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Calculating stock beta using Excel

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Codible

Codible

Күн бұрын

Пікірлер: 189
@anthony90123
@anthony90123 11 жыл бұрын
Jesus Christ I was having trouble doing my finance project and i cant tell u how much your video has helped me !! THANKS A LOT U ARE A GOOD MAN HAHA :)
@AndersExcel
@AndersExcel 8 жыл бұрын
Why not use COVARIANCE.S and VAR.S instead of .P (its a sample)?
@ddcupload7373
@ddcupload7373 Жыл бұрын
bro 11 year video saved me in 2023 thank you.
@wHisperis001
@wHisperis001 10 жыл бұрын
Just use the =SLOPE(price of stock set, index set) function
@wHisperis001
@wHisperis001 3 жыл бұрын
@@neilcarvalho8349 wish i could, i dont even remember this comment lol. Just google excel slope function.
@TheRaynman
@TheRaynman 5 жыл бұрын
my guy you just helped me so much. You LOVE to see it
@salmamiftah26
@salmamiftah26 3 жыл бұрын
Thank you so much, you saved my semester !!!
@pholmes411
@pholmes411 11 жыл бұрын
Very helpful and informative video. Thanks so much for a really well done explanation.
@rangjungyeshe
@rangjungyeshe 11 жыл бұрын
Nice demo - thanks v much. I was initially surprised by the way you worked out the ratios, until I realised that the most recent dates are at the TOP of the sheet (Doh !)
@kimnorth7060
@kimnorth7060 11 жыл бұрын
Apologies Robert one last question, how would you treat the formula if the previous price was zero? Dividing by zero is not possible
@mikemorgan3938
@mikemorgan3938 4 жыл бұрын
Thanks alot sir I really do appreciate your help with this video I started off in this market not seeing the results I expected and not understanding why but ever since I started investing and trading with Mr Romero pieto I now understand and know the true worth of having an expert by your side .
@vincentbrown6818
@vincentbrown6818 4 жыл бұрын
His trade execution quality and profiting is well structured with great financial features.
@roddiehouston8834
@roddiehouston8834 4 жыл бұрын
Apparently this is one of the most gifted trader around,I have only been with him for 3 months now and I have learnt so much about his trading skills.
@pamelawalker8278
@pamelawalker8278 4 жыл бұрын
Good good content.
@mariahclaire1256
@mariahclaire1256 4 жыл бұрын
Am so happy seeing all this good good content about the man behind my successful tradings Mr Romero pieto.
@horsefallaron9009
@horsefallaron9009 4 жыл бұрын
Vincent brown am from Canada 🇨🇦 does Mr Romero pieto accepts New investors or students ?
@ankitkanojia1
@ankitkanojia1 3 жыл бұрын
Thanks for the video sir.. I was looking for it desperately
@siddiquipetroleum
@siddiquipetroleum 9 жыл бұрын
Very helpful thanks for taking time to post this.
@TonyQTNguyen
@TonyQTNguyen Жыл бұрын
Thank you for your video sir!
@tomascroft4400
@tomascroft4400 9 жыл бұрын
Very helpful. Thanks for taking the time to do this.
@KrishnaDas-nc5dq
@KrishnaDas-nc5dq 2 жыл бұрын
That was really helpful
@aabyevolve5159
@aabyevolve5159 5 жыл бұрын
ty for such helpful nd clear videos... i appreciate👍
@TalhaBedir
@TalhaBedir 6 жыл бұрын
that SLOPE function is cool!
@CehikalGalih
@CehikalGalih 5 жыл бұрын
JUST WHAT I NEED.. THANKS !
@megera19
@megera19 10 жыл бұрын
Thanks for posting! This was super helpful :-)
@ffesat
@ffesat 8 жыл бұрын
Crystal Clear! Thanks mate.
@lauraliao8565
@lauraliao8565 9 жыл бұрын
thank you very much. Your video is really helpful!!!
@rick1995
@rick1995 5 жыл бұрын
Still very helpful in 2018. Thanks a lot, sir!
