Correlation Between Hanesbrands and Qingdao Haier
Specify exactly 2 symbols:
By analyzing existing cross correlation between Hanesbrands and Qingdao Haier Biomedical, you can compare the effects of market volatilities on Hanesbrands and Qingdao Haier 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 Hanesbrands with a short position of Qingdao Haier. Check out your portfolio center. Please also check ongoing floating volatility patterns of Hanesbrands and Qingdao Haier.
Diversification Opportunities for Hanesbrands and Qingdao Haier
0.69 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Hanesbrands and Qingdao is 0.69. Overlapping area represents the amount of risk that can be diversified away by holding Hanesbrands and Qingdao Haier Biomedical in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Qingdao Haier Biomedical and Hanesbrands 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 Hanesbrands are associated (or correlated) with Qingdao Haier. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Qingdao Haier Biomedical has no effect on the direction of Hanesbrands i.e., Hanesbrands and Qingdao Haier go up and down completely randomly.
Pair Corralation between Hanesbrands and Qingdao Haier
Considering the 90-day investment horizon Hanesbrands is expected to generate 1.57 times more return on investment than Qingdao Haier. However, Hanesbrands is 1.57 times more volatile than Qingdao Haier Biomedical. It trades about 0.26 of its potential returns per unit of risk. Qingdao Haier Biomedical is currently generating about 0.13 per unit of risk. If you would invest 712.00 in Hanesbrands on September 4, 2024 and sell it today you would earn a total of 179.00 from holding Hanesbrands or generate 25.14% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.45% |
| Values | Daily Returns |
Hanesbrands vs. Qingdao Haier Biomedical
Performance |
| Timeline |
| Hanesbrands |
| Qingdao Haier Biomedical |
Hanesbrands and Qingdao Haier Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Hanesbrands and Qingdao Haier
The main advantage of trading using opposite Hanesbrands and Qingdao Haier positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Hanesbrands position performs unexpectedly, Qingdao Haier 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 Qingdao Haier will offset losses from the drop in Qingdao Haier's long position.| Hanesbrands vs. Ralph Lauren Corp | Hanesbrands vs. Levi Strauss Co | Hanesbrands vs. Under Armour C | Hanesbrands vs. PVH Corp |
| Qingdao Haier vs. Servyou Software Group | Qingdao Haier vs. Gan Yuan Foods | Qingdao Haier vs. China National Software | Qingdao Haier vs. JuneYao Dairy Co |
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
Other Complementary Tools
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Price Exposure Probability Analyze equity upside and downside potential for a given time horizon across multiple markets | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years |