Hsbc Holdings Plc Stock Beta
| HSBC Stock | USD 48.27 0.12 0.25% |
HSBC Holdings PLC fundamentals help investors to digest information that contributes to HSBC Holdings' financial success or failures. It also enables traders to predict the movement of HSBC Stock. The fundamental analysis module provides a way to measure HSBC Holdings' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to HSBC Holdings stock.
HSBC | Beta |
HSBC Holdings PLC Company Beta Analysis
HSBC Holdings' Beta is one of the most important measures of equity market volatility. Beta can be thought of as asset elasticity or sensitivity to market. In other words, it is a number that shows the relationship of an equity instrument to the financial market in which this instrument is traded. For example, if Beta of equity is 2, it is expected to significantly outperform market when the market is going up and significantly underperform when the market is going down. Similarly, Beta of 1 indicates that an asset and market will generate similar returns over time.
Current HSBC Holdings Beta | 0.51 |
Most of HSBC Holdings' fundamental indicators, such as Beta, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, HSBC Holdings PLC is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
HSBC Beta Driver Correlations
Understanding the fundamental principles of building solid financial models for HSBC Holdings is extremely important. It helps to project a fair market value of HSBC Stock properly, considering its historical fundamentals such as Beta. Since HSBC Holdings' main accounts across its financial reports are all linked and dependent on each other, it is essential to analyze all possible correlations between related accounts. However, instead of reviewing all of HSBC Holdings' historical financial statements, investors can examine the correlated drivers to determine its overall health. This can be effectively done using a conventional correlation matrix of HSBC Holdings' interrelated accounts and indicators.
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In a nutshell, Beta is a measure of individual stock risk relative to the overall volatility of the stock market. and is calculated based on very sound finance theory - Capital Assets Pricing Model (CAPM).However, since Beta is calculated based on historical price movements it may not predict how a firm's stock is going to perform in the future.
| Competition |
In accordance with the recently published financial statements, HSBC Holdings PLC has a Beta of 0.507. This is 38.17% lower than that of the Banks sector and significantly higher than that of the Financials industry. The beta for all United States stocks is notably lower than that of the firm.
HSBC Beta Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses HSBC Holdings' direct or indirect competition against its Beta to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of HSBC Holdings could also be used in its relative valuation, which is a method of valuing HSBC Holdings by comparing valuation metrics of similar companies.HSBC Holdings is currently under evaluation in beta category among its peers.
HSBC Holdings Current Valuation Drivers
We derive many important indicators used in calculating different scores of HSBC Holdings from analyzing HSBC Holdings' financial statements. These drivers represent accounts that assess HSBC Holdings' ability to generate profits relative to its revenue, operating costs, and shareholders' equity. Below are some of HSBC Holdings' important valuation drivers and their relationship over time.
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Market Cap | 158.1B | 104.3B | 122.6B | 123.7B | 157.9B | 130.4B | |
| Enterprise Value | 128.2B | (86.8B) | (185.5B) | (110.1B) | 86.1B | 163.6B |
HSBC Holdings ESG Sustainability
Some studies have found that companies with high sustainability scores are getting higher valuations than competitors with lower social-engagement activities. While most ESG disclosures are voluntary and do not directly affect the long term financial condition, HSBC Holdings' sustainability indicators can be used to identify proper investment strategies using environmental, social, and governance scores that are crucial to HSBC Holdings' managers, analysts, and investors.Environmental | Governance | Social |
HSBC Holdings Institutional Holders
Institutional Holdings refers to the ownership stake in HSBC Holdings that is held by large financial organizations, pension funds or endowments. Institutions may purchase large blocks of HSBC Holdings' outstanding shares and can exert considerable influence upon its management. Institutional holders may also work to push the share price higher once they own the stock. Extensive social media coverage, TV shows, articles in high-profile magazines, and presentations at investor conferences help move the stock higher, increasing HSBC Holdings' value.| Shares | Citadel Advisors Llc | 2024-09-30 | 687.7 K | Crossmark Global Holdings, Inc. | 2024-09-30 | 500.5 K | Natixis Advisors, Llc. | 2024-06-30 | 413.8 K | Franklin Resources Inc | 2024-09-30 | 385.5 K | Grantham, Mayo, Van Otterloo & Co., Llc | 2024-09-30 | 335.9 K | Millennium Management Llc | 2024-09-30 | 324.1 K | Qube Research & Technologies | 2024-09-30 | 320.7 K | Raymond James & Associates | 2024-09-30 | 320 K | O'shaughnessy Asset Management Llc | 2024-09-30 | 316.9 K | Dimensional Fund Advisors, Inc. | 2024-09-30 | 10.7 M | Morgan Stanley - Brokerage Accounts | 2024-09-30 | 6.4 M |
As returns on the market increase, HSBC Holdings' returns are expected to increase less than the market. However, during the bear market, the loss of holding HSBC Holdings is expected to be smaller as well.
