Correlation Between SentinelOne and Cemat AS
Can any of the company-specific risk be diversified away by investing in both SentinelOne and Cemat AS 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 Cemat AS into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SentinelOne and Cemat AS, you can compare the effects of market volatilities on SentinelOne and Cemat AS 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 Cemat AS. Check out your portfolio center. Please also check ongoing floating volatility patterns of SentinelOne and Cemat AS.
Diversification Opportunities for SentinelOne and Cemat AS
0.01 | Correlation Coefficient |
Significant diversification
The 3 months correlation between SentinelOne and Cemat is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and Cemat AS in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cemat AS 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 Cemat AS. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cemat AS has no effect on the direction of SentinelOne i.e., SentinelOne and Cemat AS go up and down completely randomly.
Pair Corralation between SentinelOne and Cemat AS
Taking into account the 90-day investment horizon SentinelOne is expected to generate 2.32 times more return on investment than Cemat AS. However, SentinelOne is 2.32 times more volatile than Cemat AS. It trades about 0.13 of its potential returns per unit of risk. Cemat AS is currently generating about -0.2 per unit of risk. If you would invest 2,609 in SentinelOne on August 28, 2024 and sell it today you would earn a total of 184.00 from holding SentinelOne or generate 7.05% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 95.45% |
| Values | Daily Returns |
SentinelOne vs. Cemat AS
Performance |
| Timeline |
| SentinelOne |
| Cemat AS |
SentinelOne and Cemat AS Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SentinelOne and Cemat AS
The main advantage of trading using opposite SentinelOne and Cemat AS positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SentinelOne position performs unexpectedly, Cemat AS 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 Cemat AS will offset losses from the drop in Cemat AS's long position.| SentinelOne vs. GigaCloud Technology Class | SentinelOne vs. Arqit Quantum | SentinelOne vs. Cemtrex | SentinelOne vs. Paysafe |
| Cemat AS vs. BioPorto | Cemat AS vs. Newcap Holding AS | Cemat AS vs. Agat Ejendomme AS | Cemat AS vs. PF Atlantic Petroleum |
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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Other Complementary Tools
| Portfolio Comparator Compare the composition, asset allocations and performance of any two portfolios in your account | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world |