Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. As of today (2026-06-25), Close Brothers Group's Beta is 3.1617.
Close Brothers Group (LSE:CBG) 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 Banks - Regional subindustry, Close Brothers 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.
Close Brothers Group Beta vs Banks Industry
For the Banks industry and Financial Services sector, Close Brothers Group's Beta distribution charts can be found below:
* The bar in red indicates where Close Brothers 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.
Close Brothers Group (LSE:CBG) has a Beta of 3.1617 as of Jun. 25, 2026. Beta is the sensitivity of the expected excess asset returns to the expected excess market returns. View historical data for Close Brothers Group and its competitors.
Is Close Brothers Group's Beta too high?
Close Brothers Group's current Beta is 3.1617. Overall, Close Brothers Group has a GF Score™ of 58/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Close Brothers Group's Beta compare to PNC?
Close Brothers Group's Beta of 3.1617 can be compared against companies in the Banks 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 Banks company?
A good Beta depends on the Banks 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 Close Brothers Group and its competitors. Close Brothers Group's current Beta is 3.1617. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Close Brothers Group stock overvalued right now?
Based on GuruFocus' analysis, Close Brothers Group (LSE:CBG) is currently considered Modestly Overvalued. The stock's GF Value™ is £3.65, compared to a current price of £4.46 — trading 22.1% above its estimated fair value. The current Beta is 3.1617. Close Brothers Group's overall GF Score™ is 58/100 with 2 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 Close Brothers Group (LSE:CBG), the current Beta is 3.1617 as of Jun. 25, 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 Close Brothers Group (LSE:CBG) Overvalued in 2026?
Based on GuruFocus' analysis, Close Brothers Group stock appears to be overvalued.
The current stock price of £4.46 is trading 22.1% above its estimated GF Value™ of £3.65.
GuruFocus considers Close Brothers Group to be Modestly Overvalued.
Key valuation signals for LSE:CBG:
Beta: 3.1617
GF Value™: £3.65 vs. price of £4.46 (22.1% above fair value)
No single metric tells the full story. See the LSE:CBG stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Close Brothers Group PLC is a banking group that provides lending, deposit-taking, and securities trading services. The group mostly offers services to small businesses and individuals in the United Kingdom. Its operating segments are: Commercial, Retail, and Property. Maximum revenue is generated from its Commercial segment, which mainly offers specialist and predominantly secured lending principally to the SME market. The Retail segment provides intermediated finance through motor dealers, motor finance brokers, and insurance brokers, and savings products for individuals and corporates; and the Property segment offers residential development finance to established UK property developers, funding for commercial properties, and bridging and refurbishment loans.
58GF Score
Get the complete analysis for LSE:CBG
Beta is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.
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