Correlation Between AMCON Distributing and 693304AW7
Specify exactly 2 symbols:
By analyzing existing cross correlation between AMCON Distributing and PECO ENERGY 39, you can compare the effects of market volatilities on AMCON Distributing and 693304AW7 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 AMCON Distributing with a short position of 693304AW7. Check out your portfolio center. Please also check ongoing floating volatility patterns of AMCON Distributing and 693304AW7.
Diversification Opportunities for AMCON Distributing and 693304AW7
0.29 | Correlation Coefficient |
Modest diversification
The 3 months correlation between AMCON and 693304AW7 is 0.29. Overlapping area represents the amount of risk that can be diversified away by holding AMCON Distributing and PECO ENERGY 39 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PECO ENERGY and AMCON Distributing 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 AMCON Distributing are associated (or correlated) with 693304AW7. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PECO ENERGY has no effect on the direction of AMCON Distributing i.e., AMCON Distributing and 693304AW7 go up and down completely randomly.
Pair Corralation between AMCON Distributing and 693304AW7
Considering the 90-day investment horizon AMCON Distributing is expected to under-perform the 693304AW7. But the stock apears to be less risky and, when comparing its historical volatility, AMCON Distributing is 26.87 times less risky than 693304AW7. The stock trades about 0.0 of its potential returns per unit of risk. The PECO ENERGY 39 is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest 8,674 in PECO ENERGY 39 on September 3, 2024 and sell it today you would lose (825.00) from holding PECO ENERGY 39 or give up 9.51% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 55.51% |
| Values | Daily Returns |
AMCON Distributing vs. PECO ENERGY 39
Performance |
| Timeline |
| AMCON Distributing |
| PECO ENERGY |
AMCON Distributing and 693304AW7 Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with AMCON Distributing and 693304AW7
The main advantage of trading using opposite AMCON Distributing and 693304AW7 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AMCON Distributing position performs unexpectedly, 693304AW7 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 693304AW7 will offset losses from the drop in 693304AW7's long position.| AMCON Distributing vs. The Chefs Warehouse | AMCON Distributing vs. G Willi Food International | AMCON Distributing vs. SpartanNash Co | AMCON Distributing vs. Calavo Growers |
| 693304AW7 vs. Bridgford Foods | 693304AW7 vs. SNDL Inc | 693304AW7 vs. Monster Beverage Corp | 693304AW7 vs. AMCON Distributing |
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 Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
Other Complementary Tools
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Performance Analysis Check effects of mean-variance optimization against your current asset allocation | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |