Correlation Between Barfresh Food and Seneca Foods
Can any of the company-specific risk be diversified away by investing in both Barfresh Food and Seneca Foods 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 Barfresh Food and Seneca Foods into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Barfresh Food Group and Seneca Foods Corp, you can compare the effects of market volatilities on Barfresh Food and Seneca Foods 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 Barfresh Food with a short position of Seneca Foods. Check out your portfolio center. Please also check ongoing floating volatility patterns of Barfresh Food and Seneca Foods.
Diversification Opportunities for Barfresh Food and Seneca Foods
-0.23 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Barfresh and Seneca is -0.23. Overlapping area represents the amount of risk that can be diversified away by holding Barfresh Food Group and Seneca Foods Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Seneca Foods Corp and Barfresh Food 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 Barfresh Food Group are associated (or correlated) with Seneca Foods. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Seneca Foods Corp has no effect on the direction of Barfresh Food i.e., Barfresh Food and Seneca Foods go up and down completely randomly.
Pair Corralation between Barfresh Food and Seneca Foods
Given the investment horizon of 90 days Barfresh Food Group is expected to generate 4.43 times more return on investment than Seneca Foods. However, Barfresh Food is 4.43 times more volatile than Seneca Foods Corp. It trades about 0.1 of its potential returns per unit of risk. Seneca Foods Corp is currently generating about 0.09 per unit of risk. If you would invest 163.00 in Barfresh Food Group on August 30, 2024 and sell it today you would earn a total of 131.00 from holding Barfresh Food Group or generate 80.37% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Barfresh Food Group vs. Seneca Foods Corp
Performance |
| Timeline |
| Barfresh Food Group |
| Seneca Foods Corp |
Barfresh Food and Seneca Foods Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Barfresh Food and Seneca Foods
The main advantage of trading using opposite Barfresh Food and Seneca Foods positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Barfresh Food position performs unexpectedly, Seneca Foods 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 Seneca Foods will offset losses from the drop in Seneca Foods' long position.| Barfresh Food vs. Hill Street Beverage | Barfresh Food vs. Vita Coco | Barfresh Food vs. Coca Cola Femsa SAB | Barfresh Food vs. Coca Cola European Partners |
| Seneca Foods vs. Central Garden Pet | Seneca Foods vs. Central Garden Pet | Seneca Foods vs. Natures Sunshine Products | Seneca Foods vs. Associated British Foods |
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.
Other Complementary Tools
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years |