Innovative Industrial Properties Stock Volatility
| IIPR Stock | USD 57.29 0.70 1.24% |
Sharpe Ratio = 0.1196
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Innovative Industrial Properties reported a Market Risk Adjusted Performance of 0.3%, a Risk of 3.12, and a Risk Adjusted Performance of 0.1%. At roughly 9% of its observed historical range, the stock is trading within its prior trend boundaries.
Key indicators related to Innovative Industrial's volatility include:90 Days Market Risk | Chance Of Distress | 90 Days Economic Sensitivity |
Key risk metrics for Innovative Industrial (3 Months):
Beta 1.11 | Alpha 0.32 | Risk 3.12 | Sharpe Ratio 0.12 | Expected Return 0.37 |
Assets With Similar Volatility
| 0.71 | HR | Healthcare Realty Trust | PairCorr |
| 0.79 | AAT | American Assets Trust | PairCorr |
| 0.85 | DHC | Diversified Healthcare Trust | PairCorr |
| 0.63 | EGP | EastGroup Properties | PairCorr |
| 0.66 | FVR | FrontView REIT | PairCorr |
| 0.76 | NSR | National Storage REIT | PairCorr |
| 0.64 | HPP | Hudson Pacific Properties | PairCorr |
| 0.7 | GOOD | Gladstone Commercial | PairCorr |
Lower Correlation Assets
| 0.67 | FSP | Franklin Street Properties | PairCorr |
| 0.65 | CIO | City Office | PairCorr |
| 0.53 | ARE | Alexandria Real Estate | PairCorr |
| 0.41 | ESRT | Empire State Realty | PairCorr |
| 0.4 | ESBA | Empire State Realty | PairCorr |
Sensitivity To Market
Innovative Industrial Properties exhibits a beta of 1.11, representing its market-relative sensitivity. This coefficient separates systematic risk from company-specific volatility. Total return dispersion is approximately 3.12%. Innovative Industrial Properties return patterns over the selected horizon reflect a moderate level of variability, based on dispersion and downside-focused statistics. Standard deviation is near 3.11%. Options markets imply a forward-looking volatility estimate near 57.0%. This indicates expectations for moderate future movement relative to historical averages. Equity volatility compresses in calm markets and expands quickly when uncertainty increases. Stock dispersion changes materially during earnings seasons and macro data releases.
3 Months Beta |Innovative Industrial Demand TrendCurrent 90-day Innovative Industrial correlation with market (Dow Jones Industrial)Downside Risk
For Innovative, the standard deviation figure expresses the observed spread of daily returns over the selected period. The magnitude of Innovative standard deviation determines where it falls on the volatility spectrum relative to peers.
Standard Deviation | 3.12 |
Distinguishing between standard deviation and downside deviation sharpens the risk picture for Innovative Industrial. Standard deviation reflects total return dispersion for Innovative Industrial, while downside deviation captures only the adverse portion of Innovative Industrial's returns. Innovative Industrial Properties reported a Downside Deviation of 2.36, a Downside Variance of 5.58, and a Maximum Drawdown of 18.37.
Innovative Put Option Risk Profile Based on 2026-07-17 Contracts
Innovative Industrial Properties reported an Option Implied Volatility of 0.57 and an Option Max Pain Price of 55. Put options written on Innovative Industrial allow holders to profit from or offset a decline in Innovative Industrial's price. A put option on Innovative Stock gives the buyer the right to sell Innovative Industrial at the strike price until expiration.
Innovative Industrial's PUT expiring on 2026-07-17
Profit |
| Innovative Industrial Price At Expiration |
Current Innovative Industrial Insurance Chain
| Delta | Gamma | Open Int | Expiration | Current Spread | Last Price | |||
| Put | IIPR260717P00025000 | -0.033161 | 0.002476 | 4 | 2026-07-17 | 0.0 - 0.95 | 0.0 | View |
| Put | IIPR260717P00030000 | -0.041515 | 0.003706 | 12 | 2026-07-17 | 0.0 - 0.95 | 0.0 | View |
| Put | IIPR260717P00035000 | -0.05228 | 0.00564 | 55 | 2026-07-17 | 0.0 - 0.95 | 0.0 | View |
| Put | IIPR260717P00040000 | -0.073347 | 0.009219 | 47 | 2026-07-17 | 0.15 - 0.7 | 0.0 | View |
| Put | IIPR260717P00045000 | -0.121678 | 0.016267 | 1152 | 2026-07-17 | 0.7 - 1.0 | 0.0 | View |
| Put | IIPR260717P00050000 | -0.236834 | 0.026695 | 109 | 2026-07-17 | 1.55 - 2.0 | 0.0 | View |
| Put | IIPR260717P00055000 | -0.402299 | 0.03535 | 126 | 2026-07-17 | 3.2 - 3.8 | 0.0 | View |
| Put | IIPR260717P00060000 | -0.57831 | 0.034614 | 39 | 2026-07-17 | 5.2 - 7.7 | 0.0 | View |
| Put | IIPR260717P00065000 | -0.718247 | 0.028407 | 5 | 2026-07-17 | 9.0 - 11.4 | 0.0 | View |
| Put | IIPR260717P00070000 | -0.802313 | 0.021056 | 6 | 2026-07-17 | 13.5 - 15.7 | 0.0 | View |
| Put | IIPR260717P00075000 | -0.870351 | 0.014901 | 3 | 2026-07-17 | 17.6 - 20.6 | 0.0 | View |
Stock Volatility Analysis
For Innovative Industrial, understanding volatility is essential to assessing portfolio risk contribution. It indicates how dramatically Innovative Industrial's price swings over a specific time horizon.
