Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. As of today (2026-06-27), Nexteer Automotive Group's Beta is 2.9221.
Nexteer Automotive Group (FRA:8NX) 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)
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Auto Parts subindustry, Nexteer Automotive Group'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.
Nexteer Automotive Group Beta vs Vehicles & Parts Industry
For the Vehicles & Parts industry and Consumer Cyclical sector, Nexteer Automotive Group's Beta distribution charts can be found below:
* The bar in red indicates where Nexteer Automotive Group's Beta falls into.
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.
Nexteer Automotive Group (FRA:8NX) has a Beta of 2.9221 as of Jun. 27, 2026. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Nexteer Automotive Group and its competitors.
Is Nexteer Automotive Group's Beta too high?
Nexteer Automotive Group's current Beta is 2.9221. Overall, Nexteer Automotive Group has a GF Score™ of 59/100 and is considered Modestly Undervalued, reflecting its overall financial health beyond just this single metric.
How does Nexteer Automotive Group's Beta compare to ORLY and AZO?
Nexteer Automotive Group's Beta of 2.9221 can be compared against companies in the Vehicles & Parts industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Beta for a Vehicles & Parts company?
A good Beta depends on the Vehicles & Parts industry context. However, Beta should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Beta mean?
A high Beta can signal that a stock is expensive relative to its fundamentals. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Nexteer Automotive Group and its competitors. Nexteer Automotive Group's current Beta is 2.9221. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Nexteer Automotive Group stock overvalued right now?
Based on GuruFocus' analysis, Nexteer Automotive Group (FRA:8NX) is currently considered Modestly Undervalued. The stock's GF Value™ is €0.56, compared to a current price of €0.41 — trading 26.1% below its estimated fair value. The current Beta is 2.9221. Nexteer Automotive Group's overall GF Score™ is 59/100 with 4 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Beta calculated?
Beta is calculated from a company's financial statements. For Nexteer Automotive Group (FRA:8NX), the current Beta is 2.9221 as of Jun. 27, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Nexteer Automotive Group (FRA:8NX) Overvalued in 2026?
Based on GuruFocus' analysis, Nexteer Automotive Group stock appears to be undervalued.
The current stock price of €0.41 is trading 26.1% below its estimated GF Value™ of €0.56.
GuruFocus considers Nexteer Automotive Group to be Modestly Undervalued.
Key valuation signals for FRA:8NX:
Beta: 2.9221
GF Value™: €0.56 vs. price of €0.41 (26.1% below fair value)
No single metric tells the full story. See the FRA:8NX stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Nexteer Automotive Group Ltd offers steering and driveline systems. The company designs, manufactures, and distributes steering and driveline systems and components, mainly for automotive OEMs. It continues to develop braking technology that will be instrumental to the software-defined chassis. The company's customers are automakers like BMW, Fiat Chrysler, Ford, GM, and Toyota, as well as automakers in India, South America, and China. The Group classifies its businesses into three reportable segments: North America, Asia Pacific, and Europe, the Middle East, Africa, and South America (EMEASA). All of the Group's operating segments typically offer the same steering and driveline products; the majority are derived from North America.
59GF Score
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