Facebook Treynor Ratio

Facebook Inc -- USA Stock  

USD 168.15  4.41  2.56%

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Facebook Inc has current Treynor Ratio of 0.5158. The Treynor is reward-to-volatility ratio that expresses the excess return to the beta of the equity or portfolio. It is similar to the Sharpe ratio, but instead of using volatility in the denominator, it uses the beta of equity or portfolio. Therefore the Treynor Ratio is calculated as [(Portfolio return - Risk free return)/Beta].
Treynor Ratio 
ER[a] - RFR 
ER[a] =   Expected return on investing in Facebook
BETA =   Beta coefficient between Facebook and the market
RFR =   Risk Free Rate of return. Typically T-Bill Rate

Treynor Ratio Comparison

Facebook Inc is rated # 2 in treynor ratio category among related companies. It is rated # 2 in maximum drawdown category among related companies reporting about  17.78  of Maximum Drawdown per Treynor Ratio. The ratio of Maximum Drawdown to Treynor Ratio for Facebook Inc is roughly  17.78 
This ratio was developed by Jack Treynor to measure how well an investment has compensated its investors given its level of risk. The Treynor ratio relies on beta, which measures an investment sensitivity to market movements, to gauge risk. The premise underlying the Treynor ratio is that systematic risk--the kind of risk that is inherent to the entire market (represented by beta)--should be penalized because it cannot be diversified away.
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Facebook, Inc. provides various products to connect and share through mobile devices, personal computers, and other surfaces worldwide. Facebook, Inc. was founded in 2004 and is headquartered in Menlo Park, California. Facebook operates under Internet Information Providers classification in USA and traded on NASDAQ. It employs 25105 people. more
NameFacebook Inc
Founder, Chairman and CEOMark ZuckerbergView All
Thematic Classifications
Analyst Consensus
Piotroski F Score
Macroaxis Advice
InstrumentUSA Stock View All
RegionNorth America
CIK Number01326801.0
CurrencyUSD - US Dollar