@maninderjitsingh2958
@maninderjitsingh2958 5 жыл бұрын
When we are going to find the return of close price over the recent days. Why do we have to take the logarithm like: type in ln(close price day 2/close price day 1). But here you are just simply dividing it. Do someone have an explanation?
@Rennienan
@Rennienan 11 жыл бұрын
Excellent, helped with a small project I am working on.
@Nader95
@Nader95 2 жыл бұрын
take LN (today / yesterday) for returns. LN stands for Natural Log
@Corrieses
@Corrieses 5 жыл бұрын
This is incorrect, you should use EXCESS market returns and EXCESS stock returns - corrected for the risk free rate.
@ST-wx6vw
@ST-wx6vw 4 жыл бұрын
Excess Return relative to a benchmark is Alpha not Beta. This video is about Beta. Video appears correct to me.
@ddanieldunn
@ddanieldunn 3 жыл бұрын
​@@ST-wx6vw I think Corrieses is correct. Expected Return = Risk Free Rate + β(Return on Market - Risk Free Rate) therefore: Er - Rf = β(Rm - Rf) y value used is expected return, x value is market risk premium, value found will be Beta. But if you don't take away risk free rate then the Beta should be wrong. But I may not be correct.
@frmabhijit
@frmabhijit 3 жыл бұрын
Nice explanation
@kennethrobertson5670
@kennethrobertson5670 5 жыл бұрын
You my friend are a life saver. Thank You
@rizasafiranurulita9612
@rizasafiranurulita9612 3 жыл бұрын
Wow, that's so simple... Thanks
@omegatheo
@omegatheo 6 жыл бұрын
What you have just computed is the beta for weekly returns. How do you compute it for monthly, quarterly , semi-annually or yearly returns when you have weekly data?
@Raleon96
@Raleon96 4 жыл бұрын
just download different data lol
@sudeepmahato1131
@sudeepmahato1131 9 жыл бұрын
Awesome...thank u very much for sharing the video..
@grenillle0009
@grenillle0009 11 жыл бұрын
Thank you very much for your video....it solved a lot of my queries
@dhanushgowda7269
@dhanushgowda7269 3 жыл бұрын
Very much useful sir. Thank you🙏🙏🙏
@shrutijain1998
@shrutijain1998 2 жыл бұрын
how did you calculate the returns? i mean what is that formula used? it is similar to calculating CAGR. Can you please explain why you used that formula?
@Nader95
@Nader95 2 жыл бұрын
shouldn't you take the log return?
@XXTimayoXX
@XXTimayoXX 10 жыл бұрын
hello first of all i want to thank you for this video my question is : in order to calculate the return why you have to (-1) ? thank you
@vichare1maratha
@vichare1maratha 10 жыл бұрын
Hi, to calculate return ...original formula is ( latest price - previous price) / previous price. when presenter has used latest price/previous price - 1 ..it means the same if you solve this equation cross multiply and bring common denominator.
@simfinso858
@simfinso858 6 жыл бұрын
Shortcut for percentage calculations
@gualan1642
@gualan1642 10 жыл бұрын
yes, the slope function is easier to undertand, i still dont under the covariance , but thank you so much
@VariableYoung
@VariableYoung 10 жыл бұрын
Thank U very Much!!! My question is what is the difference between Beta & Sharp Ration?
@hoangyennguyen7133
@hoangyennguyen7133 3 жыл бұрын
Very useful. Thank you very much
@jameslam1318
@jameslam1318 8 жыл бұрын
thank you very much sir
@JoshMolina
@JoshMolina 8 жыл бұрын
Great explanation! Thank you.
@MrFuckwolfs
@MrFuckwolfs 6 жыл бұрын
Thank you very much! You are a great teacher))
@23Firejet
@23Firejet 8 жыл бұрын
Hey just a short question since im new to this, what is the reason again for using 2 stock companies for computation?
@Kopities
@Kopities 4 ай бұрын
Beta is to see if the stock of the company you are valuing moves with the stock trading trends. in this case, amazon is the stock that you are valuing, and the reference point to compare to the stock trending is the S&P 500.
