Beacon Roofing Supply Performance
| 073685AF6 | 96.91 2.22 2.24% |
The bond shows a Beta (market volatility) of 0.0582, which signifies not very significant fluctuations relative to the market. As returns on the market increase, Beacon's returns are expected to increase less than the market. However, during the bear market, the loss of holding Beacon is expected to be smaller as well.
Risk-Adjusted Performance
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Over the last 90 days Beacon Roofing Supply has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, Beacon is not utilizing all of its potentials. The latest stock price disturbance, may contribute to short-term losses for the investors. ...more
| Yield To Maturity | 6.647 |
Beacon |
Beacon Relative Risk vs. Return Landscape
If you would invest 9,863 in Beacon Roofing Supply on September 13, 2024 and sell it today you would lose (172.00) from holding Beacon Roofing Supply or give up 1.74% of portfolio value over 90 days. Beacon Roofing Supply is generating negative expected returns and assumes 0.4749% volatility on return distribution over the 90 days horizon. Simply put, 4% of bonds are less volatile than Beacon, and 99% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Beacon Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Beacon's investment risk. Standard deviation is the most common way to measure market volatility of bonds, such as Beacon Roofing Supply, and traders can use it to determine the average amount a Beacon's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.
Sharpe Ratio = -0.0748
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| Negative Returns | 073685AF6 |
Estimated Market Risk
| 0.47 actual daily | 4 96% of assets are more volatile |
Expected Return
| -0.04 actual daily | 0 Most of other assets have higher returns |
Risk-Adjusted Return
| -0.07 actual daily | 0 Most of other assets perform better |
Based on monthly moving average Beacon is not performing at its full potential. However, if added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Beacon by adding Beacon to a well-diversified portfolio.
About Beacon Performance
By analyzing Beacon's fundamental ratios, stakeholders can gain valuable insights into Beacon's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Beacon has a high ROA and ROE, it suggests that the company is efficiently using its assets and equity to generate substantial profits, making it an attractive investment. Conversely, if Beacon has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
| Beacon generated a negative expected return over the last 90 days |
Other Information on Investing in Beacon Bond
Beacon financial ratios help investors to determine whether Beacon Bond 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 Beacon with respect to the benefits of owning Beacon security.