Algorand Performance
| ALGO Crypto | USD 0.44 0.12 37.50% |
The crypto shows a Beta (market volatility) of 0.48, which signifies possible diversification benefits within a given portfolio. As returns on the market increase, Algorand's returns are expected to increase less than the market. However, during the bear market, the loss of holding Algorand is expected to be smaller as well.
Risk-Adjusted Performance
22 of 100
Weak | Strong |
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Algorand are ranked lower than 22 (%) of all global equities and portfolios over the last 90 days. In spite of rather unsteady fundamental indicators, Algorand exhibited solid returns over the last few months and may actually be approaching a breakup point. ...more
Algorand |
Algorand Relative Risk vs. Return Landscape
If you would invest 12.00 in Algorand on September 1, 2024 and sell it today you would earn a total of 32.00 from holding Algorand or generate 266.67% return on investment over 90 days. Algorand is generating 2.3014% of daily returns and assumes 7.9847% volatility on return distribution over the 90 days horizon. Simply put, 71% of crypto coins are less volatile than Algorand, and 55% of all equity instruments are likely to generate higher returns than the company over the next 90 trading days. Expected Return |
| Risk |
Algorand Market Risk Analysis
Today, many novice investors tend to focus exclusively on investment returns with little concern for Algorand's investment risk. Standard deviation is the most common way to measure market volatility of crypto coins, such as Algorand, and traders can use it to determine the average amount a Algorand'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 = 0.2882
| Best Portfolio | Best Equity | |||
| Good Returns | ||||
| Average Returns | ALGO | |||
| Small Returns | ||||
| Cash | Small Risk | Average Risk | High Risk | Huge Risk |
| Negative Returns |
Estimated Market Risk
| 7.98 actual daily | 71 71% of assets are less volatile |
Expected Return
| 2.3 actual daily | 45 55% of assets have higher returns |
Risk-Adjusted Return
| 0.29 actual daily | 22 78% of assets perform better |
Based on monthly moving average Algorand is performing at about 22% of its full potential. 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 Algorand by adding it to a well-diversified portfolio.
About Algorand Performance
By analyzing Algorand's fundamental ratios, stakeholders can gain valuable insights into Algorand's financial health, operational efficiency, and overall profitability, helping them make informed investment and management decisions. For instance, if Algorand 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 Algorand has a low ROA and ROE, it may indicate underlying issues in asset and equity management, signaling a need for operational improvements.
Algorand is peer-to-peer digital currency powered by the Blockchain technology.| Algorand is way too risky over 90 days horizon | |
| Algorand has some characteristics of a very speculative cryptocurrency | |
| Algorand appears to be risky and price may revert if volatility continues |
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Algorand. Also, note that the market value of any cryptocurrency could be closely tied with the direction of predictive economic indicators such as signals in board of governors. You can also try the Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.