Beta

Beta measures how sharply a stock has tended to move compared with the broad market: a beta of 1 moves roughly in line with it, above 1 means bigger swings in both directions, and below 1 means steadier. It’s a gauge of past volatility relative to the market, not a forecast of returns. Market Lens uses beta two ways — in the CAPM cost of equity behind its DCF, and in its portfolio analytics to show how a portfolio moves versus the S&P 500.