highest return on investment. By understating and applying Loongson Technology stock market price indicators, traders can identify Loongson Technology position entry and exit signals to maximize returns.
Loongson Technology Return and Market Media
The median price of Loongson Technology for the period between Tue, Dec 17, 2024 and Mon, Mar 17, 2025 is 135.16 with a coefficient of variation of 7.73. The daily time series for the period is distributed with a sample standard deviation of 10.47, arithmetic mean of 135.48, and mean deviation of 8.46. The Stock received some media coverage during the period. Price Growth (%) |
| Timeline |
1 | Chinese competitor to AMD and Intel claims its 32-core processor is as powerful as a 2021 Intel Xeon 32-core Ice Lake CPU a 64-core version is expected to be la... | 12/26/2024 |
2 | Institutions own 21 percent of Loongson Technology Corporation Limited shares but private companies control 50 percent of the company - Simply Wall St | 02/13/2025 |
3 | Loongson Zhongke will increase losses in 2024 and raise 2.46 billion yuan in 2022, sponsored by CITIC Securities - Yicai Global | 02/27/2025 |
About Loongson Technology 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 Loongson or other stocks. Alpha measures the amount that position in Loongson Technology Corp 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.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Loongson Technology in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Loongson Technology's short interest history, or implied volatility extrapolated from Loongson Technology options trading.
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Other Information on Investing in Loongson Stock
Loongson Technology financial ratios help investors to determine whether Loongson Stock 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 Loongson with respect to the benefits of owning Loongson Technology security.