Correlation Between 17 Education and Cracker Barrel
Can any of the company-specific risk be diversified away by investing in both 17 Education and Cracker Barrel 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 17 Education and Cracker Barrel into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between 17 Education Technology and Cracker Barrel Old, you can compare the effects of market volatilities on 17 Education and Cracker Barrel 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 17 Education with a short position of Cracker Barrel. Check out your portfolio center. Please also check ongoing floating volatility patterns of 17 Education and Cracker Barrel.
Diversification Opportunities for 17 Education and Cracker Barrel
-0.14 | Correlation Coefficient |
Good diversification
The 3 months correlation between 17 Education and Cracker is -0.14. Overlapping area represents the amount of risk that can be diversified away by holding 17 Education Technology and Cracker Barrel Old in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cracker Barrel Old and 17 Education 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 17 Education Technology are associated (or correlated) with Cracker Barrel. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cracker Barrel Old has no effect on the direction of 17 Education i.e., 17 Education and Cracker Barrel go up and down completely randomly.
Pair Corralation between 17 Education and Cracker Barrel
Allowing for the 90-day total investment horizon 17 Education Technology is expected to under-perform the Cracker Barrel. In addition to that, 17 Education is 1.31 times more volatile than Cracker Barrel Old. It trades about -0.01 of its total potential returns per unit of risk. Cracker Barrel Old is currently generating about 0.0 per unit of volatility. If you would invest 4,988 in Cracker Barrel Old on November 28, 2024 and sell it today you would lose (335.00) from holding Cracker Barrel Old or give up 6.72% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
17 Education Technology vs. Cracker Barrel Old
Performance |
| Timeline |
| 17 Education Technology |
| Cracker Barrel Old |
17 Education and Cracker Barrel Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with 17 Education and Cracker Barrel
The main advantage of trading using opposite 17 Education and Cracker Barrel positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if 17 Education position performs unexpectedly, Cracker Barrel 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 Cracker Barrel will offset losses from the drop in Cracker Barrel's long position.| 17 Education vs. Sunlands Technology Group | 17 Education vs. Ihuman Inc | 17 Education vs. Gaotu Techedu DRC | 17 Education vs. New Oriental Education |
| Cracker Barrel vs. Brinker International | Cracker Barrel vs. BJs Restaurants | Cracker Barrel vs. Texas Roadhouse | Cracker Barrel vs. Papa Johns International |
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
| Stock Screener Find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook. | |
| Economic Indicators Top statistical indicators that provide insights into how an economy is performing | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Stocks Directory Find actively traded stocks across global markets | |
| Balance Of Power Check stock momentum by analyzing Balance Of Power indicator and other technical ratios |