Correlation Between Marathon Digital and Enlivex Therapeutics
Can any of the company-specific risk be diversified away by investing in both Marathon Digital and Enlivex Therapeutics 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 Marathon Digital and Enlivex Therapeutics into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Marathon Digital Holdings and Enlivex Therapeutics, you can compare the effects of market volatilities on Marathon Digital and Enlivex Therapeutics 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 Marathon Digital with a short position of Enlivex Therapeutics. Check out your portfolio center. Please also check ongoing floating volatility patterns of Marathon Digital and Enlivex Therapeutics.
Diversification Opportunities for Marathon Digital and Enlivex Therapeutics
-0.6 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Marathon and Enlivex is -0.6. Overlapping area represents the amount of risk that can be diversified away by holding Marathon Digital Holdings and Enlivex Therapeutics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Enlivex Therapeutics and Marathon Digital 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 Marathon Digital Holdings are associated (or correlated) with Enlivex Therapeutics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Enlivex Therapeutics has no effect on the direction of Marathon Digital i.e., Marathon Digital and Enlivex Therapeutics go up and down completely randomly.
Pair Corralation between Marathon Digital and Enlivex Therapeutics
Given the investment horizon of 90 days Marathon Digital Holdings is expected to generate 0.99 times more return on investment than Enlivex Therapeutics. However, Marathon Digital Holdings is 1.01 times less risky than Enlivex Therapeutics. It trades about 0.03 of its potential returns per unit of risk. Enlivex Therapeutics is currently generating about -0.06 per unit of risk. If you would invest 2,590 in Marathon Digital Holdings on August 27, 2024 and sell it today you would earn a total of 13.00 from holding Marathon Digital Holdings or generate 0.5% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Marathon Digital Holdings vs. Enlivex Therapeutics
Performance |
| Timeline |
| Marathon Digital Holdings |
| Enlivex Therapeutics |
Marathon Digital and Enlivex Therapeutics Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Marathon Digital and Enlivex Therapeutics
The main advantage of trading using opposite Marathon Digital and Enlivex Therapeutics positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Marathon Digital position performs unexpectedly, Enlivex Therapeutics 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 Enlivex Therapeutics will offset losses from the drop in Enlivex Therapeutics' long position.| Marathon Digital vs. Hut 8 Corp | Marathon Digital vs. CleanSpark | Marathon Digital vs. Bit Digital | Marathon Digital vs. Bitfarms |
| Enlivex Therapeutics vs. BioLineRx | Enlivex Therapeutics vs. Purple Biotech | Enlivex Therapeutics vs. Histogen | Enlivex Therapeutics vs. Pmv Pharmaceuticals |
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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.
Other Complementary Tools
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities | |
| Global Correlations Find global opportunities by holding instruments from different markets | |
| USA ETFs Find actively traded Exchange Traded Funds (ETF) in USA | |
| Money Managers Screen money managers from public funds and ETFs managed around the world | |
| Bollinger Bands Use Bollinger Bands indicator to analyze target price for a given investing horizon |