Question: 1) Using the beta you calculated, explain how risky your stock is relative to the S&P500. 2) Compare the beta that you calculate with the
1) Using the beta you calculated, explain how risky your stock is relative to the S&P500.
2) Compare the beta that you calculate with the beta that is provided on the http://finance.yahoo.com website (or some alternative source) for your stock. If they differ, why do you think this might be the case?
| Date: | Adj. close DKS | Adj. close S&P500 | DKS_ret | S&P500_ret | |
| 9/1/11 | 31.06078 | 1131.420044 | |||
| 10/1/11 | 36.287106 | 1253.300049 | 0.168261261 | 0.107723039 | |
| 11/1/11 | 36.491306 | 1246.959961 | 0.005627343 | -0.005058715 | |
| 12/1/11 | 34.235565 | 1257.599976 | -0.061815847 | 0.008532764 | |
| 1/1/12 | 38.741913 | 1312.410034 | 0.13162768 | 0.043583062 | |
| 2/1/12 | 42.079296 | 1365.680054 | 0.086143991 | 0.040589464 | |
| 3/1/12 | 45.325798 | 1408.469971 | 0.077152004 | 0.031332315 | |
| 4/1/12 | 47.701424 | 1397.910034 | 0.052412227 | -0.007497453 | |
| 5/1/12 | 43.836288 | 1310.329956 | -0.081027686 | -0.062650726 | |
| 6/1/12 | 45.370098 | 1362.160034 | 0.034989505 | 0.039554982 | |
| 7/1/12 | 46.428726 | 1379.319946 | 0.023333165 | 0.012597574 | |
| 8/1/12 | 47.033646 | 1406.579956 | 0.013029003 | 0.01976337 | |
| 9/1/12 | 49.134003 | 1440.670044 | 0.044656478 | 0.024236154 | |
| 10/1/12 | 47.380917 | 1412.160034 | -0.03567969 | -0.01978941 | |
| 11/1/12 | 49.75943 | 1416.180054 | 0.050199809 | 0.002846717 | |
| 12/1/12 | 43.211727 | 1426.189941 | -0.131587179 | 0.00706823 | |
| 1/1/13 | 45.206562 | 1498.109985 | 0.046164204 | 0.050428097 | |
| 2/1/13 | 47.495861 | 1514.680054 | 0.050640856 | 0.011060649 | |
| 3/1/13 | 44.931087 | 1569.189941 | -0.053999947 | 0.035987724 | |
| 4/1/13 | 45.803364 | 1597.569946 | 0.019413663 | 0.018085768 | |
| 5/1/13 | 49.840919 | 1630.73999 | 0.088149748 | 0.020762812 | |
| 6/1/13 | 47.669796 | 1606.280029 | -0.043561055 | -0.014999302 | |
| 7/1/13 | 49.072304 | 1685.72998 | 0.029421313 | 0.04946208 | |
| 8/1/13 | 44.299656 | 1632.969971 | -0.097257467 | -0.031298019 | |
| 9/1/13 | 50.952721 | 1681.550049 | 0.15018322 | 0.029749523 | |
| 10/1/13 | 50.925976 | 1756.540039 | -0.000524898 | 0.044595753 | |
| 11/1/13 | 54.093899 | 1805.810059 | 0.062206427 | 0.028049472 | |
| 12/1/13 | 55.606075 | 1848.359985 | 0.02795465 | 0.023562792 | |
| 1/1/14 | 50.359894 | 1782.589966 | -0.094345465 | -0.035582906 | |
| 2/1/14 | 51.482197 | 1859.449951 | 0.022285651 | 0.04311703 | |
| 3/1/14 | 52.383884 | 1872.339966 | 0.01751454 | 0.006932166 | |
| 4/1/14 | 50.63073 | 1883.949951 | -0.033467431 | 0.006200789 | |
| 5/1/14 | 42.737106 | 1923.569946 | -0.155905791 | 0.02103028 | |
| 6/1/14 | 44.765793 | 1960.22998 | 0.047468984 | 0.019058332 | |
| 7/1/14 | 41.006618 | 1930.670044 | -0.083974275 | -0.015079831 | |
| 8/1/14 | 43.455639 | 2003.369995 | 0.059722579 | 0.037655295 | |
| 9/1/14 | 42.308262 | 1972.290039 | -0.026403409 | -0.015513837 | |
| 10/1/14 | 43.865776 | 2018.050049 | 0.036813472 | 0.023201461 | |
| 11/1/14 | 48.932045 | 2067.560059 | 0.115494799 | 0.024533589 | |
| 12/1/14 | 48.003872 | 2058.899902 | -0.018968612 | -0.004188588 | |
| 1/1/15 | 50.065811 | 1994.98999 | 0.042953598 | -0.031040806 | |
| 2/1/15 | 52.430965 | 2104.5 | 0.047240901 | 0.054892511 | |
| 3/1/15 | 55.242012 | 2067.889893 | 0.053614253 | -0.017396107 | |
| 4/1/15 | 52.724709 | 2085.51001 | -0.045568634 | 0.00852082 | |
| 5/1/15 | 52.199997 | 2107.389893 | -0.009951918 | 0.010491382 | |
| 6/1/15 | 50.305168 | 2063.110107 | -0.036299408 | -0.021011672 | |
| 7/1/15 | 49.665607 | 2103.840088 | -0.012713624 | 0.01974203 | |
| 8/1/15 | 48.837521 | 1972.180054 | -0.016673228 | -0.062580818 | |
| 9/1/15 | 48.330925 | 1920.030029 | -0.01037309 | -0.026442832 | |
| 10/1/15 | 43.518234 | 2079.360107 | -0.099577879 | 0.082983118 | |
