Correlation Between GEN Restaurant and ENTERPRISE
Specify exactly 2 symbols:
By analyzing existing cross correlation between GEN Restaurant Group, and ENTERPRISE PRODS OPER, you can compare the effects of market volatilities on GEN Restaurant and ENTERPRISE 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 GEN Restaurant with a short position of ENTERPRISE. Check out your portfolio center. Please also check ongoing floating volatility patterns of GEN Restaurant and ENTERPRISE.
Diversification Opportunities for GEN Restaurant and ENTERPRISE
0.03 | Correlation Coefficient |
Significant diversification
The 3 months correlation between GEN and ENTERPRISE is 0.03. Overlapping area represents the amount of risk that can be diversified away by holding GEN Restaurant Group, and ENTERPRISE PRODS OPER in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ENTERPRISE PRODS OPER and GEN Restaurant 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 GEN Restaurant Group, are associated (or correlated) with ENTERPRISE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ENTERPRISE PRODS OPER has no effect on the direction of GEN Restaurant i.e., GEN Restaurant and ENTERPRISE go up and down completely randomly.
Pair Corralation between GEN Restaurant and ENTERPRISE
Given the investment horizon of 90 days GEN Restaurant Group, is expected to generate 1.11 times more return on investment than ENTERPRISE. However, GEN Restaurant is 1.11 times more volatile than ENTERPRISE PRODS OPER. It trades about 0.05 of its potential returns per unit of risk. ENTERPRISE PRODS OPER is currently generating about 0.04 per unit of risk. If you would invest 0.00 in GEN Restaurant Group, on September 3, 2024 and sell it today you would earn a total of 848.00 from holding GEN Restaurant Group, or generate 9.223372036854776E16% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 80.27% |
| Values | Daily Returns |
GEN Restaurant Group, vs. ENTERPRISE PRODS OPER
Performance |
| Timeline |
| GEN Restaurant Group, |
| ENTERPRISE PRODS OPER |
GEN Restaurant and ENTERPRISE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GEN Restaurant and ENTERPRISE
The main advantage of trading using opposite GEN Restaurant and ENTERPRISE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GEN Restaurant position performs unexpectedly, ENTERPRISE 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 ENTERPRISE will offset losses from the drop in ENTERPRISE's long position.| GEN Restaurant vs. SL Green Realty | GEN Restaurant vs. Haverty Furniture Companies | GEN Restaurant vs. FiscalNote Holdings | GEN Restaurant vs. Cadence Design Systems |
| ENTERPRISE vs. The Travelers Companies | ENTERPRISE vs. GE Aerospace | ENTERPRISE vs. Walmart | ENTERPRISE vs. Pfizer Inc |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
Other Complementary Tools
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |