Correlation Between GEN Restaurant and NETAPP
Specify exactly 2 symbols:
By analyzing existing cross correlation between GEN Restaurant Group, and NETAPP INC, you can compare the effects of market volatilities on GEN Restaurant and NETAPP 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 NETAPP. Check out your portfolio center. Please also check ongoing floating volatility patterns of GEN Restaurant and NETAPP.
Diversification Opportunities for GEN Restaurant and NETAPP
0.31 | Correlation Coefficient |
Weak diversification
The 3 months correlation between GEN and NETAPP is 0.31. Overlapping area represents the amount of risk that can be diversified away by holding GEN Restaurant Group, and NETAPP INC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on NETAPP INC 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 NETAPP. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NETAPP INC has no effect on the direction of GEN Restaurant i.e., GEN Restaurant and NETAPP go up and down completely randomly.
Pair Corralation between GEN Restaurant and NETAPP
Given the investment horizon of 90 days GEN Restaurant Group, is expected to generate 3.52 times more return on investment than NETAPP. However, GEN Restaurant is 3.52 times more volatile than NETAPP INC. It trades about -0.04 of its potential returns per unit of risk. NETAPP INC is currently generating about -0.2 per unit of risk. If you would invest 892.00 in GEN Restaurant Group, on August 30, 2024 and sell it today you would lose (70.00) from holding GEN Restaurant Group, or give up 7.85% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 95.65% |
| Values | Daily Returns |
GEN Restaurant Group, vs. NETAPP INC
Performance |
| Timeline |
| GEN Restaurant Group, |
| NETAPP INC |
GEN Restaurant and NETAPP Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with GEN Restaurant and NETAPP
The main advantage of trading using opposite GEN Restaurant and NETAPP positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if GEN Restaurant position performs unexpectedly, NETAPP 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 NETAPP will offset losses from the drop in NETAPP's long position.| GEN Restaurant vs. Allient | GEN Restaurant vs. NioCorp Developments Ltd | GEN Restaurant vs. Nextplat Corp | GEN Restaurant vs. Asure Software |
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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.
Other Complementary Tools
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Portfolio Suggestion Get suggestions outside of your existing asset allocation including your own model portfolios | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences |