For Immediate Release
Chicago, IL – June 1, 2018 - Stocks in this week’s article Rocky Brands, Inc. (RCKY - Free Report) , Urban Outfitters, Inc. (URBN - Free Report) , Abiomed, Inc. (ABMD - Free Report) , FTI Consulting, Inc. (FCN - Free Report) and DMC Global Inc. (BOOM - Free Report) .
Buy 5 Low-Beta Stocks to Tide Over Market Volatility
To invest successfully, one needs to do extensive and in-depth research. A smart investor will never follow the herd by believing that only risky stocks can yield impressive returns. Risky stocks do prove lucrative but that’s when the market is bullish.
We have created a strategy which clearly shows that a portfolio of less risky stocks can also generate impressive returns when a few parameters are taken into account.
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/305742/buy-5-lowbeta-stocks-to-tide-over-market-volatility
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Strong Stocks that Should Be in the News
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