Correlation Between CyberArk Software and AM EAGLE

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both CyberArk Software and AM EAGLE 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 CyberArk Software and AM EAGLE into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CyberArk Software and AM EAGLE OUTFITTERS, you can compare the effects of market volatilities on CyberArk Software and AM EAGLE 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 CyberArk Software with a short position of AM EAGLE. Check out your portfolio center. Please also check ongoing floating volatility patterns of CyberArk Software and AM EAGLE.

Diversification Opportunities for CyberArk Software and AM EAGLE

-0.19
  Correlation Coefficient

Good diversification

The 3 months correlation between CyberArk and AFG is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding CyberArk Software and AM EAGLE OUTFITTERS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on AM EAGLE OUTFITTERS and CyberArk Software 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 CyberArk Software are associated (or correlated) with AM EAGLE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of AM EAGLE OUTFITTERS has no effect on the direction of CyberArk Software i.e., CyberArk Software and AM EAGLE go up and down completely randomly.

Pair Corralation between CyberArk Software and AM EAGLE

Assuming the 90 days trading horizon CyberArk Software is expected to generate 1.21 times more return on investment than AM EAGLE. However, CyberArk Software is 1.21 times more volatile than AM EAGLE OUTFITTERS. It trades about 0.24 of its potential returns per unit of risk. AM EAGLE OUTFITTERS is currently generating about 0.0 per unit of risk. If you would invest  25,450  in CyberArk Software on September 1, 2024 and sell it today you would earn a total of  4,580  from holding CyberArk Software or generate 18.0% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

CyberArk Software  vs.  AM EAGLE OUTFITTERS

 Performance 
       Timeline  
CyberArk Software 

Risk-Adjusted Performance

8 of 100

 
Weak
 
Strong
OK
Compared to the overall equity markets, risk-adjusted returns on investments in CyberArk Software are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively fragile basic indicators, CyberArk Software unveiled solid returns over the last few months and may actually be approaching a breakup point.
AM EAGLE OUTFITTERS 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days AM EAGLE OUTFITTERS has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable technical and fundamental indicators, AM EAGLE is not utilizing all of its potentials. The current stock price uproar, may contribute to short-horizon losses for the private investors.

CyberArk Software and AM EAGLE Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with CyberArk Software and AM EAGLE

The main advantage of trading using opposite CyberArk Software and AM EAGLE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CyberArk Software position performs unexpectedly, AM EAGLE 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 AM EAGLE will offset losses from the drop in AM EAGLE's long position.
CyberArk Software vs. Reliance Steel Aluminum
CyberArk Software vs. LEGACY IRON ORE
CyberArk Software vs. RELIANCE STEEL AL
CyberArk Software vs. NIPPON STEEL SPADR
The idea behind CyberArk Software and AM EAGLE OUTFITTERS 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.
AM EAGLE vs. AVITA Medical
AM EAGLE vs. EAT WELL INVESTMENT
AM EAGLE vs. Diamyd Medical AB
AM EAGLE vs. CompuGroup Medical SE
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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.

Other Complementary Tools

Money Managers
Screen money managers from public funds and ETFs managed around the world
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Portfolio Manager
State of the art Portfolio Manager to monitor and improve performance of your invested capital
Portfolio Backtesting
Avoid under-diversification and over-optimization by backtesting your portfolios
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas


 
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2024 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY