For Immediate Release
Chicago, IL – October 1, 2019 - Stocks in this week’s article are Rent-A-Center, Inc. RCII, Guess?, Inc. GES, ChannelAdvisor ECOM, TiVo Corporation TIVO and Hallmark Financial Services Inc. HALL.
Buy These 5 Low-Beta Stocks to Sidestep Market Volatility
It is a common misconception that only risky stocks offer lucrative returns. In fact, the strategy works well only in bullish market conditions.
In this article we have presented a strategy that clearly shows high returns can also be generated from stocks with lower risks, only if some parameters are considered.
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/542575/buy-these-5-lowbeta-stocks-to-sidestep-market-volatility?art_rec=quote-stock_overview-zacks_news-ID02-txt-542575
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ChannelAdvisor Corporation (ECOM) : Free Stock Analysis Report
TiVo Corporation (TIVO) : Free Stock Analysis Report
Rent-A-Center, Inc. (RCII) : Free Stock Analysis Report
Hallmark Financial Services, Inc. (HALL) : Free Stock Analysis Report
Guess?, Inc. (GES) : Free Stock Analysis Report
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