Nova (Israel) Alpha and Beta Analysis
| NVMI Stock | ILA 61,920 2,580 4.00% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Nova. It also helps investors analyze the systematic and unsystematic risks associated with investing in Nova over a specified time horizon. Remember, high Nova'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 Nova's market risk premium analysis include:
Beta (0.17) | Alpha (0.23) | Risk 3.66 | Sharpe Ratio (0.14) | Expected Return (0.52) |
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.
Nova |
Nova Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Nova market risk premium is the additional return an investor will receive from holding Nova 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 Nova. 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 Nova's performance over market.| α | -0.23 | β | -0.17 |
Nova 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 Nova's Buy-and-hold return. Our buy-and-hold chart shows how Nova performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Nova Market Price Analysis
Market price analysis indicators help investors to evaluate how Nova stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Nova shares will generate the highest return on investment. By understating and applying Nova stock market price indicators, traders can identify Nova position entry and exit signals to maximize returns.
Nova Return and Market Media
The median price of Nova for the period between Fri, Aug 30, 2024 and Thu, Nov 28, 2024 is 75080.0 with a coefficient of variation of 7.6. The daily time series for the period is distributed with a sample standard deviation of 5708.78, arithmetic mean of 75108.64, and mean deviation of 4362.53. The Stock did not receive any noticable media coverage during the period. Price Growth (%) |
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About Nova 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 Nova or other stocks. Alpha measures the amount that position in Nova 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 Nova 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, Nova's short interest history, or implied volatility extrapolated from Nova options trading.
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Additional Information and Resources on Investing in Nova Stock
When determining whether Nova offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of Nova's financial statements, including income statements, balance sheets, and cash flow statements, to assess its financial health. Key financial ratios are used to gauge profitability, efficiency, and growth potential of Nova Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Nova Stock:Check out Nova Backtesting, Nova Valuation, Nova Correlation, Nova Hype Analysis, Nova Volatility, Nova History and analyze Nova Performance. For information on how to trade Nova Stock refer to our How to Trade Nova Stock guide.You can also try the Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Nova 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.