JAMES HARDIE (Germany) Alpha and Beta Analysis

JHA0 Stock  EUR 31.40  0.20  0.63%   
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as JAMES HARDIE INDUSTADR1. It also helps investors analyze the systematic and unsystematic risks associated with investing in JAMES HARDIE over a specified time horizon. Remember, high JAMES HARDIE'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 JAMES HARDIE's market risk premium analysis include:
Beta
(0.52)
Alpha
0.14
Risk
5.5
Sharpe Ratio
0.0125
Expected Return
0.0685
Please note that although JAMES HARDIE alpha is a measure of relative return and represented here as a single number, it indicates the percentage above or below your selected benchmark (i.e., Dow Jones Industrial index.) So in this particular case, JAMES HARDIE did 0.14  better than the index. Remember, a high alpha is always good. Beta, on the other hand, measures the volatility (or risk) of an investment. It is an indication of JAMES HARDIE INDUSTADR1 stock's relative risk over its benchmark. JAMES HARDIE INDUSTADR1 has a beta of 0.52  . As returns on the market increase, returns on owning JAMES HARDIE are expected to decrease at a much lower rate. During the bear market, JAMES HARDIE is likely to outperform the market. .
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.
  
Check out JAMES HARDIE Backtesting, JAMES HARDIE Valuation, JAMES HARDIE Correlation, JAMES HARDIE Hype Analysis, JAMES HARDIE Volatility, JAMES HARDIE History and analyze JAMES HARDIE Performance.

JAMES HARDIE Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. JAMES HARDIE market risk premium is the additional return an investor will receive from holding JAMES HARDIE 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 JAMES HARDIE. 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 JAMES HARDIE's performance over market.
α0.14   β-0.52

JAMES HARDIE 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 JAMES HARDIE's Buy-and-hold return. Our buy-and-hold chart shows how JAMES HARDIE performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.

JAMES HARDIE Market Price Analysis

Market price analysis indicators help investors to evaluate how JAMES HARDIE stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading JAMES HARDIE shares will generate the highest return on investment. By understating and applying JAMES HARDIE stock market price indicators, traders can identify JAMES HARDIE position entry and exit signals to maximize returns.

JAMES HARDIE Return and Market Media

The median price of JAMES HARDIE for the period between Thu, Sep 19, 2024 and Wed, Dec 18, 2024 is 31.4 with a coefficient of variation of 14.44. The daily time series for the period is distributed with a sample standard deviation of 4.23, arithmetic mean of 29.27, and mean deviation of 3.74. The Stock did not receive any noticable media coverage during the period.
 Price Growth (%)  
       Timeline  

About JAMES HARDIE 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 JAMES or other stocks. Alpha measures the amount that position in JAMES HARDIE INDUSTADR1 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 JAMES HARDIE 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, JAMES HARDIE's short interest history, or implied volatility extrapolated from JAMES HARDIE options trading.

Build Portfolio with JAMES HARDIE

Your optimized portfolios are the building block of your wealth. We provide an intuitive interface to determine which securities in a portfolio should be removed or rebalanced to achieve better diversification, find the right mix of securities that minimizes portfolio risk for a given return, or maximize portfolio expected return for a given risk level.

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By capturing your risk tolerance and investment horizon Macroaxis technology of instant portfolio optimization will compute exactly how much risk is acceptable for your desired return expectations

Other Information on Investing in JAMES Stock

JAMES HARDIE financial ratios help investors to determine whether JAMES Stock 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 JAMES with respect to the benefits of owning JAMES HARDIE security.