Coal India (India) Alpha and Beta Analysis
| COALINDIA | 382.00 9.95 2.54% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Coal India Limited. It also helps investors analyze the systematic and unsystematic risks associated with investing in Coal India over a specified time horizon. Remember, high Coal India'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 Coal India's market risk premium analysis include:
Beta (0.15) | Alpha (0.31) | Risk 1.47 | Sharpe Ratio (0.26) | Expected Return (0.38) |
Coal India Quarterly Cash And Equivalents |
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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.
Coal |
Coal India Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Coal India market risk premium is the additional return an investor will receive from holding Coal India 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 Coal India. 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 Coal India's performance over market.| α | -0.31 | β | -0.15 |
Coal India 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 Coal India's Buy-and-hold return. Our buy-and-hold chart shows how Coal India performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Coal India Market Price Analysis
Market price analysis indicators help investors to evaluate how Coal India stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Coal India shares will generate the highest return on investment. By understating and applying Coal India stock market price indicators, traders can identify Coal India position entry and exit signals to maximize returns.
Coal India Return and Market Media
The median price of Coal India for the period between Tue, Sep 24, 2024 and Mon, Dec 23, 2024 is 443.3 with a coefficient of variation of 7.73. The daily time series for the period is distributed with a sample standard deviation of 34.46, arithmetic mean of 446.1, and mean deviation of 31.32. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | Coal India share are up by 1.92, Nifty down by -0.14 percent - Mint | 09/26/2024 |
2 | Coal India Shares In Red Ahead Of Q2 Results What To Expect - Benzinga India | 10/25/2024 |
3 | Coal India Shares Gains 1 percent as it announces interim dividend - BusinessLine | 11/05/2024 |
4 | Coal India Eases coal supply rules for NRS customers - BusinessLine | 11/21/2024 |
5 | KPI Green Shares Gains 4 percent on secures 1,311 cr project from Coal India - BusinessLine | 12/03/2024 |
6 | Coal India Share Price Highlights Coal India closed today at 408.95, down -1.9 percent from yesterdays 416.85 Stock Market News - Mint | 12/12/2024 |
About Coal India 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 Coal or other stocks. Alpha measures the amount that position in Coal India Limited 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 Coal India 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, Coal India's short interest history, or implied volatility extrapolated from Coal India options trading.
Build Portfolio with Coal India
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Other Information on Investing in Coal Stock
Coal India financial ratios help investors to determine whether Coal 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 Coal with respect to the benefits of owning Coal India security.