@theicymistybreeze
@theicymistybreeze 10 жыл бұрын
Very informative and helpful. Thank you very much!! :)
@JK-pm7qw
@JK-pm7qw 10 жыл бұрын
very clearly explained! thanks.
@paulgiles9637
@paulgiles9637 10 жыл бұрын
thanks for this; do you need to involve a risk-free rate?
@ritadawoud9549
@ritadawoud9549 4 жыл бұрын
Thank you so much, very helpful :)
@karlweber682
@karlweber682 11 жыл бұрын
Great video! Thanks.
@uroojfatima763
@uroojfatima763 3 жыл бұрын
Really clear
@yamelyscollura6393
@yamelyscollura6393 5 жыл бұрын
Hi, How about if you are asked to find the stock beta for just S&P 500. How would you do this?
@tonydacunto8713
@tonydacunto8713 4 жыл бұрын
Thank you, that was just perfect!
@MyCrystalxx
@MyCrystalxx 11 жыл бұрын
Thank you so much, but i am just wondering what is the best time period we need to chose for calculate beta, is that 10 years?
@MsMegasharon
@MsMegasharon 11 жыл бұрын
I should say better than others since was in detail. non of the other videos start from how to get s&p 500. thankssss
@mbminhas08
@mbminhas08 8 жыл бұрын
my beta is coming as 20, is that right? I followed your steps, but I feel the beta is not accurate.
@MoleCoolOfficial
@MoleCoolOfficial 10 жыл бұрын
This video help me out, thank you so much! :D
@Jevuify
@Jevuify 3 жыл бұрын
Very helpful
@SIVANAND1000
@SIVANAND1000 9 жыл бұрын
thank you.... really useful
@axellibero
@axellibero 11 жыл бұрын
really well-explained and useful, thanks!!
@srishtykapoor3941
@srishtykapoor3941 6 жыл бұрын
For example if we need to find out beta as for today, can we use the date from like 1997 till 2018? Won’t this reduce our standard errors??
@justinkinzer2274
@justinkinzer2274 7 жыл бұрын
Thanks! Clear and helpful!
@MsMegasharon
@MsMegasharon 11 жыл бұрын
thanks. very useful for me that i have to do my project.
@kimnorth7060
@kimnorth7060 11 жыл бұрын
can i use returns as percentages from one close to another rather than as fractions in this formula?
@lishan6023
@lishan6023 10 жыл бұрын
Thanks a lot ,very useful
@Kig_Ama
@Kig_Ama 4 жыл бұрын
why s&p 500 and not russell 3000?
@alihamza-tt3uu
@alihamza-tt3uu 3 жыл бұрын
My return are not in percetage after calculation
@aleshiababbe8302
@aleshiababbe8302 10 жыл бұрын
Great tutorial!
@kelseelee5196
@kelseelee5196 10 жыл бұрын
Very helpful! Thanks!
@kimnorth7060
@kimnorth7060 11 жыл бұрын
thanks Kim, How about expected return? How would you calculate that? I want to determine whether a security is overpriced or not
@safiya7693
@safiya7693 10 жыл бұрын
hi, if i need to find the required rate of return on a ftse 350 company of my choice, so i use the s&p 500 historical prices on yahoo like you did or do I use the ftse 350 historical prices? thanks!
@oneemajena6542
@oneemajena6542 9 жыл бұрын
Really Helpful.. Thank you
@Grace-en9zu
@Grace-en9zu 2 жыл бұрын
Thanks a lot!
@kakradexter1
@kakradexter1 11 жыл бұрын
is the S & P 500 prices the average prices of all the stock that make up the S & P 500?
@rhui8136
@rhui8136 7 ай бұрын
Thank you very much!!
@Sosojuju
@Sosojuju 3 жыл бұрын
Thank you so much
@kimnorth7060
@kimnorth7060 11 жыл бұрын
thanks! So in short my method was wrong?
@arvindananthakrishnan3139
@arvindananthakrishnan3139 9 жыл бұрын
Awesome...thanks for the help...
@kimnorth7060
@kimnorth7060 11 жыл бұрын
i have a question, can i use the following formula to calculate the returns : 100 - ((previousPrice/currentPrice) * 100) ?
