Learn / Fundamentals / Risk & size / Beta
Expected stock move ≈ Beta × Market move
Beta estimates how hard a stock usually moves when the whole market moves. It is not a measure of whether the company can collapse on its own.
01 Feel it first
Pick Defensive, Market, or Aggressive — then click Market drops 10%. Watch how far this stock falls compared with the market.
02 Break the intuition
Beta is co-movement with the market, not company-specific danger. Low-beta names can still go to zero on bad news.
03 Feel the beta
Pick a beta preset, then tap Market +10% or Market −10%. Watch how far the stock swings versus the market.
Pick a beta, then tap Market +10% or Market −10%.
04 Watch the path
Same market crash and rebound. Defensive and aggressive stocks take very different paths.
Illustrative path through a market drop and recovery.
Pick a path, then press Play to watch the years fill in.
05 Two flavors
Same idea — adjusted beta pulls extreme numbers toward the market average of 1.0.
06 Sector sketch
Utilities tend lower; tech tends higher. Always check the specific stock.
07 Check yourself
08 Where it breaks
Beta measured in a calm bull market can look nothing like beta in a crash. Past co-movement is not a promise.
Beta versus the S&P is not the same as beta versus a local or sector index. Know the benchmark.
Borrowing can change beta without changing the day-to-day business. A recap can rewrite the number.
Beta is about moving with the market. It does not measure liquidity risk, fraud risk, or how far a stock can fall on its own news.
Open any ticker for risk context beside valuation — then compare peers before you call something “safe.”
Click the market drop to see how hard this stock swings.