Correlation Between KIMCO and Boyd Gaming

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both KIMCO and Boyd Gaming 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 KIMCO and Boyd Gaming into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between KIMCO RLTY P and Boyd Gaming, you can compare the effects of market volatilities on KIMCO and Boyd Gaming 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 KIMCO with a short position of Boyd Gaming. Check out your portfolio center. Please also check ongoing floating volatility patterns of KIMCO and Boyd Gaming.

Diversification Opportunities for KIMCO and Boyd Gaming

-0.19
  Correlation Coefficient

Good diversification

The 3 months correlation between KIMCO and Boyd is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding KIMCO RLTY P and Boyd Gaming in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Boyd Gaming and KIMCO 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 KIMCO RLTY P are associated (or correlated) with Boyd Gaming. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Boyd Gaming has no effect on the direction of KIMCO i.e., KIMCO and Boyd Gaming go up and down completely randomly.

Pair Corralation between KIMCO and Boyd Gaming

Assuming the 90 days trading horizon KIMCO RLTY P is expected to under-perform the Boyd Gaming. But the bond apears to be less risky and, when comparing its historical volatility, KIMCO RLTY P is 6.64 times less risky than Boyd Gaming. The bond trades about -0.01 of its potential returns per unit of risk. The Boyd Gaming is currently generating about 0.04 of returns per unit of risk over similar time horizon. If you would invest  5,749  in Boyd Gaming on September 4, 2024 and sell it today you would earn a total of  1,756  from holding Boyd Gaming or generate 30.54% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthInsignificant
Accuracy97.78%
ValuesDaily Returns

KIMCO RLTY P  vs.  Boyd Gaming

 Performance 
       Timeline  
KIMCO RLTY P 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days KIMCO RLTY P has generated negative risk-adjusted returns adding no value to investors with long positions. Despite somewhat strong basic indicators, KIMCO is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.
Boyd Gaming 

Risk-Adjusted Performance

16 of 100

 
Weak
 
Strong
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Boyd Gaming are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. In spite of rather unfluctuating basic indicators, Boyd Gaming exhibited solid returns over the last few months and may actually be approaching a breakup point.

KIMCO and Boyd Gaming Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with KIMCO and Boyd Gaming

The main advantage of trading using opposite KIMCO and Boyd Gaming positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if KIMCO position performs unexpectedly, Boyd Gaming 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 Boyd Gaming will offset losses from the drop in Boyd Gaming's long position.
KIMCO vs. Everus Construction Group
KIMCO vs. Topbuild Corp
KIMCO vs. RadNet Inc
KIMCO vs. Seadrill Limited
The idea behind KIMCO RLTY P and Boyd Gaming 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.
Boyd Gaming vs. MGM Resorts International
Boyd Gaming vs. Las Vegas Sands
Boyd Gaming vs. Wynn Resorts Limited
Boyd Gaming vs. Penn National Gaming
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 Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.

Other Complementary Tools

Price Transformation
Use Price Transformation models to analyze the depth of different equity instruments across global markets
Money Flow Index
Determine momentum by analyzing Money Flow Index and other technical indicators
Balance Of Power
Check stock momentum by analyzing Balance Of Power indicator and other technical ratios
Headlines Timeline
Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity
Insider Screener
Find insiders across different sectors to evaluate their impact on performance


 
Macroaxis helps investors of all levels and skills to maximize the upside of all their holdings and minimize the risk associated with market volatility, economic swings, and company-specific events. View terms and conditions
 
Feedback Blog
Made with optimal in San Francisco
2024 Macroaxis LLC
COMMON DESTINATIONS
MAIN CATEGORIES
COMPANY