Correlation Between Microbot Medical and Inhibrx
Can any of the company-specific risk be diversified away by investing in both Microbot Medical and Inhibrx 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 Microbot Medical and Inhibrx into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Microbot Medical and Inhibrx, you can compare the effects of market volatilities on Microbot Medical and Inhibrx 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 Microbot Medical with a short position of Inhibrx. Check out your portfolio center. Please also check ongoing floating volatility patterns of Microbot Medical and Inhibrx.
Diversification Opportunities for Microbot Medical and Inhibrx
0.04 | Correlation Coefficient |
Significant diversification
The 3 months correlation between Microbot and Inhibrx is 0.04. Overlapping area represents the amount of risk that can be diversified away by holding Microbot Medical and Inhibrx in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Inhibrx and Microbot Medical 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 Microbot Medical are associated (or correlated) with Inhibrx. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Inhibrx has no effect on the direction of Microbot Medical i.e., Microbot Medical and Inhibrx go up and down completely randomly.
Pair Corralation between Microbot Medical and Inhibrx
Given the investment horizon of 90 days Microbot Medical is expected to generate 1.09 times more return on investment than Inhibrx. However, Microbot Medical is 1.09 times more volatile than Inhibrx. It trades about 0.08 of its potential returns per unit of risk. Inhibrx is currently generating about 0.0 per unit of risk. If you would invest 89.00 in Microbot Medical on August 30, 2024 and sell it today you would earn a total of 8.00 from holding Microbot Medical or generate 8.99% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 97.73% |
| Values | Daily Returns |
Microbot Medical vs. Inhibrx
Performance |
| Timeline |
| Microbot Medical |
| Inhibrx |
Microbot Medical and Inhibrx Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Microbot Medical and Inhibrx
The main advantage of trading using opposite Microbot Medical and Inhibrx positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Microbot Medical position performs unexpectedly, Inhibrx 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 Inhibrx will offset losses from the drop in Inhibrx's long position.| Microbot Medical vs. ReShape Lifesciences | Microbot Medical vs. Bone Biologics Corp | Microbot Medical vs. Tivic Health Systems | Microbot Medical vs. Nuwellis |
| Inhibrx vs. Crinetics Pharmaceuticals | Inhibrx vs. Merus BV | Inhibrx vs. Lyell Immunopharma | Inhibrx vs. Kronos Bio |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
Other Complementary Tools
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Alpha Finder Use alpha and beta coefficients to find investment opportunities after accounting for the risk | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |