Correlation Between Repligen and ENTERGY

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Repligen and ENTERGY 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 Repligen and ENTERGY into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Repligen and ENTERGY TEX INC, you can compare the effects of market volatilities on Repligen and ENTERGY 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 Repligen with a short position of ENTERGY. Check out your portfolio center. Please also check ongoing floating volatility patterns of Repligen and ENTERGY.

Diversification Opportunities for Repligen and ENTERGY

0.04
  Correlation Coefficient

Significant diversification

The 3 months correlation between Repligen and ENTERGY is 0.04. Overlapping area represents the amount of risk that can be diversified away by holding Repligen and ENTERGY TEX INC in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ENTERGY TEX INC and Repligen 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 Repligen are associated (or correlated) with ENTERGY. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ENTERGY TEX INC has no effect on the direction of Repligen i.e., Repligen and ENTERGY go up and down completely randomly.

Pair Corralation between Repligen and ENTERGY

Given the investment horizon of 90 days Repligen is expected to generate 399.89 times less return on investment than ENTERGY. But when comparing it to its historical volatility, Repligen is 24.47 times less risky than ENTERGY. It trades about 0.0 of its potential returns per unit of risk. ENTERGY TEX INC is currently generating about 0.07 of returns per unit of risk over similar time horizon. If you would invest  9,695  in ENTERGY TEX INC on September 3, 2024 and sell it today you would lose (63.00) from holding ENTERGY TEX INC or give up 0.65% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthInsignificant
Accuracy72.73%
ValuesDaily Returns

Repligen  vs.  ENTERGY TEX INC

 Performance 
       Timeline  
Repligen 

Risk-Adjusted Performance

3 of 100

 
Weak
 
Strong
Insignificant
Compared to the overall equity markets, risk-adjusted returns on investments in Repligen are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of very fragile technical and fundamental indicators, Repligen may actually be approaching a critical reversion point that can send shares even higher in January 2025.
ENTERGY TEX INC 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days ENTERGY TEX INC has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, ENTERGY is not utilizing all of its potentials. The newest stock price disturbance, may contribute to short-term losses for the investors.

Repligen and ENTERGY Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Repligen and ENTERGY

The main advantage of trading using opposite Repligen and ENTERGY positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Repligen position performs unexpectedly, ENTERGY 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 ENTERGY will offset losses from the drop in ENTERGY's long position.
Repligen vs. Intuitive Surgical
Repligen vs. ResMed Inc
Repligen vs. Merit Medical Systems
Repligen vs. ICU Medical
The idea behind Repligen and ENTERGY TEX INC 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.
ENTERGY vs. RadNet Inc
ENTERGY vs. Cumberland Pharmaceuticals
ENTERGY vs. HUTCHMED DRC
ENTERGY vs. Repligen
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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..

Other Complementary Tools

Global Markets Map
Get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes
Portfolio Volatility
Check portfolio volatility and analyze historical return density to properly model market risk
Insider Screener
Find insiders across different sectors to evaluate their impact on performance
Alpha Finder
Use alpha and beta coefficients to find investment opportunities after accounting for the risk
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.


 
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2024 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY