Correlation Between Probe Metals and Rackspace Technology
Can any of the company-specific risk be diversified away by investing in both Probe Metals and Rackspace Technology 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 Probe Metals and Rackspace Technology into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Probe Metals and Rackspace Technology, you can compare the effects of market volatilities on Probe Metals and Rackspace Technology 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 Probe Metals with a short position of Rackspace Technology. Check out your portfolio center. Please also check ongoing floating volatility patterns of Probe Metals and Rackspace Technology.
Diversification Opportunities for Probe Metals and Rackspace Technology
-0.84 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Probe and Rackspace is -0.84. Overlapping area represents the amount of risk that can be diversified away by holding Probe Metals and Rackspace Technology in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rackspace Technology and Probe Metals 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 Probe Metals are associated (or correlated) with Rackspace Technology. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rackspace Technology has no effect on the direction of Probe Metals i.e., Probe Metals and Rackspace Technology go up and down completely randomly.
Pair Corralation between Probe Metals and Rackspace Technology
Assuming the 90 days horizon Probe Metals is expected to generate 1.31 times more return on investment than Rackspace Technology. However, Probe Metals is 1.31 times more volatile than Rackspace Technology. It trades about 0.13 of its potential returns per unit of risk. Rackspace Technology is currently generating about -0.31 per unit of risk. If you would invest 189.00 in Probe Metals on October 30, 2025 and sell it today you would earn a total of 76.00 from holding Probe Metals or generate 40.21% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 96.67% |
| Values | Daily Returns |
Probe Metals vs. Rackspace Technology
Performance |
| Timeline |
| Probe Metals |
| Rackspace Technology |
Probe Metals and Rackspace Technology Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Probe Metals and Rackspace Technology
The main advantage of trading using opposite Probe Metals and Rackspace Technology positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Probe Metals position performs unexpectedly, Rackspace Technology 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 Rackspace Technology will offset losses from the drop in Rackspace Technology's long position.| Probe Metals vs. Omai Gold Mines | Probe Metals vs. Rusoro Mining | Probe Metals vs. Thor Explorations | Probe Metals vs. Rare Element Resources |
| Rackspace Technology vs. Lesaka Technologies | Rackspace Technology vs. Repay Holdings Corp | Rackspace Technology vs. Veritone | Rackspace Technology vs. Gorilla Technology Group |
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
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Commodity Directory Find actively traded commodities issued by global exchanges | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Equity Search Search for actively traded equities including funds and ETFs from over 30 global markets |