Correlation Between SentinelOne and Atos SE
Can any of the company-specific risk be diversified away by investing in both SentinelOne and Atos SE 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 SentinelOne and Atos SE into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SentinelOne and Atos SE, you can compare the effects of market volatilities on SentinelOne and Atos SE 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 SentinelOne with a short position of Atos SE. Check out your portfolio center. Please also check ongoing floating volatility patterns of SentinelOne and Atos SE.
Diversification Opportunities for SentinelOne and Atos SE
0.6 | Correlation Coefficient |
Poor diversification
The 3 months correlation between SentinelOne and Atos is 0.6. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and Atos SE in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Atos SE and SentinelOne 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 SentinelOne are associated (or correlated) with Atos SE. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Atos SE has no effect on the direction of SentinelOne i.e., SentinelOne and Atos SE go up and down completely randomly.
Pair Corralation between SentinelOne and Atos SE
Taking into account the 90-day investment horizon SentinelOne is expected to generate 0.33 times more return on investment than Atos SE. However, SentinelOne is 3.03 times less risky than Atos SE. It trades about 0.14 of its potential returns per unit of risk. Atos SE is currently generating about -0.05 per unit of risk. If you would invest 2,285 in SentinelOne on November 5, 2024 and sell it today you would earn a total of 110.00 from holding SentinelOne or generate 4.81% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 95.24% |
| Values | Daily Returns |
SentinelOne vs. Atos SE
Performance |
| Timeline |
| SentinelOne |
| Atos SE |
SentinelOne and Atos SE Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SentinelOne and Atos SE
The main advantage of trading using opposite SentinelOne and Atos SE positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SentinelOne position performs unexpectedly, Atos SE 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 Atos SE will offset losses from the drop in Atos SE's long position.| SentinelOne vs. Crowdstrike Holdings | SentinelOne vs. Okta Inc | SentinelOne vs. Cloudflare | SentinelOne vs. MongoDB |
| Atos SE vs. SOLSTAD OFFSHORE NK | Atos SE vs. Verizon Communications | Atos SE vs. Solstad Offshore ASA | Atos SE vs. BW OFFSHORE LTD |
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 Diagnostics module to use generated alerts and portfolio events aggregator to diagnose current holdings.
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