Correlation Between JB Hunt and Kuehne +
Can any of the company-specific risk be diversified away by investing in both JB Hunt and Kuehne + 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 JB Hunt and Kuehne + into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between JB Hunt Transport and Kuehne Nagel International, you can compare the effects of market volatilities on JB Hunt and Kuehne + 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 JB Hunt with a short position of Kuehne +. Check out your portfolio center. Please also check ongoing floating volatility patterns of JB Hunt and Kuehne +.
Diversification Opportunities for JB Hunt and Kuehne +
Very weak diversification
The 3 months correlation between JBHT and Kuehne is 0.43. Overlapping area represents the amount of risk that can be diversified away by holding JB Hunt Transport and Kuehne Nagel International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kuehne Nagel Interna and JB Hunt 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 JB Hunt Transport are associated (or correlated) with Kuehne +. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kuehne Nagel Interna has no effect on the direction of JB Hunt i.e., JB Hunt and Kuehne + go up and down completely randomly.
Pair Corralation between JB Hunt and Kuehne +
Given the investment horizon of 90 days JB Hunt Transport is expected to under-perform the Kuehne +. But the stock apears to be less risky and, when comparing its historical volatility, JB Hunt Transport is 1.11 times less risky than Kuehne +. The stock trades about -0.03 of its potential returns per unit of risk. The Kuehne Nagel International is currently generating about 0.23 of returns per unit of risk over similar time horizon. If you would invest 21,608 in Kuehne Nagel International on November 18, 2024 and sell it today you would earn a total of 1,632 from holding Kuehne Nagel International or generate 7.55% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
JB Hunt Transport vs. Kuehne Nagel International
Performance |
| Timeline |
| JB Hunt Transport |
| Kuehne Nagel Interna |
JB Hunt and Kuehne + Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with JB Hunt and Kuehne +
The main advantage of trading using opposite JB Hunt and Kuehne + positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if JB Hunt position performs unexpectedly, Kuehne + 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 Kuehne + will offset losses from the drop in Kuehne +'s long position.| JB Hunt vs. Forward Air | JB Hunt vs. Hub Group | JB Hunt vs. CH Robinson Worldwide | JB Hunt vs. Expeditors International of |
| Kuehne + vs. DSV Panalpina AS | Kuehne + vs. CH Robinson Worldwide | Kuehne + vs. Kuehne Nagel International | Kuehne + vs. DSV Panalpina AS |
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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.
Other Complementary Tools
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
| Sync Your Broker Sync your existing holdings, watchlists, positions or portfolios from thousands of online brokerage services, banks, investment account aggregators and robo-advisors. | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets |