Correlation Between Integer Holdings and GE HealthCare
Can any of the company-specific risk be diversified away by investing in both Integer Holdings and GE HealthCare 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 Integer Holdings and GE HealthCare into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Integer Holdings Corp and GE HealthCare Technologies, you can compare the effects of market volatilities on Integer Holdings and GE HealthCare 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 Integer Holdings with a short position of GE HealthCare. Check out your portfolio center. Please also check ongoing floating volatility patterns of Integer Holdings and GE HealthCare.
Diversification Opportunities for Integer Holdings and GE HealthCare
-0.31 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Integer and GEHC is -0.31. Overlapping area represents the amount of risk that can be diversified away by holding Integer Holdings Corp and GE HealthCare Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on GE HealthCare Techno and Integer Holdings 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 Integer Holdings Corp are associated (or correlated) with GE HealthCare. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of GE HealthCare Techno has no effect on the direction of Integer Holdings i.e., Integer Holdings and GE HealthCare go up and down completely randomly.
Pair Corralation between Integer Holdings and GE HealthCare
Given the investment horizon of 90 days Integer Holdings Corp is expected to generate 1.26 times more return on investment than GE HealthCare. However, Integer Holdings is 1.26 times more volatile than GE HealthCare Technologies. It trades about 0.11 of its potential returns per unit of risk. GE HealthCare Technologies is currently generating about -0.2 per unit of risk. If you would invest 12,773 in Integer Holdings Corp on August 26, 2024 and sell it today you would earn a total of 1,038 from holding Integer Holdings Corp or generate 8.13% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Integer Holdings Corp vs. GE HealthCare Technologies
Performance |
| Timeline |
| Integer Holdings Corp |
| GE HealthCare Techno |
Integer Holdings and GE HealthCare Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Integer Holdings and GE HealthCare
The main advantage of trading using opposite Integer Holdings and GE HealthCare positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Integer Holdings position performs unexpectedly, GE HealthCare 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 GE HealthCare will offset losses from the drop in GE HealthCare's long position.| Integer Holdings vs. Heartbeam | Integer Holdings vs. EUDA Health Holdings | Integer Holdings vs. Nutex Health | Integer Holdings vs. Healthcare Triangle |
| GE HealthCare vs. Teladoc | GE HealthCare vs. Veeva Systems Class | GE HealthCare vs. 10X Genomics | GE HealthCare vs. Progyny |
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 File Import module to quickly import all of your third-party portfolios from your local drive in csv format.
Other Complementary Tools
| Share Portfolio Track or share privately all of your investments from the convenience of any device | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Portfolio Optimization Compute new portfolio that will generate highest expected return given your specified tolerance for risk |