Correlation Between BioCardia and ImmuCell
Can any of the company-specific risk be diversified away by investing in both BioCardia and ImmuCell 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 BioCardia and ImmuCell into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between BioCardia and ImmuCell, you can compare the effects of market volatilities on BioCardia and ImmuCell 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 BioCardia with a short position of ImmuCell. Check out your portfolio center. Please also check ongoing floating volatility patterns of BioCardia and ImmuCell.
Diversification Opportunities for BioCardia and ImmuCell
Pay attention - limited upside
The 3 months correlation between BioCardia and ImmuCell is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding BioCardia and ImmuCell in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ImmuCell and BioCardia 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 BioCardia are associated (or correlated) with ImmuCell. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ImmuCell has no effect on the direction of BioCardia i.e., BioCardia and ImmuCell go up and down completely randomly.
Pair Corralation between BioCardia and ImmuCell
If you would invest 471.00 in ImmuCell on October 23, 2024 and sell it today you would earn a total of 79.00 from holding ImmuCell or generate 16.77% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
BioCardia vs. ImmuCell
Performance |
| Timeline |
| BioCardia |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| ImmuCell |
BioCardia and ImmuCell Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with BioCardia and ImmuCell
The main advantage of trading using opposite BioCardia and ImmuCell positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if BioCardia position performs unexpectedly, ImmuCell 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 ImmuCell will offset losses from the drop in ImmuCell's long position.The idea behind BioCardia and ImmuCell pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.| ImmuCell vs. Transgene SA | ImmuCell vs. Alpha Cognition | ImmuCell vs. Fennec Pharmaceuticals | ImmuCell vs. Lipella Pharmaceuticals Common |
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 Theme Ratings module to determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance.
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