AMZN has a beta of .37 does this make sense

Discussion in 'Stocks' started by WhiteOut56, Dec 20, 2011.

  1. I thought beta was... defined as such

    If a stock has a beta of 2
    If the mkt goes up 1%, the stock will go up 2%


    according to yahoo... amzn has a beta of .37.


    Anyone have any idea as to why this is such?
     
  2. it does sound Low,
    without looking up anything

    on the other hand,
    the market is up 3% today, and AMZN is only up 2% tops

    marc
     
  3. JamesL

    JamesL

  4. bloombrg has a beta of 1.307 and adj beta of 1.2

    2 year weekly data.

    that makes the most sense.
     
  5. CNBC has it having a beta of 1.02
     
  6. LEAPup

    LEAPup

    You fellas still using one of them old beta max machines?


    :D
     
  7. Check what lookback Yahoo is using. If you want to bother, you could back it out by iterating thru, X days, X+1 days... till you find the beta they show.

    On 10/26, AMZN fell ~$30 while SPY was up ~$1.25. A monster datapoint like that will heavily influence a regression, especially on a short lookback.