Gem Diamonds Limited Stock Alpha and Beta Analysis
| GMDMF Stock | USD 0.16 0.00 0.00% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Gem Diamonds Limited. It also helps investors analyze the systematic and unsystematic risks associated with investing in Gem Diamonds over a specified time horizon. Remember, high Gem Diamonds' 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 Gem Diamonds' market risk premium analysis include:
Beta 0.86 | Alpha 0.78 | Risk 4.85 | Sharpe Ratio 0.18 | Expected Return 0.88 |
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.
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Gem Diamonds Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Gem Diamonds market risk premium is the additional return an investor will receive from holding Gem Diamonds 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 Gem Diamonds. 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 Gem Diamonds' performance over market.| α | 0.78 | β | 0.86 |
Gem Diamonds 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 Gem Diamonds' Buy-and-hold return. Our buy-and-hold chart shows how Gem Diamonds performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Gem Diamonds Market Price Analysis
Market price analysis indicators help investors to evaluate how Gem Diamonds pink sheet reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Gem Diamonds shares will generate the highest return on investment. By understating and applying Gem Diamonds pink sheet market price indicators, traders can identify Gem Diamonds position entry and exit signals to maximize returns.
Gem Diamonds Return and Market Media
The median price of Gem Diamonds for the period between Sun, Dec 15, 2024 and Sat, Mar 15, 2025 is 0.13 with a coefficient of variation of 19.67. The daily time series for the period is distributed with a sample standard deviation of 0.03, arithmetic mean of 0.13, and mean deviation of 0.02. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Gem Diamonds 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 Gem or other pink sheets. Alpha measures the amount that position in Gem Diamonds 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 Gem Diamonds 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, Gem Diamonds' short interest history, or implied volatility extrapolated from Gem Diamonds options trading.
Build Portfolio with Gem Diamonds
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Other Information on Investing in Gem Pink Sheet
Gem Diamonds financial ratios help investors to determine whether Gem Pink Sheet 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 Gem with respect to the benefits of owning Gem Diamonds security.