Correlation Between Nano Labs and Maxeon Solar
Can any of the company-specific risk be diversified away by investing in both Nano Labs and Maxeon Solar 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 Nano Labs and Maxeon Solar into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Nano Labs and Maxeon Solar Technologies, you can compare the effects of market volatilities on Nano Labs and Maxeon Solar 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 Nano Labs with a short position of Maxeon Solar. Check out your portfolio center. Please also check ongoing floating volatility patterns of Nano Labs and Maxeon Solar.
Diversification Opportunities for Nano Labs and Maxeon Solar
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Nano and Maxeon is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Nano Labs and Maxeon Solar Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Maxeon Solar Technologies and Nano Labs 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 Nano Labs are associated (or correlated) with Maxeon Solar. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Maxeon Solar Technologies has no effect on the direction of Nano Labs i.e., Nano Labs and Maxeon Solar go up and down completely randomly.
Pair Corralation between Nano Labs and Maxeon Solar
Allowing for the 90-day total investment horizon Nano Labs is expected to generate 1.26 times more return on investment than Maxeon Solar. However, Nano Labs is 1.26 times more volatile than Maxeon Solar Technologies. It trades about 0.03 of its potential returns per unit of risk. Maxeon Solar Technologies is currently generating about -0.09 per unit of risk. If you would invest 2,140 in Nano Labs on October 7, 2024 and sell it today you would lose (1,330) from holding Nano Labs or give up 62.15% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Nano Labs vs. Maxeon Solar Technologies
Performance |
| Timeline |
| Nano Labs |
| Maxeon Solar Technologies |
Nano Labs and Maxeon Solar Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Nano Labs and Maxeon Solar
The main advantage of trading using opposite Nano Labs and Maxeon Solar positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Nano Labs position performs unexpectedly, Maxeon Solar 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 Maxeon Solar will offset losses from the drop in Maxeon Solar's long position.| Nano Labs vs. SEALSQ Corp | Nano Labs vs. GSI Technology | Nano Labs vs. SemiLEDS | Nano Labs vs. ChipMOS Technologies |
| Maxeon Solar vs. Sunrun Inc | Maxeon Solar vs. Canadian Solar | Maxeon Solar vs. First Solar | Maxeon Solar vs. Sunnova Energy International |
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 Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Theme Ratings Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like | |
| Instant Ratings Determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance |