Correlation Between Pingtan Marine and Dennys Corp
Can any of the company-specific risk be diversified away by investing in both Pingtan Marine and Dennys Corp 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 Pingtan Marine and Dennys Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Pingtan Marine Enterprise and Dennys Corp, you can compare the effects of market volatilities on Pingtan Marine and Dennys Corp 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 Pingtan Marine with a short position of Dennys Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of Pingtan Marine and Dennys Corp.
Diversification Opportunities for Pingtan Marine and Dennys Corp
-0.16 | Correlation Coefficient |
Good diversification
The 3 months correlation between Pingtan and Dennys is -0.16. Overlapping area represents the amount of risk that can be diversified away by holding Pingtan Marine Enterprise and Dennys Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dennys Corp and Pingtan Marine 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 Pingtan Marine Enterprise are associated (or correlated) with Dennys Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dennys Corp has no effect on the direction of Pingtan Marine i.e., Pingtan Marine and Dennys Corp go up and down completely randomly.
Pair Corralation between Pingtan Marine and Dennys Corp
If you would invest 27.00 in Pingtan Marine Enterprise on September 12, 2024 and sell it today you would earn a total of 0.00 from holding Pingtan Marine Enterprise or generate 0.0% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 0.28% |
| Values | Daily Returns |
Pingtan Marine Enterprise vs. Dennys Corp
Performance |
| Timeline |
| Pingtan Marine Enterprise |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Dennys Corp |
Pingtan Marine and Dennys Corp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Pingtan Marine and Dennys Corp
The main advantage of trading using opposite Pingtan Marine and Dennys Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Pingtan Marine position performs unexpectedly, Dennys Corp 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 Dennys Corp will offset losses from the drop in Dennys Corp's long position.| Pingtan Marine vs. Dennys Corp | Pingtan Marine vs. Arhaus Inc | Pingtan Marine vs. RCI Hospitality Holdings | Pingtan Marine vs. Shake Shack |
| Dennys Corp vs. Noble Romans | Dennys Corp vs. Good Times Restaurants | Dennys Corp vs. Flanigans Enterprises | Dennys Corp vs. FAT Brands |
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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.
Other Complementary Tools
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume | |
| Transaction History View history of all your transactions and understand their impact on performance | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. |