For Immediate Release
Chicago, IL – August 13, 2019 - Stocks in this week’s article are Chuy's Holdings Inc. CHUY, Casey's General Stores Inc. CASY, FTI Consulting Inc. FCN, RenaissanceRe Holdings Ltd. RNR and Kinross Gold Corporation KGC.
Dodge Market Volatility with 5 Stocks of Low Beta Value
It is a common belief in the investment world that only risky stocks generate high returns. However, this works well only during bullish market conditions.
In this article, we have developed a strategy that clearly shows that one can generate high returns from portfolios or securities with lower connection to market volatility.
Meaning of Beta
Beta measures the volatility or risks to a security relative to the market (we are considering the S&P 500 here). That is, beta measures the extent to which the price of a stock moves with respect to the market.
If the beta is equal to 1 it means that the stock is as volatile as the market. So, a stock is relatively more volatile if it has beta greater than 1 and less volatile if beta is less than 1.
For example, if the beta is 1.8 then the stock will witness 80% more movement than the market. Hence, we can say that if the market goes up, the stock will outperform by 80%. Conversely, if the market plunges, the stock will lose much more value than the market.
For the rest of this Screen of the Week article please visit Zacks.com at:https://www.zacks.com/stock/news/466756/dodge-market-volatility-with-5-stocks-of-low-beta-value
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RenaissanceRe Holdings Ltd. (RNR) : Free Stock Analysis Report
Kinross Gold Corporation (KGC) : Free Stock Analysis Report
Caseys General Stores, Inc. (CASY) : Free Stock Analysis Report
Chuy's Holdings, Inc. (CHUY) : Free Stock Analysis Report
FTI Consulting, Inc. (FCN) : Free Stock Analysis Report
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