HSBC Fundamentals
| Return On Equity | 0.13 | ||||
| Return On Asset | 0.0081 | ||||
| Profit Margin | 0.41 % | ||||
| Operating Margin | 0.49 % | ||||
| Current Valuation | 496.77 B | ||||
| Shares Outstanding | 3.59 B | ||||
| Shares Owned By Institutions | 1.70 % | ||||
| Number Of Shares Shorted | 6.52 M | ||||
| Price To Earning | 20.12 X | ||||
| Price To Book | 0.90 X | ||||
| Price To Sales | 2.99 X | ||||
| Revenue | 56.35 B | ||||
| Gross Profit | 50.51 B | ||||
| EBITDA | 31.01 B | ||||
| Net Income | 22.43 B | ||||
| Cash And Equivalents | 1.14 T | ||||
| Cash Per Share | 14.49 X | ||||
| Total Debt | 235.16 B | ||||
| Debt To Equity | 0.59 % | ||||
| Book Value Per Share | 9.66 X | ||||
| Cash Flow From Operations | 39.11 B | ||||
| Short Ratio | 5.83 X | ||||
| Earnings Per Share | 6.10 X | ||||
| Price To Earnings To Growth | 3.19 X | ||||
| Target Price | 57.0 | ||||
| Number Of Employees | 215.18 K | ||||
| Beta | 0.51 | ||||
| Market Capitalization | 173.14 B | ||||
| Total Asset | 3.04 T | ||||
| Retained Earnings | 152.15 B | ||||
| Annual Yield | 0.04 % | ||||
| Five Year Return | 6.08 % | ||||
| Net Asset | 3.04 T | ||||
| Last Dividend Paid | 0.61 |
About HSBC Holdings Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze HSBC Holdings PLC's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of HSBC Holdings using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of HSBC Holdings PLC based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
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Analyzing currently trending equities could be an opportunity to develop a better portfolio based on different market momentums that they can trigger. Utilizing the top trending stocks is also useful when creating a market-neutral strategy or pair trading technique involving a short or a long position in a currently trending equity.When determining whether HSBC Holdings PLC offers a strong return on investment in its stock, a comprehensive analysis is essential. The process typically begins with a thorough review of HSBC Holdings' 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 Hsbc Holdings Plc Stock. Outlined below are crucial reports that will aid in making a well-informed decision on Hsbc Holdings Plc Stock:Check out HSBC Holdings Piotroski F Score and HSBC Holdings Altman Z Score analysis. You can also try the Latest Portfolios module to quick portfolio dashboard that showcases your latest portfolios.
Is Diversified Banks space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of HSBC Holdings. If investors know HSBC will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about HSBC Holdings listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth 0.167 | Dividend Share 0.61 | Earnings Share 6.1 | Revenue Per Share 3.885 | Quarterly Revenue Growth 0.061 |
The market value of HSBC Holdings PLC is measured differently than its book value, which is the value of HSBC that is recorded on the company's balance sheet. Investors also form their own opinion of HSBC Holdings' value that differs from its market value or its book value, called intrinsic value, which is HSBC Holdings' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because HSBC Holdings' market value can be influenced by many factors that don't directly affect HSBC Holdings' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between HSBC Holdings' value and its price as these two are different measures arrived at by different means. Investors typically determine if HSBC Holdings is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, HSBC Holdings' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.