def alpha_aligned(returns,
                  factor_returns,
                  risk_free=0.0,
                  period=DAILY,
                  annualization=None,
                  out=None,
                  _beta=None):
    """Calculates annualized alpha.

    If they are pd.Series, expects returns and factor_returns have already
    been aligned on their labels.  If np.ndarray, these arguments should have
    the same shape.

    Parameters
    ----------
    returns : pd.Series or np.ndarray
        Daily returns of the strategy, noncumulative.
        - See full explanation in :func:`~empyrical.stats.cum_returns`.
    factor_returns : pd.Series or np.ndarray
        Daily noncumulative returns of the factor to which beta is
        computed. Usually a benchmark such as the market.
        - This is in the same style as returns.
    risk_free : int, float, optional
        Constant risk-free return throughout the period. For example, the
        interest rate on a three month us treasury bill.
    period : str, optional
        Defines the periodicity of the 'returns' data for purposes of
        annualizing. Value ignored if `annualization` parameter is specified.
        Defaults are::

            'monthly':12
            'weekly': 52
            'daily': 252

    annualization : int, optional
        Used to suppress default values available in `period` to convert
        returns into annual returns. Value should be the annual frequency of
        `returns`.
        - See full explanation in :func:`~empyrical.stats.annual_return`.
    _beta : float, optional
        The beta for the given inputs, if already known. Will be calculated
        internally if not provided.
    out : array-like, optional
        Array to use as output buffer.
        If not passed, a new array will be created.

    Returns
    -------
    alpha : float
    """
    allocated_output = out is None
    if allocated_output:
        out = np.empty(returns.shape[1:], dtype='float64')

    if len(returns) < 2:
        out[()] = np.nan
        if returns.ndim == 1:
            out = out.item()
        return out

    ann_factor = annualization_factor(period, annualization)

    if _beta is None:
        _beta = beta_aligned(returns, factor_returns, risk_free)

    adj_returns = _adjust_returns(returns, risk_free)
    adj_factor_returns = _adjust_returns(factor_returns, risk_free)
    alpha_series = adj_returns - (_beta * adj_factor_returns)

    out = np.multiply(
        nanmean(alpha_series, axis=0, out=out),
        ann_factor,
        out=out,
    )

    if allocated_output and isinstance(returns, pd.DataFrame):
        out = pd.Series(out)

    if returns.ndim == 1:
        out = out.item()

    return out
Calculates annualized alpha.

    If they are pd.Series, expects returns and factor_returns have already
    been aligned on their labels.  If np.ndarray, these arguments should have
    the same shape.

    Parameters
    ----------
    returns : pd.Series or np.ndarray
        Daily returns of the strategy, noncumulative.
        - See full explanation in :func:`~empyrical.stats.cum_returns`.
    factor_returns : pd.Series or np.ndarray
        Daily noncumulative returns of the factor to which beta is
        computed. Usually a benchmark such as the market.
        - This is in the same style as returns.
    risk_free : int, float, optional
        Constant risk-free return throughout the period. For example, the
        interest rate on a three month us treasury bill.
    period : str, optional
        Defines the periodicity of the 'returns' data for purposes of
        annualizing. Value ignored if `annualization` parameter is specified.
        Defaults are::

            'monthly':12
            'weekly': 52
            'daily': 252

    annualization : int, optional
        Used to suppress default values available in `period` to convert
        returns into annual returns. Value should be the annual frequency of
        `returns`.
        - See full explanation in :func:`~empyrical.stats.annual_return`.
    _beta : float, optional
        The beta for the given inputs, if already known. Will be calculated
        internally if not provided.
    out : array-like, optional
        Array to use as output buffer.
        If not passed, a new array will be created.

    Returns
    -------
    alpha : float