Correlation Between Beasley Broadcast and Scienjoy Holding
Can any of the company-specific risk be diversified away by investing in both Beasley Broadcast and Scienjoy Holding 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 Beasley Broadcast and Scienjoy Holding into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Beasley Broadcast Group and Scienjoy Holding Corp, you can compare the effects of market volatilities on Beasley Broadcast and Scienjoy Holding 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 Beasley Broadcast with a short position of Scienjoy Holding. Check out your portfolio center. Please also check ongoing floating volatility patterns of Beasley Broadcast and Scienjoy Holding.
Diversification Opportunities for Beasley Broadcast and Scienjoy Holding
-0.04 | Correlation Coefficient |
Good diversification
The 3 months correlation between Beasley and Scienjoy is -0.04. Overlapping area represents the amount of risk that can be diversified away by holding Beasley Broadcast Group and Scienjoy Holding Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Scienjoy Holding Corp and Beasley Broadcast 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 Beasley Broadcast Group are associated (or correlated) with Scienjoy Holding. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Scienjoy Holding Corp has no effect on the direction of Beasley Broadcast i.e., Beasley Broadcast and Scienjoy Holding go up and down completely randomly.
Pair Corralation between Beasley Broadcast and Scienjoy Holding
Given the investment horizon of 90 days Beasley Broadcast Group is expected to under-perform the Scienjoy Holding. But the stock apears to be less risky and, when comparing its historical volatility, Beasley Broadcast Group is 1.05 times less risky than Scienjoy Holding. The stock trades about -0.07 of its potential returns per unit of risk. The Scienjoy Holding Corp is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 92.00 in Scienjoy Holding Corp on August 28, 2024 and sell it today you would earn a total of 4.00 from holding Scienjoy Holding Corp or generate 4.35% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Beasley Broadcast Group vs. Scienjoy Holding Corp
Performance |
| Timeline |
| Beasley Broadcast |
| Scienjoy Holding Corp |
Beasley Broadcast and Scienjoy Holding Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Beasley Broadcast and Scienjoy Holding
The main advantage of trading using opposite Beasley Broadcast and Scienjoy Holding positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Beasley Broadcast position performs unexpectedly, Scienjoy Holding 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 Scienjoy Holding will offset losses from the drop in Scienjoy Holding's long position.| Beasley Broadcast vs. ProSiebenSat1 Media AG | Beasley Broadcast vs. RTL Group SA | Beasley Broadcast vs. Mediaco Holding | Beasley Broadcast vs. iHeartMedia |
| Scienjoy Holding vs. ADTRAN Inc | Scienjoy Holding vs. Belden Inc | Scienjoy Holding vs. ADC Therapeutics SA | Scienjoy Holding vs. Comtech Telecommunications Corp |
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 Portfolio Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
Other Complementary Tools
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| AI Portfolio Architect Use AI to generate optimal portfolios and find profitable investment opportunities | |
| Money Flow Index Determine momentum by analyzing Money Flow Index and other technical indicators | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |