Diamond Offshore Correlations

Summary

The current 90-days correlation between Diamond Offshore Drilling and Seadrill Limited is 0.02 (i.e., Significant diversification). A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Diamond Offshore moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Diamond Offshore Drilling moves in either direction, the perfectly negatively correlated security will move in the opposite direction.

Diamond Offshore Correlation With Market

Good diversification

The correlation between Diamond Offshore Drilling and DJI is -0.06 (i.e., Good diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Diamond Offshore Drilling and DJI in the same portfolio, assuming nothing else is changed.

Check out Investing Opportunities to better understand how to build diversified portfolios. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in persons.

Moving against Diamond Stock

0.6	CMWCF	Cromwell Property	Pair Corr
0.43	MMM	3M Company	Pair Corr

Related Correlations Analysis

	SDRL	NBR	BORR	PTEN	NE	RIG	ICD	HP	PDS
SDRL		0.8	0.39	0.1	0.51	0.85	0.39	0.46	0.47	SDRL
NBR	0.8		0.5	0.14	0.6	0.91	0.35	0.66	0.45	NBR
BORR	0.39	0.5		-0.2	-0.07	0.4	0.48	-0.08	-0.01	BORR
PTEN	0.1	0.14	-0.2		0.63	0.27	-0.67	0.59	0.79	PTEN
NE	0.51	0.6	-0.07	0.63		0.67	-0.31	0.87	0.77	NE
RIG	0.85	0.91	0.4	0.27	0.67		0.14	0.64	0.6	RIG
ICD	0.39	0.35	0.48	-0.67	-0.31	0.14		-0.2	-0.43	ICD
HP	0.46	0.66	-0.08	0.59	0.87	0.64	-0.2		0.64	HP
PDS	0.47	0.45	-0.01	0.79	0.77	0.6	-0.43	0.64		PDS
	SDRL	NBR	BORR	PTEN	NE	RIG	ICD	HP	PDS

Click cells to compare fundamentals

Check Volatility

Backtest Portfolio

Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.

High positive correlations

RIG	+ 0.91	NBR
HP	+ 0.87	NE
RIG	+ 0.85	SDRL
NBR	+ 0.8	SDRL
PDS	+ 0.79	PTEN
PDS	+ 0.77	NE

High negative correlations

ICD	- 0.67	PTEN
PDS	- 0.43	ICD
ICD	- 0.31	NE
HP	- 0.2	ICD
PTEN	- 0.2	BORR
HP	- 0.08	BORR

Risk-Adjusted Indicators

There is a big difference between Diamond Stock performing well and Diamond Offshore Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Diamond Offshore's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.

	Mean Deviation	Jensen Alpha	Sortino Ratio	Treynor Ratio	Semi Deviation	Expected Shortfall	Potential Upside	Value @Risk	Maximum Drawdown
SDRL	1.72	(0.09)	0.00	(0.36)	0.00	0.00	3.83	(3.21)	10.53
NBR	2.39	(0.39)	0.00	(0.33)	0.00	0.00	5.98	(4.61)	13.26
BORR	2.77	(0.40)	0.00	1.68	0.00	0.00	4.84	(5.93)	16.41
PTEN	2.06	0.05	0.00	0.22	2.34	(2.37)	4.25	(3.29)	18.37
NE	1.64	0.01	(0.01)	0.12	1.89	(1.82)	3.29	(3.10)	15.43
RIG	2.28	(0.08)	0.00	(0.09)	0.00	0.00	5.16	(4.09)	14.43
ICD	5.03	(1.44)	0.00	2.66	0.00	0.00	9.84	(9.86)	55.90
HP	1.67	(0.07)	0.00	(0.03)	0.00	0.00	3.50	(2.86)	12.16
PDS	1.80	0.06	(0.01)	3.61	2.07	(1.87)	3.53	(3.24)	11.68

Diamond Offshore Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Diamond Offshore stock to make a market-neutral strategy. Peer analysis of Diamond Offshore could also be used in its relative valuation, which is a method of valuing Diamond Offshore by comparing valuation metrics with similar companies.

Seadrill Limited Nabors Industries Borr Drilling Patterson UTI Energy Noble plc Transocean Independence Contract Drilling Helmerich and Payne Precision Drilling American Airlines Group Alcoa Corp Apple Inc Best Buy Co Citigroup SentinelOne

Risk & Return

Correlation

Diamond Offshore Corporate Management

Terence Waldorf	Deputy VP	Profile
Kane Liddelow	Vice Marketing	Profile
Kevin Bordosky	Senior Relations	Profile
Samir Ali	IR Contact Officer	Profile
Karl Sellers	Senior Services	Profile

Still Interested in Diamond Offshore Drilling?

Investing in delisted delisted stocks can be risky, as the stock is no longer traded on a public exchange and can therefore be difficult to sell. Delisting typically occurs when a company has failed to meet exchange requirements or has been acquired. Before investing, it's important to thoroughly research the company, including its financial health and prospects for the future, as well as the reasons for its delisting. Additionally, it may be difficult to find accurate and up-to-date information on the company and its stock.

Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions

Feedback Blog

Made with optimal in San Francisco

2024 Macroaxis LLC