Correlation Between Accel Entertainment and Astrana Health
Can any of the company-specific risk be diversified away by investing in both Accel Entertainment and Astrana Health at the same time? Although using a correlation coefficient on its own may not help to predict future stock returns, this module helps to understand the diversifiable risk of combining Accel Entertainment and Astrana Health into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Accel Entertainment and Astrana Health, you can compare the effects of market volatilities on Accel Entertainment and Astrana Health and check how they will diversify away market risk if combined in the same portfolio for a given time horizon. You can also utilize pair trading strategies of matching a long position in Accel Entertainment with a short position of Astrana Health. Check out your portfolio center. Please also check ongoing floating volatility patterns of Accel Entertainment and Astrana Health.
Diversification Opportunities for Accel Entertainment and Astrana Health
-0.41 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Accel and Astrana is -0.41. Overlapping area represents the amount of risk that can be diversified away by holding Accel Entertainment and Astrana Health in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Astrana Health and Accel Entertainment is a relative statistical measure of the degree to which these equity instruments tend to move together. The correlation coefficient measures the extent to which returns on Accel Entertainment are associated (or correlated) with Astrana Health. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Astrana Health has no effect on the direction of Accel Entertainment i.e., Accel Entertainment and Astrana Health go up and down completely randomly.
Pair Corralation between Accel Entertainment and Astrana Health
Given the investment horizon of 90 days Accel Entertainment is expected to generate 0.66 times more return on investment than Astrana Health. However, Accel Entertainment is 1.51 times less risky than Astrana Health. It trades about 0.06 of its potential returns per unit of risk. Astrana Health is currently generating about 0.03 per unit of risk. If you would invest 759.00 in Accel Entertainment on September 12, 2024 and sell it today you would earn a total of 436.00 from holding Accel Entertainment or generate 57.44% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Accel Entertainment vs. Astrana Health
Performance |
| Timeline |
| Accel Entertainment |
| Astrana Health |
Accel Entertainment and Astrana Health Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Accel Entertainment and Astrana Health
The main advantage of trading using opposite Accel Entertainment and Astrana Health positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Accel Entertainment position performs unexpectedly, Astrana Health can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Astrana Health will offset losses from the drop in Astrana Health's long position.| Accel Entertainment vs. Light Wonder | Accel Entertainment vs. Everi Holdings | Accel Entertainment vs. Inspired Entertainment | Accel Entertainment vs. International Game Technology |
| Astrana Health vs. Fresenius Medical Care | Astrana Health vs. Regional Health Properties | Astrana Health vs. Oncology Institute | Astrana Health vs. Guardian Pharmacy Services, |
Check out your portfolio center.Note that this page's information should be used as a complementary analysis to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Sync Your Broker module to sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors..
Other Complementary Tools
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm | |
| Commodity Channel Use Commodity Channel Index to analyze current equity momentum | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |