Correlation Between Eastman Kodak and Rigetti Computing
Can any of the company-specific risk be diversified away by investing in both Eastman Kodak and Rigetti Computing 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 Eastman Kodak and Rigetti Computing into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Eastman Kodak Co and Rigetti Computing, you can compare the effects of market volatilities on Eastman Kodak and Rigetti Computing 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 Eastman Kodak with a short position of Rigetti Computing. Check out your portfolio center. Please also check ongoing floating volatility patterns of Eastman Kodak and Rigetti Computing.
Diversification Opportunities for Eastman Kodak and Rigetti Computing
0.28 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Eastman and Rigetti is 0.28. Overlapping area represents the amount of risk that can be diversified away by holding Eastman Kodak Co and Rigetti Computing in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rigetti Computing and Eastman Kodak 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 Eastman Kodak Co are associated (or correlated) with Rigetti Computing. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rigetti Computing has no effect on the direction of Eastman Kodak i.e., Eastman Kodak and Rigetti Computing go up and down completely randomly.
Pair Corralation between Eastman Kodak and Rigetti Computing
Given the investment horizon of 90 days Eastman Kodak is expected to generate 5.02 times less return on investment than Rigetti Computing. But when comparing it to its historical volatility, Eastman Kodak Co is 2.47 times less risky than Rigetti Computing. It trades about 0.05 of its potential returns per unit of risk. Rigetti Computing is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest 53.00 in Rigetti Computing on December 4, 2024 and sell it today you would earn a total of 733.00 from holding Rigetti Computing or generate 1383.02% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Eastman Kodak Co vs. Rigetti Computing
Performance |
| Timeline |
| Eastman Kodak |
| Rigetti Computing |
Eastman Kodak and Rigetti Computing Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Eastman Kodak and Rigetti Computing
The main advantage of trading using opposite Eastman Kodak and Rigetti Computing positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Eastman Kodak position performs unexpectedly, Rigetti Computing 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 Rigetti Computing will offset losses from the drop in Rigetti Computing's long position.| Eastman Kodak vs. SMX Public Limited | Eastman Kodak vs. System1 | Eastman Kodak vs. Lichen China Limited | Eastman Kodak vs. Team Inc |
| Rigetti Computing vs. Quantum Computing | Rigetti Computing vs. IONQ Inc | Rigetti Computing vs. Desktop Metal | Rigetti Computing vs. Quantum |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Other Complementary Tools
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories |