Correlation Between Casella Waste and Peak Bancorp
Can any of the company-specific risk be diversified away by investing in both Casella Waste and Peak Bancorp 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 Casella Waste and Peak Bancorp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Casella Waste Systems and Peak Bancorp, you can compare the effects of market volatilities on Casella Waste and Peak Bancorp 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 Casella Waste with a short position of Peak Bancorp. Check out your portfolio center. Please also check ongoing floating volatility patterns of Casella Waste and Peak Bancorp.
Diversification Opportunities for Casella Waste and Peak Bancorp
-0.42 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Casella and Peak is -0.42. Overlapping area represents the amount of risk that can be diversified away by holding Casella Waste Systems and Peak Bancorp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Peak Bancorp and Casella Waste 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 Casella Waste Systems are associated (or correlated) with Peak Bancorp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Peak Bancorp has no effect on the direction of Casella Waste i.e., Casella Waste and Peak Bancorp go up and down completely randomly.
Pair Corralation between Casella Waste and Peak Bancorp
If you would invest 9,945 in Casella Waste Systems on September 4, 2024 and sell it today you would earn a total of 1,448 from holding Casella Waste Systems or generate 14.56% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Very Weak |
| Accuracy | 4.76% |
| Values | Daily Returns |
Casella Waste Systems vs. Peak Bancorp
Performance |
| Timeline |
| Casella Waste Systems |
| Peak Bancorp |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Casella Waste and Peak Bancorp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Casella Waste and Peak Bancorp
The main advantage of trading using opposite Casella Waste and Peak Bancorp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Casella Waste position performs unexpectedly, Peak Bancorp 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 Peak Bancorp will offset losses from the drop in Peak Bancorp's long position.| Casella Waste vs. Clean Harbors | Casella Waste vs. Montrose Environmental Grp | Casella Waste vs. Republic Services | Casella Waste vs. Waste Connections |
| Peak Bancorp vs. MVB Financial Corp | Peak Bancorp vs. Finward Bancorp | Peak Bancorp vs. First Community | Peak Bancorp vs. LINKBANCORP |
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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Financial Widgets Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data |