Correlation Between Vaxart and Jaguar Animal
Can any of the company-specific risk be diversified away by investing in both Vaxart and Jaguar Animal 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 Vaxart and Jaguar Animal into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Vaxart Inc and Jaguar Animal Health, you can compare the effects of market volatilities on Vaxart and Jaguar Animal 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 Vaxart with a short position of Jaguar Animal. Check out your portfolio center. Please also check ongoing floating volatility patterns of Vaxart and Jaguar Animal.
Diversification Opportunities for Vaxart and Jaguar Animal
0.53 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between Vaxart and Jaguar is 0.53. Overlapping area represents the amount of risk that can be diversified away by holding Vaxart Inc and Jaguar Animal Health in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Jaguar Animal Health and Vaxart 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 Vaxart Inc are associated (or correlated) with Jaguar Animal. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Jaguar Animal Health has no effect on the direction of Vaxart i.e., Vaxart and Jaguar Animal go up and down completely randomly.
Pair Corralation between Vaxart and Jaguar Animal
Given the investment horizon of 90 days Vaxart Inc is expected to generate 0.58 times more return on investment than Jaguar Animal. However, Vaxart Inc is 1.72 times less risky than Jaguar Animal. It trades about 0.01 of its potential returns per unit of risk. Jaguar Animal Health is currently generating about -0.08 per unit of risk. If you would invest 114.00 in Vaxart Inc on August 29, 2024 and sell it today you would lose (53.00) from holding Vaxart Inc or give up 46.49% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Vaxart Inc vs. Jaguar Animal Health
Performance |
| Timeline |
| Vaxart Inc |
| Jaguar Animal Health |
Vaxart and Jaguar Animal Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Vaxart and Jaguar Animal
The main advantage of trading using opposite Vaxart and Jaguar Animal positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Vaxart position performs unexpectedly, Jaguar Animal 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 Jaguar Animal will offset losses from the drop in Jaguar Animal's long position.The idea behind Vaxart Inc and Jaguar Animal Health 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.| Jaguar Animal vs. Ibio Inc | Jaguar Animal vs. GeoVax Labs | Jaguar Animal vs. Ocugen Inc | Jaguar Animal vs. Zura Bio Limited |
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 Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Funds Screener Find actively-traded funds from around the world traded on over 30 global exchanges | |
| Aroon Oscillator Analyze current equity momentum using Aroon Oscillator and other momentum ratios | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Options Analysis Analyze and evaluate options and option chains as a potential hedge for your portfolios |