Amazon Inc Stock Alpha and Beta Analysis
| AMZN Stock | USD 179.22 2.06 1.14% |
This module allows you to check different measures of market premium (i.e., alpha and beta) for all equities such as Amazon Inc. It also helps investors analyze the systematic and unsystematic risks associated with investing in Amazon over a specified time horizon. Remember, high Amazon'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 Amazon's market risk premium analysis include:
Beta 1.16 | Alpha 0.19 | Risk 1.62 | Sharpe Ratio 0.16 | Expected Return 0.26 |
Amazon Quarterly Cash And Equivalents |
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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.
Amazon |
Amazon Market Premiums
Investors always prefer to have the highest possible return on investment, coupled with the lowest possible volatility. Amazon market risk premium is the additional return an investor will receive from holding Amazon 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 Amazon. 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 Amazon's performance over market.| α | 0.19 | β | 1.16 |
Amazon 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 Amazon's Buy-and-hold return. Our buy-and-hold chart shows how Amazon performed over your current time horizon against a typical interest-earning bank account and a selected benchmark.Amazon Market Price Analysis
Market price analysis indicators help investors to evaluate how Amazon stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Amazon shares will generate the highest return on investment. By understating and applying Amazon stock market price indicators, traders can identify Amazon position entry and exit signals to maximize returns.
Amazon Return and Market Media
The median price of Amazon for the period between Fri, Jan 19, 2024 and Thu, Apr 18, 2024 is 174.48 with a coefficient of variation of 5.65. The daily time series for the period is distributed with a sample standard deviation of 9.73, arithmetic mean of 172.34, and mean deviation of 7.73. The Stock received substential amount of media coverage during this period. Price Growth (%) |
| Timeline |
1 | Mace Security International, a Global Leader in Personal Self-Defense Sprays, Announces Additional Convertible Note Funding | 03/11/2024 |
2 | Amazons senior employees may not get a cash pay raise this year | 03/27/2024 |
3 | ROSEN, A LEADING INVESTOR RIGHTS LAW FIRM, Encourages iRobot Corporation Investors to Secure Counsel Before Important Deadline in Securities Class Action IRBT | 04/02/2024 |
4 | Disposition of 500 shares by Adam Selipsky of Amazon at 182.53 subject to Rule 16b-3 | 04/05/2024 |
5 | Insider Trading | 04/09/2024 |
6 | Nasdaq Accelerates Higher With Sharp Jump In Relative Performance | 04/11/2024 |
7 | I Cannot Afford To Live Americans Get Emotional As The US Economy Goes Off The Rails | 04/12/2024 |
8 | Asian Markets Bracing for Impact Amid US Economic Signals | 04/16/2024 |
About Amazon 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 Amazon or other stocks. Alpha measures the amount that position in Amazon Inc 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.
| 2021 | 2022 | 2023 | 2024 (projected) | Days Sales Outstanding | 25.35 | 29.82 | 32.86 | 34.51 | PTB Ratio | 12.2 | 5.86 | 7.76 | 7.37 |
Amazon Upcoming Company Events
As portrayed in its financial statements, the presentation of Amazon's financial position is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Amazon's leadership is honest, while the outside auditors are strict and uncompromising. Whatever the case, investors should always follow all of Amazon's public filing events to personally review all filings and be reasonable and skeptical to interpret all of the financial statements of Amazon. Please utilize our Beneish M Score to check the likelihood of Amazon's management manipulating its earnings.
| 1st of February 2024 Upcoming Quarterly Report | View | |
| 25th of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 1st of February 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Build Portfolio with Amazon
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.Build Diversified Portfolios
Align your risk with return expectations
Check out Amazon Backtesting, Amazon Valuation, Amazon Correlation, Amazon Hype Analysis, Amazon Volatility, Amazon History and analyze Amazon Performance. Note that the Amazon Inc information on this page should be used as a complementary analysis to other Amazon'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 the Bonds Directory module to find actively traded corporate debentures issued by US companies.
Complementary Tools for Amazon Stock analysis
When running Amazon's price analysis, check to measure Amazon'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 Amazon is operating at the current time. Most of Amazon's value examination focuses on studying past and present price action to predict the probability of Amazon's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Amazon's price. Additionally, you may evaluate how the addition of Amazon to your portfolios can decrease your overall portfolio volatility.
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Amazon 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.