AMBEV SA (Brazil) Alpha and Beta Analysis


BRL 16.30  0.76  4.89%   

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as AMBEV SA ON. It also helps investors analyze the systematic and unsystematic risks associated with investing in AMBEV SA over a specified time horizon. Remember, high AMBEV SA'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.
Please continue to AMBEV SA Backtesting, AMBEV SA Valuation, AMBEV SA Correlation, AMBEV SA Hype Analysis, AMBEV SA Volatility, AMBEV SA History and analyze AMBEV SA Performance.
Please note that although AMBEV SA 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 index.) So in this particular case, AMBEV SA did 0.29  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 AMBEV SA ON stock's relative risk over its benchmark. AMBEV SA ON has a beta of 0.41  . Let's try to break down what AMBEV's beta means in this case. As returns on the market increase, AMBEV SA returns are expected to increase less than the market. However, during the bear market, the loss on holding AMBEV SA will be expected to be smaller as well.
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.

AMBEV SA Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. AMBEV SA market risk premium is the additional return an investor will receive from holding AMBEV SA 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 AMBEV SA. 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 AMBEV SA's performance over market.
α0.29   β0.41
90 days against DJI

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

AMBEV SA Market Price Analysis

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

AMBEV SA Return and Market Media

The median price of AMBEV SA for the period between Tue, Jul 5, 2022 and Mon, Oct 3, 2022 is 15.27 with a coefficient of variation of 3.94. The daily time series for the period is distributed with a sample standard deviation of 0.59, arithmetic mean of 15.09, and mean deviation of 0.51. The Stock did not receive any noticable media coverage during the period.
 Price Growth (%)  

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

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Please continue to AMBEV SA Backtesting, AMBEV SA Valuation, AMBEV SA Correlation, AMBEV SA Hype Analysis, AMBEV SA Volatility, AMBEV SA History and analyze AMBEV SA Performance. Note that the AMBEV SA ON information on this page should be used as a complementary analysis to other AMBEV SA's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.

Other Tools for AMBEV Stock

When running AMBEV SA ON price analysis, check to measure AMBEV SA's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy AMBEV SA is operating at the current time. Most of AMBEV SA's value examination focuses on studying past and present price action to predict the probability of AMBEV SA's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move AMBEV SA's price. Additionally, you may evaluate how the addition of AMBEV SA to your portfolios can decrease your overall portfolio volatility.
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