What Beta Means for Investors
Jun 11, 2025 · What Is Beta? Beta is an indicator of the price volatility of a stock or other asset in comparison with the broader market. It suggests the level of risk that an investor takes on in buying …
What is Beta? Definition, Importance, Example | The Motley Fool
Beta is a measure of the systematic risk involved with a stock or other investment. It can tell investors how much a stock tends to move with overall market forces, and can be a valuable tool in...
Understanding Beta: Definition, Calculation, Uses - Investing.com
Feb 11, 2025 · Beta is a statistical measure that compares the volatility of a particular stock’s price movements to the overall market. In simple terms, it indicates how much the price of a specific …
Beta - What is Beta (β) in Finance? Guide and Examples
The beta (β) of an investment security (i.e., a stock) is a measurement of its volatility of returns relative to the entire market. It is used as a measure of risk and is an integral part of the Capital Asset Pricing …
What Is the Beta of a Stock? Meaning & Formula | Britannica Money
Nov 11, 2025 · In finance, beta is a metric that represents the volatility of a security or fund relative to a benchmark. Specifically, it’s the covariance of the asset and its benchmark, divided by the …
What Is a Stock’s Beta? What to Know About Stock Volatility and Risk
Feb 10, 2025 · Beta measures how differently an individual investment will react to systematic risk compared to the broad market. It gives investors insight into how volatile—and therefore how …
What is Beta in Finance & How to Calculate It: A Complete Guide
Beta, in finance, is a measure of a stock or portfolio’s sensitivity to market movements. It indicates the degree to which an asset’s price tends to move in relation to changes in the overall market.
Beta : Meaning, Working, Calculation, Types and Drawbacks
Jul 23, 2025 · Beta is defined as a financial metric that measures the volatility of a stock or a portfolio in relation to the overall market. It is a quantitative representation of the asset's sensitivity to market …
What Is Beta? - Nasdaq
Feb 21, 2023 · Beta, often represented by the Greek letter β, is a way of measuring the volatility of the returns you get from an investment. Volatility is a measure of how much and how quickly the value of …
What Is Beta? | Everything to Know About Stock Volatility
Jan 17, 2025 · Beta measures how volatile a stock is in relation to the broader stock market over time. A stock with a high beta indicates it’s more volatile than the overall market and can react with dramatic …