@molemomatsunyane2868
@molemomatsunyane2868 11 жыл бұрын
slight error made in return formulae, =(p1-p0)/p0 and not (p0-p1)/p1=(p0/p1)-1
@MultiSaachin
@MultiSaachin 5 жыл бұрын
How to find a stock which is giving me max return in which month and in which year consistent where i have 20 years of data .... can some one help me out ....
@js-hk6xs
@js-hk6xs 7 жыл бұрын
when i divide c3/c4 i get a red c4 telling me its a error why is this?
@aiyanagayle
@aiyanagayle 5 жыл бұрын
@2:55 how are you selecting the array from the cell you are on?
@sharmisthadeysarkar2976
@sharmisthadeysarkar2976 Жыл бұрын
Helped 😊
@yuhaoyang2830
@yuhaoyang2830 6 жыл бұрын
May I ask why you didn't use the excess return to calculate beta? My lecturer taught us to calculate the beta based upon the excess return rather than return.
@sherip008
@sherip008 3 жыл бұрын
they'll be the same
@abhi361degree8
@abhi361degree8 6 жыл бұрын
Thank you for your Information
@fadjarutomo2850
@fadjarutomo2850 5 жыл бұрын
thank you for this video
@arnoldrajiv83
@arnoldrajiv83 9 жыл бұрын
Why did you take S&P share prices? What prices should be taken for Indian companies?
@arvindananthakrishnan3139
@arvindananthakrishnan3139 9 жыл бұрын
Probably Nifty Weekly or Sensex Weekly or any benchmark... the weekly or daily depends on whether u've taken monthly or weekly for the individual stock as both should be same.
@salsa4umoudrik141
@salsa4umoudrik141 6 жыл бұрын
hi, I would like to know where to find the beta caracter in excel please?
@MrDeepu1992
@MrDeepu1992 10 жыл бұрын
Thank you very much!
@T4ss3
@T4ss3 11 жыл бұрын
Hello sir, When I download VESTAS' stock history data, I receive it in Danish currency. I want to know whether you can download it in euros? Also the S&P 500 is in $. I am interested in getting it in euros too.. do you know a website where I can download it that currency? And yea finally when I downloaded the sheet from yahoo finance, all the data was in the same column, so I had to separate it all manually, do you know the reason for why that happens? Look forward to hear from you, thx! :)
@anjo6053
@anjo6053 9 жыл бұрын
do i need to minus risk free rate???
@kimnorth7060
@kimnorth7060 11 жыл бұрын
Thanks Robert, it turned out that the shares did not start trading until a later date, using the example above if amazon had less days worth of closing prices and i was using linear regression slope to calculate the beta, from my understanding both x and y for the calculation of a slope must be of equal size. In my scenario would if be valid if i used the smallest size to calculate the slope?
@hussainmani9439
@hussainmani9439 7 жыл бұрын
Excellent sir
@ifortesidaja8421
@ifortesidaja8421 9 жыл бұрын
Great video man, My question is. Is the "Excess Returns for Market Portfolio" the same as "Returns"
@amangarg9727
@amangarg9727 6 жыл бұрын
no. they are different
@Sashajoon
@Sashajoon 11 жыл бұрын
Is this the asset beta or the equity beta?
@rautsaurabh9
@rautsaurabh9 6 жыл бұрын
Is this levered beta or un-levered beta?
@zubairmalik6902
@zubairmalik6902 3 жыл бұрын
How to do manual...?
@valuablememories5603
@valuablememories5603 4 жыл бұрын
=B2/B3-1 it says Value error! I tried on different sheets I know it says value cause the answer is negative ( etc -2.96 %). Instead of giving me the answer in % it just says Value! What should I do, please help?
@MrTexaz101
@MrTexaz101 3 жыл бұрын
hand type the number in the cell and see if that helps
@Rshushowpe
@Rshushowpe 2 жыл бұрын
thank you!
@hussainmani9439
@hussainmani9439 7 жыл бұрын
how to calculate equity risk premium
@12milliex12
@12milliex12 6 жыл бұрын
can you have a negative beta?
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