RCM TECHNOLOGIES (Germany) Alpha and Beta Analysis
| RC2 Stock | EUR 21.40 0.20 0.93% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as RCM TECHNOLOGIES. It also helps investors analyze the systematic and unsystematic risks associated with investing in RCM TECHNOLOGIES over a specified time horizon. Remember, high RCM TECHNOLOGIES'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 RCM TECHNOLOGIES's market risk premium analysis include:
Beta 0.67 | Alpha 0.26 | Risk 2.63 | Sharpe Ratio 0.12 | Expected Return 0.31 |
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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RCM TECHNOLOGIES Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. RCM TECHNOLOGIES market risk premium is the additional return an investor will receive from holding RCM TECHNOLOGIES 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 RCM TECHNOLOGIES. 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 RCM TECHNOLOGIES's performance over market.| α | 0.26 | β | 0.67 |
RCM TECHNOLOGIES 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 RCM TECHNOLOGIES's Buy-and-hold return. Our buy-and-hold chart shows how RCM TECHNOLOGIES performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.RCM TECHNOLOGIES Market Price Analysis
Market price analysis indicators help investors to evaluate how RCM TECHNOLOGIES stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading RCM TECHNOLOGIES shares will generate the highest return on investment. By understating and applying RCM TECHNOLOGIES stock market price indicators, traders can identify RCM TECHNOLOGIES position entry and exit signals to maximize returns.
RCM TECHNOLOGIES Return and Market Media
The median price of RCM TECHNOLOGIES for the period between Sat, Aug 31, 2024 and Fri, Nov 29, 2024 is 18.9 with a coefficient of variation of 8.82. The daily time series for the period is distributed with a sample standard deviation of 1.67, arithmetic mean of 18.97, and mean deviation of 1.37. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About RCM TECHNOLOGIES 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 RCM or other stocks. Alpha measures the amount that position in RCM TECHNOLOGIES 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 RCM TECHNOLOGIES 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, RCM TECHNOLOGIES's short interest history, or implied volatility extrapolated from RCM TECHNOLOGIES options trading.
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Additional Information and Resources on Investing in RCM Stock
When determining whether RCM TECHNOLOGIES is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if RCM Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Rcm Technologies Stock. Highlighted below are key reports to facilitate an investment decision about Rcm Technologies Stock:Check out RCM TECHNOLOGIES Backtesting, RCM TECHNOLOGIES Valuation, RCM TECHNOLOGIES Correlation, RCM TECHNOLOGIES Hype Analysis, RCM TECHNOLOGIES Volatility, RCM TECHNOLOGIES History and analyze RCM TECHNOLOGIES Performance. For information on how to trade RCM Stock refer to our How to Trade RCM Stock guide.You can also try the Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.
RCM TECHNOLOGIES technical stock analysis exercises models and trading practices based on price and volume transformations, such as the moving averages, relative strength index, regressions, price and return correlations, business cycles, stock market cycles, or different charting patterns.