Correlation Between United Natural and Citigroup
Specify exactly 2 symbols:
By analyzing existing cross correlation between United Natural Foods and Citigroup, you can compare the effects of market volatilities on United Natural and Citigroup 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 United Natural with a short position of Citigroup. Check out your portfolio center. Please also check ongoing floating volatility patterns of United Natural and Citigroup.
Diversification Opportunities for United Natural and Citigroup
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between United and Citigroup is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding United Natural Foods and Citigroup in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Citigroup and United Natural 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 United Natural Foods are associated (or correlated) with Citigroup. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Citigroup has no effect on the direction of United Natural i.e., United Natural and Citigroup go up and down completely randomly.
Pair Corralation between United Natural and Citigroup
Assuming the 90 days horizon United Natural Foods is expected to generate 1.08 times more return on investment than Citigroup. However, United Natural is 1.08 times more volatile than Citigroup. It trades about 0.34 of its potential returns per unit of risk. Citigroup is currently generating about 0.24 per unit of risk. If you would invest 1,888 in United Natural Foods on September 1, 2024 and sell it today you would earn a total of 402.00 from holding United Natural Foods or generate 21.29% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 95.65% |
| Values | Daily Returns |
United Natural Foods vs. Citigroup
Performance |
| Timeline |
| United Natural Foods |
| Citigroup |
United Natural and Citigroup Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with United Natural and Citigroup
The main advantage of trading using opposite United Natural and Citigroup positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if United Natural position performs unexpectedly, Citigroup 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 Citigroup will offset losses from the drop in Citigroup's long position.| United Natural vs. Sysco | United Natural vs. Jernimo Martins SGPS | United Natural vs. Bunzl plc | United Natural vs. Performance Food Group |
| Citigroup vs. The Hanover Insurance | Citigroup vs. Safety Insurance Group | Citigroup vs. Uber Technologies | Citigroup vs. NetSol Technologies |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
Other Complementary Tools
| Portfolio Diagnostics Use generated alerts and portfolio events aggregator to diagnose current holdings | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Portfolio Manager State of the art Portfolio Manager to monitor and improve performance of your invested capital | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Risk-Return Analysis View associations between returns expected from investment and the risk you assume |