Calcupedia

Stock Beta Calculator

Investing & Markets

Calculate a stocks beta from four periods of asset and market returns, measuring how much the stock moves relative to the overall market.

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Stock Beta

2.0000

Covariance of the stock and market returns divided by the variance of the market returns.

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Odeh Ahwal

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Odeh Ahwal
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Frequently Asked Questions

What does a beta of 2 mean?

A beta of 2 means the stock has historically moved twice as much as the overall market in the same direction. A beta above 1 signals higher volatility than the market; below 1 signals lower volatility.

How many return periods should I use?

This calculator uses four paired return periods for a simplified estimate. Professional analysts typically use 36 to 60 months of historical returns for a more statistically reliable beta.

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