Correlation Between Regeneron Pharmaceuticals and Kaltura
Can any of the company-specific risk be diversified away by investing in both Regeneron Pharmaceuticals and Kaltura 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 Regeneron Pharmaceuticals and Kaltura into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Regeneron Pharmaceuticals and Kaltura, you can compare the effects of market volatilities on Regeneron Pharmaceuticals and Kaltura 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 Regeneron Pharmaceuticals with a short position of Kaltura. Check out your portfolio center. Please also check ongoing floating volatility patterns of Regeneron Pharmaceuticals and Kaltura.
Diversification Opportunities for Regeneron Pharmaceuticals and Kaltura
-0.85 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Regeneron and Kaltura is -0.85. Overlapping area represents the amount of risk that can be diversified away by holding Regeneron Pharmaceuticals and Kaltura in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kaltura and Regeneron Pharmaceuticals 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 Regeneron Pharmaceuticals are associated (or correlated) with Kaltura. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kaltura has no effect on the direction of Regeneron Pharmaceuticals i.e., Regeneron Pharmaceuticals and Kaltura go up and down completely randomly.
Pair Corralation between Regeneron Pharmaceuticals and Kaltura
Given the investment horizon of 90 days Regeneron Pharmaceuticals is expected to under-perform the Kaltura. But the stock apears to be less risky and, when comparing its historical volatility, Regeneron Pharmaceuticals is 2.47 times less risky than Kaltura. The stock trades about -0.36 of its potential returns per unit of risk. The Kaltura is currently generating about 0.27 of returns per unit of risk over similar time horizon. If you would invest 118.00 in Kaltura on September 12, 2024 and sell it today you would earn a total of 112.00 from holding Kaltura or generate 94.92% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Regeneron Pharmaceuticals vs. Kaltura
Performance |
| Timeline |
| Regeneron Pharmaceuticals |
| Kaltura |
Regeneron Pharmaceuticals and Kaltura Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Regeneron Pharmaceuticals and Kaltura
The main advantage of trading using opposite Regeneron Pharmaceuticals and Kaltura positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Regeneron Pharmaceuticals position performs unexpectedly, Kaltura 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 Kaltura will offset losses from the drop in Kaltura's long position.The idea behind Regeneron Pharmaceuticals and Kaltura pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
| Kaltura vs. Evertec | Kaltura vs. Consensus Cloud Solutions | Kaltura vs. Global Blue Group | Kaltura vs. Lesaka Technologies |
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 Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
Other Complementary Tools
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |