Risk decomposition
NFLX
Market → sector → subsector → α-residual · 2026-02-25 → 2026-08-17
Market
+2.8%
Sector
-10.3%
Subsector
+4.8%
α residual
-5.9%
Stock
-8.6%
Every position carries the market, its sector, and its subsector before any stock-specific move. The waterfall splits NFLX's realized return into those benchmark layers; the α residual is what the three hedge layers do not explain.
source: RiskModels — GET /ticker-returns?ticker=NFLX&years=1