Correlation Between Xponential Fitness and LadRx
Can any of the company-specific risk be diversified away by investing in both Xponential Fitness and LadRx 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 Xponential Fitness and LadRx into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Xponential Fitness and LadRx, you can compare the effects of market volatilities on Xponential Fitness and LadRx 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 Xponential Fitness with a short position of LadRx. Check out your portfolio center. Please also check ongoing floating volatility patterns of Xponential Fitness and LadRx.
Diversification Opportunities for Xponential Fitness and LadRx
-0.7 | Correlation Coefficient |
Excellent diversification
The 3 months correlation between Xponential and LadRx is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding Xponential Fitness and LadRx in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on LadRx and Xponential Fitness 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 Xponential Fitness are associated (or correlated) with LadRx. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LadRx has no effect on the direction of Xponential Fitness i.e., Xponential Fitness and LadRx go up and down completely randomly.
Pair Corralation between Xponential Fitness and LadRx
If you would invest 1,261 in Xponential Fitness on September 5, 2024 and sell it today you would earn a total of 285.00 from holding Xponential Fitness or generate 22.6% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 4.55% |
| Values | Daily Returns |
Xponential Fitness vs. LadRx
Performance |
| Timeline |
| Xponential Fitness |
| LadRx |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
Xponential Fitness and LadRx Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Xponential Fitness and LadRx
The main advantage of trading using opposite Xponential Fitness and LadRx positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Xponential Fitness position performs unexpectedly, LadRx 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 LadRx will offset losses from the drop in LadRx's long position.| Xponential Fitness vs. Planet Fitness | Xponential Fitness vs. Bowlero Corp | Xponential Fitness vs. JAKKS Pacific | Xponential Fitness vs. Acushnet Holdings Corp |
| LadRx vs. JBG SMITH Properties | LadRx vs. enVVeno Medical Corp | LadRx vs. Hooker Furniture | LadRx vs. Live Ventures |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Other Complementary Tools
| Correlation Analysis Reduce portfolio risk simply by holding instruments which are not perfectly correlated | |
| Content Syndication Quickly integrate customizable finance content to your own investment portal | |
| Cryptocurrency Center Build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio |