Best Buy Stock Alpha and Beta Analysis

BBY
 Stock
  

USD 65.08  2.36  3.50%   

This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Best Buy Company. It also helps investors analyze the systematic and unsystematic risks associated with investing in Best Buy over a specified time horizon. Remember, high Best Buy'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.
Continue to Best Buy Backtesting, Best Buy Valuation, Best Buy Correlation, Best Buy Hype Analysis, Best Buy Volatility, Best Buy History and analyze Best Buy Performance.
  
Please note that although Best Buy 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, Best Buy did 0.08  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 Best Buy Company stock's relative risk over its benchmark. Best Buy has a beta of 1.58  . Let's try to break down what Best Buy's beta means in this case. As the market goes up, the company is expected to outperform it. However, if the market returns are negative, Best Buy will likely underperform.
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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.

Best Buy Market Premiums

Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Best Buy market risk premium is the additional return an investor will receive from holding Best Buy 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 Best Buy. 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 Best Buy's performance over market.
α0.08   β1.58
90 days against DJI

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

Best Buy Market Price Analysis

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

Best Buy Return and Market Media

The median price of Best Buy for the period between Sat, Jul 2, 2022 and Fri, Sep 30, 2022 is 73.97 with a coefficient of variation of 6.2. The daily time series for the period is distributed with a sample standard deviation of 4.58, arithmetic mean of 73.9, and mean deviation of 3.76. The Stock received substential amount of media coverage during this period.
 Price Growth (%)  
       Timeline  
1
Best Buy exotic insider transaction detected07/12/2022
2
3 Top Growth Stocks to Buy Right Now - The Motley Fool07/19/2022
3
Financial Statements07/27/2022
4
Walmart lays off corporate employees after slashing forecast...08/03/2022
5
Warby Parker slashes sales outlook for the year as loss wide...08/11/2022
6
Best Buy, Li Auto And 3 Stocks To Watch Heading Into Monday ...08/15/2022
7
The Best Warren Buffett Stock to Buy With 300 Right Now - Th...08/19/2022
8
EPS Reported08/22/2022
9
Financial Statements08/30/2022
10
Forget Bed Bath Beyond These 3 Stocks Are Screaming Bargains...09/01/2022
11
Sale by Harmon Damien of 1308 shares of Best Buy09/13/2022
12
Exercise or conversion by Scarlett Kathleen of 5427 shares o...09/21/2022
13
Sale by Allison Peterson of 126 shares of Best Buy09/23/2022
14
Target, Walmart, and Best Buy Stock Could Gain as Earnings O...09/28/2022

About Best Buy 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 Best Buy or other stocks. Alpha measures the amount that position in Best Buy 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.

Best Buy Upcoming Company Events

As portrayed in its financial statements, the presentation of Best Buy's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Best Buy's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Best Buy's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Best Buy. Please utilize our Beneish M Score to check the likelihood of Best Buy's management manipulating its earnings.
Upcoming Quarterly Report24th of February 2022
Next Financial Report26th of May 2022
Next Fiscal Quarter End31st of January 2022
Next Fiscal Year End24th of February 2022
Last Quarter Report31st of October 2021
Last Financial Announcement31st of January 2021

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Continue to Best Buy Backtesting, Best Buy Valuation, Best Buy Correlation, Best Buy Hype Analysis, Best Buy Volatility, Best Buy History and analyze Best Buy Performance. Note that the Best Buy information on this page should be used as a complementary analysis to other Best Buy'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 Focused Opportunities module to build portfolios using our predefined set of ideas and optimize them against your investing preferences.

Complementary Tools for Best Buy Stock analysis

When running Best Buy price analysis, check to measure Best Buy'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 Best Buy is operating at the current time. Most of Best Buy's value examination focuses on studying past and present price action to predict the probability of Best Buy's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Best Buy's price. Additionally, you may evaluate how the addition of Best Buy to your portfolios can decrease your overall portfolio volatility.
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Best Buy 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.
A focus of Best Buy technical analysis is to determine if market prices reflect all relevant information impacting that market. A technical analyst looks at the history of Best Buy trading pattern rather than external drivers such as economic, fundamental, or social events. It is believed that price action tends to repeat itself due to investors' collective, patterned behavior. Hence technical analysis focuses on identifiable price trends and conditions. More Info...