SofTech (SofTech) Beta : -1.93 (As of May. 28, 2024)

SofTech Beta Chart

SofTech Annual Data
	Trend	May06	May07	May08	May09	May11	May12	May13	May14	May15	May16
Beta		Get a 7-Day Free Trial					0.36	0.02	0.98	2.93	1.57

SofTech Quarterly Data
	Feb12	May12	Aug12	Nov12	Feb13	May13	Aug13	Nov13	Feb14	May14	Aug14	Nov14	Feb15	May15	Aug15	Nov15	Feb16	May16	Aug16	Nov16
Beta	Get a 7-Day Free Trial															2.04	1.56	1.57	1.62	1.37

Competitive Comparison of SofTech's Beta

For the Software - Application subindustry, SofTech's Beta, along with its competitors' market caps and Beta data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

SofTech's Beta Distribution in the Software Industry

For the Software industry and Technology sector, SofTech's Beta distribution charts can be found below:

* The bar in red indicates where SofTech's Beta falls into.

SofTech Beta Calculation

Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. A stock's beta can be calculated by dividing the product of the covariance of the individual stock's returns and the market's returns by the variance of the market's returns over a specified period. Basically, GuruFocus uses the returns calculated over three-year period.

SofTech  (OTCPK:SOFT) Beta Explanation

Beta is a measure of the volatility, or systematic risk, of a security or a portfolio in comparison to the market as a whole. We usually compare beta to 1. A beta of 1 indicates that the security's price will move with the market. A beta of less than 1 means that the security will be less volatile than the market. A beta of greater than 1 indicates that the security's price will be more volatile than the market.

Beta is primarily used in the Capital Asset Pricing Model (CAPM) to calculate the Cost of Equity, which can be used in the calculation of WACC %. The formula of Cost of Equity is:
Cost of Equity = Risk-Free Rate of Return + Beta of Asset * (Expected Return of the Market - Risk-Free Rate of Return)

SofTech Beta Related Terms

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SofTech (SofTech) Business Description