Correlation Between SentinelOne and Dean Small

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Can any of the company-specific risk be diversified away by investing in both SentinelOne and Dean Small 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 Dean Small into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between SentinelOne and Dean Small Cap, you can compare the effects of market volatilities on SentinelOne and Dean Small 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 Dean Small. Check out your portfolio center. Please also check ongoing floating volatility patterns of SentinelOne and Dean Small.

Diversification Opportunities for SentinelOne and Dean Small

-0.54
  Correlation Coefficient

Excellent diversification

The 3 months correlation between SentinelOne and Dean is -0.54. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and Dean Small Cap in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dean Small Cap 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 Dean Small. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dean Small Cap has no effect on the direction of SentinelOne i.e., SentinelOne and Dean Small go up and down completely randomly.

Pair Corralation between SentinelOne and Dean Small

Taking into account the 90-day investment horizon SentinelOne is expected to under-perform the Dean Small. In addition to that, SentinelOne is 2.55 times more volatile than Dean Small Cap. It trades about -0.11 of its total potential returns per unit of risk. Dean Small Cap is currently generating about 0.17 per unit of volatility. If you would invest  1,873  in Dean Small Cap on October 27, 2025 and sell it today you would earn a total of  216.00  from holding Dean Small Cap or generate 11.53% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthVery Weak
Accuracy100.0%
ValuesDaily Returns

SentinelOne  vs.  Dean Small Cap

 Performance 
       Timeline  
SentinelOne 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days SentinelOne has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of uncertain performance in the last few months, the Stock's basic indicators remain comparatively stable which may send shares a bit higher in February 2026. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.
Dean Small Cap 

Risk-Adjusted Performance

Good

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Dean Small Cap are ranked lower than 13 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak fundamental indicators, Dean Small may actually be approaching a critical reversion point that can send shares even higher in February 2026.

SentinelOne and Dean Small Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with SentinelOne and Dean Small

The main advantage of trading using opposite SentinelOne and Dean Small positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if SentinelOne position performs unexpectedly, Dean Small 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 Dean Small will offset losses from the drop in Dean Small's long position.
The idea behind SentinelOne and Dean Small Cap 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.
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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 Transaction History module to view history of all your transactions and understand their impact on performance.

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