Correlation Between Icecure Medical and Multicell Techs
Can any of the company-specific risk be diversified away by investing in both Icecure Medical and Multicell Techs 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 Icecure Medical and Multicell Techs into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Icecure Medical and Multicell Techs, you can compare the effects of market volatilities on Icecure Medical and Multicell Techs 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 Icecure Medical with a short position of Multicell Techs. Check out your portfolio center. Please also check ongoing floating volatility patterns of Icecure Medical and Multicell Techs.
Diversification Opportunities for Icecure Medical and Multicell Techs
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Icecure and Multicell is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Icecure Medical and Multicell Techs in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Multicell Techs and Icecure Medical 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 Icecure Medical are associated (or correlated) with Multicell Techs. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Multicell Techs has no effect on the direction of Icecure Medical i.e., Icecure Medical and Multicell Techs go up and down completely randomly.
Pair Corralation between Icecure Medical and Multicell Techs
Given the investment horizon of 90 days Icecure Medical is expected to generate 4.94 times less return on investment than Multicell Techs. But when comparing it to its historical volatility, Icecure Medical is 4.31 times less risky than Multicell Techs. It trades about 0.03 of its potential returns per unit of risk. Multicell Techs is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest 0.01 in Multicell Techs on September 2, 2024 and sell it today you would lose (0.01) from holding Multicell Techs or give up 100.0% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 99.8% |
| Values | Daily Returns |
Icecure Medical vs. Multicell Techs
Performance |
| Timeline |
| Icecure Medical |
| Multicell Techs |
Icecure Medical and Multicell Techs Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Icecure Medical and Multicell Techs
The main advantage of trading using opposite Icecure Medical and Multicell Techs positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Icecure Medical position performs unexpectedly, Multicell Techs 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 Multicell Techs will offset losses from the drop in Multicell Techs' long position.| Icecure Medical vs. BrainsWay | Icecure Medical vs. SurModics | Icecure Medical vs. STRATA Skin Sciences | Icecure Medical vs. Tenon Medical |
| Multicell Techs vs. MedMira | Multicell Techs vs. Oxford Cannabinoid Technologies | Multicell Techs vs. Pharming Group NV | Multicell Techs vs. Kane Biotech |
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 Global Correlations module to find global opportunities by holding instruments from different markets.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |