Correlation Between KVH Industries and Knightscope
Can any of the company-specific risk be diversified away by investing in both KVH Industries and Knightscope 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 KVH Industries and Knightscope into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KVH Industries and Knightscope, you can compare the effects of market volatilities on KVH Industries and Knightscope 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 KVH Industries with a short position of Knightscope. Check out your portfolio center. Please also check ongoing floating volatility patterns of KVH Industries and Knightscope.
Diversification Opportunities for KVH Industries and Knightscope
-0.8 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between KVH and Knightscope is -0.8. Overlapping area represents the amount of risk that can be diversified away by holding KVH Industries and Knightscope in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Knightscope and KVH Industries 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 KVH Industries are associated (or correlated) with Knightscope. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Knightscope has no effect on the direction of KVH Industries i.e., KVH Industries and Knightscope go up and down completely randomly.
Pair Corralation between KVH Industries and Knightscope
Given the investment horizon of 90 days KVH Industries is expected to generate 0.27 times more return on investment than Knightscope. However, KVH Industries is 3.73 times less risky than Knightscope. It trades about 0.06 of its potential returns per unit of risk. Knightscope is currently generating about 0.0 per unit of risk. If you would invest 472.00 in KVH Industries on November 3, 2024 and sell it today you would earn a total of 139.00 from holding KVH Industries or generate 29.45% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
KVH Industries vs. Knightscope
Performance |
| Timeline |
| KVH Industries |
| Knightscope |
KVH Industries and Knightscope Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with KVH Industries and Knightscope
The main advantage of trading using opposite KVH Industries and Knightscope positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KVH Industries position performs unexpectedly, Knightscope 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 Knightscope will offset losses from the drop in Knightscope's long position.| KVH Industries vs. Telesat Corp | KVH Industries vs. Comtech Telecommunications Corp | KVH Industries vs. Knowles Cor | KVH Industries vs. Ituran Location and |
| Knightscope vs. LogicMark | Knightscope vs. Guardforce AI Co | Knightscope vs. Bridger Aerospace Group | Knightscope vs. Iveda Solutions |
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 Piotroski F Score module to get Piotroski F Score based on the binary analysis strategy of nine different fundamentals.
Other Complementary Tools
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| 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. | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets |