Equatorial Energia (Brazil) Alpha and Beta Analysis
| EQTL3 Stock | BRL 30.61 0.41 1.32% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Equatorial Energia SA. It also helps investors analyze the systematic and unsystematic risks associated with investing in Equatorial Energia over a specified time horizon. Remember, high Equatorial Energia'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 Equatorial Energia's market risk premium analysis include:
Beta (0.12) | Alpha (0.18) | Risk 1.41 | Sharpe Ratio (0.11) | Expected Return (0.16) |
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.
Equatorial |
Equatorial Energia Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Equatorial Energia market risk premium is the additional return an investor will receive from holding Equatorial Energia 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 Equatorial Energia. 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 Equatorial Energia's performance over market.| α | -0.18 | β | -0.12 |
Equatorial Energia 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 Equatorial Energia's Buy-and-hold return. Our buy-and-hold chart shows how Equatorial Energia performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Equatorial Energia Market Price Analysis
Market price analysis indicators help investors to evaluate how Equatorial Energia stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Equatorial Energia shares will generate the highest return on investment. By understating and applying Equatorial Energia stock market price indicators, traders can identify Equatorial Energia position entry and exit signals to maximize returns.
Equatorial Energia Return and Market Media
The median price of Equatorial Energia for the period between Mon, Sep 2, 2024 and Sun, Dec 1, 2024 is 32.52 with a coefficient of variation of 3.24. The daily time series for the period is distributed with a sample standard deviation of 1.06, arithmetic mean of 32.77, and mean deviation of 0.82. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Equatorial Energia 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 Equatorial or other stocks. Alpha measures the amount that position in Equatorial Energia 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 Equatorial Energia 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, Equatorial Energia's short interest history, or implied volatility extrapolated from Equatorial Energia options trading.
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Additional Tools for Equatorial Stock Analysis
When running Equatorial Energia's price analysis, check to measure Equatorial Energia'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 Equatorial Energia is operating at the current time. Most of Equatorial Energia's value examination focuses on studying past and present price action to predict the probability of Equatorial Energia's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Equatorial Energia's price. Additionally, you may evaluate how the addition of Equatorial Energia to your portfolios can decrease your overall portfolio volatility.