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Completion requirements
Opened: Monday, 18 April 2022, 1:00 AM
Due: Monday, 21 October 2024, 11:59 PM

Look up in sources that provides reliable information and look for your favorite company's beta, and explain the chosen company's risk based in the findings.

Prepare to answer to the questions: 

  1. name of the business
  2. The business most recent beta value - do not forget to share the source of information,  
  3. If the beta is high, low or negative and 
  4. Explain the rationale                                                                                                                                                                         
  • If you want to go and extra mile, compare the findings with the major competitor, and provide some conclusions. For example TESLA, 1.96 according to yahoo. Finance. TESLA will theoretically see its stock price increase by 1.96% for every 1% increase in the market. Put differently, if an investor is expecting the overall market to return 8%, a business like TESLA with a highly volatile beta of 1.96 should return 15.68% the investor. TESLA's competitors are other carmakers active in the EV space, so I decided to look up for Honda which has a beta of 0.80 so is less volatile.

Hint: Beta is a measure of risk commonly used to compare the volatility of stocks to that of the overall market. Securities with betas below 1 have historically been less volatile than the market. 


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