| 11/1/15 | 38.126064 | 2080.409912 | -0.123905993 | 0.000504869 | |
| 12/1/15 | 34.531296 | 2043.939941 | -0.094286365 | -0.017530185 | |
| 1/1/16 | 38.312923 | 1940.23999 | 0.109513034 | -0.050735322 | |
| 2/1/16 | 41.636383 | 1932.22998 | 0.086745143 | -0.00412836 | |
| 3/1/16 | 45.832375 | 2059.73999 | 0.100777054 | 0.065991115 | |
| 4/1/16 | 45.584892 | 2065.300049 | -0.005399742 | 0.002699398 | |
| 5/1/16 | 42.200951 | 2096.949951 | -0.074233827 | 0.015324602 | |
| 6/1/16 | 44.325756 | 2098.860107 | 0.050349695 | 0.000910921 | |
| 7/1/16 | 50.632534 | 2173.600098 | 0.142282469 | 0.035609801 | |
| 8/1/16 | 57.848827 | 2170.949951 | 0.142522849 | -0.001219243 | |
| AVERAGE: | 0.013379036 | 0.011614029 | |||
| STDEVA: | 0.075321578 | 0.032327226 | |||
| SUMMARY OUTPUT | |||||
| Regression Statistics | |||||
| Multiple R | 0.367231419 | ||||
| R Square | 0.134858915 | ||||
| Adjusted R Square | 0.119681001 | ||||
| Standard Error | 0.070670709 | ||||
| Observations | 59 | ||||
| ANOVA | |||||
| df | SS | MS | F | Significance F | |
| Regression | 1 | 0.044375828 | 0.044375828 | 8.885207599 | 0.004221639 |
| Residual | 57 | 0.284677897 | 0.004994349 | ||
| Total | 58 | 0.329053725 | |||
| Coefficients | Standard Error | t Stat | P-value | Lower 95% | |
| Intercept | 0.003441614 | 0.00978592 | 0.35169042 | 0.726367272 | -0.016154352 |
| X Variable 1 | 0.855639451 | 0.287049643 | 2.980806535 | 0.004221639 | 0.280832456 |
| RESIDUAL OUTPUT | |||||
| Observation | Predicted Y | Residuals | |||
| 1 | 0.095613696 | 0.072647565 | |||
| 2 | -0.000886822 | 0.006514165 | |||
| 3 | 0.010742584 | -0.072558431 | |||
| 4 | 0.040733002 | 0.090894679 | |||
| 5 | 0.038171561 | 0.04797243 | |||
| 6 | 0.030250779 | 0.046901225 | |||
| 7 | -0.002973502 | 0.055385729 | |||
| 8 | -0.050164818 | -0.030862868 | |||
| 9 | 0.037286417 | -0.002296913 | |||
| 10 | 0.014220596 | 0.00911257 | |||
| 11 | 0.020351933 | -0.00732293 | |||
| 12 | 0.024179023 | 0.020477455 | |||
| 13 | -0.013490986 | -0.022188705 | |||
| 14 | 0.005877378 | 0.044322432 | |||
| 15 | 0.009489471 | -0.14107665 | |||
| 16 | 0.046589883 | -0.000425679 | |||
| 17 | 0.012905542 | 0.037735314 | |||
| 18 | 0.03423413 | -0.088234078 | |||
| 19 | 0.018916511 | 0.000497153 | |||
| 20 | 0.021207095 | 0.066942653 | |||
| 21 | -0.00939238 | -0.034168675 | |||
| 22 | 0.045763321 | -0.016342008 | |||
| 23 | -0.023338206 | -0.073919262 | |||
| 24 | 0.02889648 | 0.12128674 | |||
| 25 | 0.0415995 | -0.042124398 | |||
| 26 | 0.027441849 | 0.034764578 | |||
| 27 | 0.023602868 | 0.004351781 | |||
| 28 | -0.027004524 | -0.067340941 | |||
| 29 | 0.040334246 | -0.018048596 | |||
| 30 | 0.009373049 | 0.008141491 | |||
| 31 | 0.008747254 | -0.042214684 | |||
| 32 | 0.021435951 | -0.177341742 | |||
| 33 | 0.019748675 | 0.027720309 | |||
| 34 | -0.009461284 | -0.074512991 | |||
| 35 | 0.035660971 | 0.024061609 | |||
| 36 | -0.009832637 | -0.016570772 | |||
| 37 | 0.023293699 | 0.013519772 | |||
| 38 | 0.024433521 | 0.091061279 | |||
| 39 | -0.000142307 | -0.018826306 | |||
| 40 | -0.023118124 | 0.066071721 | |||
| 41 | 0.050409812 | -0.003168912 | |||
| 42 | -0.011443181 | 0.065057434 | |||
| 43 | 0.010732364 | -0.056300997 | |||
| 44 | 0.012418455 | -0.022370373 | |||
| 45 | -0.014536802 | -0.021762607 | |||
| 46 | 0.020333674 | -0.033047298 | |||
| 47 | -0.050105003 | 0.033431774 | |||
| 48 | -0.019183916 | 0.008810826 | |||
| 49 | 0.074445244 | -0.174023122 | |||
| 50 | 0.0038736 | -0.127779593 | |||
| 51 | -0.011557904 | -0.082728462 | |||
| 52 | -0.039969529 | 0.149482563 | |||
| 53 | -9.07738E-05 | 0.086835917 | |||
| 54 | 0.059906215 | 0.040870838 | |||
| 55 | 0.005751326 | -0.011151068 | |||
| 56 | 0.016553949 | -0.090787776 | |||
| 57 | 0.004221034 | 0.04612866 | |||
| 58 | 0.033910765 | 0.108371704 | |||
| 59 | 0.002398382 | 0.140124467 | |||
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