Correlation Between SentinelOne and Cell Impact
Can any of the company-specific risk be diversified away by investing in both SentinelOne and Cell Impact 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 Cell Impact into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SentinelOne and Cell Impact AB, you can compare the effects of market volatilities on SentinelOne and Cell Impact 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 Cell Impact. Check out your portfolio center. Please also check ongoing floating volatility patterns of SentinelOne and Cell Impact.
Diversification Opportunities for SentinelOne and Cell Impact
-0.79 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between SentinelOne and Cell is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and Cell Impact AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cell Impact AB 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 Cell Impact. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cell Impact AB has no effect on the direction of SentinelOne i.e., SentinelOne and Cell Impact go up and down completely randomly.
Pair Corralation between SentinelOne and Cell Impact
Taking into account the 90-day investment horizon SentinelOne is expected to generate 0.71 times more return on investment than Cell Impact. However, SentinelOne is 1.41 times less risky than Cell Impact. It trades about 0.15 of its potential returns per unit of risk. Cell Impact AB is currently generating about -0.19 per unit of risk. If you would invest 2,601 in SentinelOne on September 2, 2024 and sell it today you would earn a total of 194.00 from holding SentinelOne or generate 7.46% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 95.45% |
| Values | Daily Returns |
SentinelOne vs. Cell Impact AB
Performance |
| Timeline |
| SentinelOne |
| Cell Impact AB |
SentinelOne and Cell Impact Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with SentinelOne and Cell Impact
The main advantage of trading using opposite SentinelOne and Cell Impact positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SentinelOne position performs unexpectedly, Cell Impact 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 Cell Impact will offset losses from the drop in Cell Impact's long position.| SentinelOne vs. Crowdstrike Holdings | SentinelOne vs. Okta Inc | SentinelOne vs. Cloudflare | SentinelOne vs. MongoDB |
| Cell Impact vs. Impact Coatings publ | Cell Impact vs. Powercell Sweden | Cell Impact vs. Oncopeptides AB | Cell Impact vs. SaltX Technology Holding |
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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.
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