Transformation |
This analysis covers sixty-one data points across the selected time horizon. The Average Price transformation calculates the mean of Innovative Industrial's open, high, low, and close for each trading period. By incorporating all four price components equally, it provides a balanced representation of each period's trading activity. Compared to using the closing price alone, the average price reduces the influence of end-of-day positioning and can serve as a smoother input for other technical indicators.
Projected Return Density Against Market
Given a 90-day horizon, Innovative Industrial has a beta of 1.1104. This usually indicates Innovative Industrial Properties market returns are sensible to returns on the market. As the market goes up or down, Innovative Industrial tends to follow.The risk profile of Innovative Industrial includes exposure to market fluctuations and company or sector-specific developments. Systematic components persist despite diversification. Innovative Industrial Properties reported a Downside Deviation of 2.36, a Mean Deviation of 2.03, and an Option Implied Volatility of 0.57.
Predicted Return Distribution |
| Density |
What Drives Innovative Industrial's Price Volatility?
Industry Dynamics
Innovative Industrial's volatility can rise when competitive dynamics or demand conditions shift across the Diversified REITs sector.Political and Economic Environment
Changes in fiscal policy, rates, and growth expectations affect market-wide risk premiums and spill into Innovative Industrial's trading.Innovative Industrial's Company-Specific Factors
Event risk around earnings, forecasts, and operating performance can create abrupt price dispersion in Innovative Industrial.Stock Risk Measures
Given a 90-day horizon, the coefficient of variation of Innovative Industrial is 836.27. The daily returns are distributed with a variance of 9.73 and standard deviation of 3.12. The mean deviation of Innovative Industrial Properties is currently at 2.0. For similar time horizon, the selected benchmark (Dow Jones Industrial) has volatility of 0.96
α | Alpha over Dow Jones | 0.32 | |
β | Beta against Dow Jones | 1.11 | |
σ | Overall volatility | 3.12 | |
Ir | Information ratio | 0.10 |
Stock Return Volatility
Innovative Industrial return volatility captures the typical daily swing in stock returns relative to the mean over the selected period. The company has volatility of 3.1196% on return distribution over a 90-day investment horizon. Meanwhile, Dow Jones Industrial reported 0.9237% volatility on return distribution over a 90-day investment horizon. Performance |
| Timeline |
Related Correlations Analysis
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Correlation Matchups
Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.High positive correlations
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Risk-Adjusted Indicators
Innovative Industrial Company can look attractive on recent price action while risk efficiency lags the peer group. Risk-adjusted metrics help compare Innovative Industrial's efficiency and downside exposure against peers on a like-for-like basis. These indicators are quantitative in nature and measure volatility and risk-adjusted expected returns across different positions.| Mean Deviation | Jensen Alpha | Sortino Ratio | Treynor Ratio | Semi Deviation | Expected Shortfall | Potential Upside | Value @Risk | Maximum Drawdown | ||
|---|---|---|---|---|---|---|---|---|---|---|
| ARI | 0.94 | 0.05 | 0.04 | 0.06 | 1.14 | 2.03 | 6.15 | |||
| EFC | 0.96 | 0.13 | 0.10 | 0.16 | 1.18 | 2.33 | 6.16 | |||
| KREF | 1.89 | -0.18 | 0.00 | -0.17 | 0.00 | 3.49 | 17.80 | |||
| LADR | 1.03 | -0.05 | 0.00 | 0.10 | 0.00 | 1.95 | 8.18 | |||
| TRTX | 1.11 | -0.04 | 0.00 | -0.05 | 0.00 | 2.09 | 5.88 | |||
| EPR | 1.20 | 0.09 | 0.05 | 0.17 | 1.63 | 2.62 | 9.86 | |||
| VRE | 0.71 | 0.32 | 0.62 | -1.64 | 0.00 | 3.69 | 12.32 | |||
| PLYM | 0.28 | -0.02 | 0.00 | -0.27 | 0.00 | 0.63 | 5.25 | |||
| UMH | 0.89 | 0.01 | 0.01 | 0.03 | 1.28 | 1.67 | 5.86 | |||
| FOR | 1.51 | -0.09 | 0.00 | -0.08 | 0.00 | 2.58 | 8.99 |
Risk Metrics, Assumptions & Methodology
Standard deviation for Innovative Industrial measures how widely returns scatter around their average over a given period. Dispersion compression can indicate low-information regimes where prices drift on thin conviction. Innovative Industrial has a market cap of 1.65 billion, P/E of 36.04, ROE of 6.29%.
Innovative Industrial Properties analytics rely on periodic company reporting and market reference feeds, with quality checks and normalization applied. Volatility and downside metrics are estimated from historical return dispersion.
Editorial review and methodology oversight provided by: Ellen Johnson, Member of Macroaxis Editorial Board
Volatility Profile Summary
Recent data suggests that Innovative Industrial Properties is more volatile than Dow Jones Industrial by approximately 3.39x over the selected horizon. This differential reflects the relative dispersion of returns and frames how the asset responds to broader market conditions. Observed price behavior indicates modest directional movement within the current volatility regime. Across the current 90-day horizon, that places the security below 28% of the broader equity and portfolio universe on a pure volatility basis. This positioning reflects relative dispersion compared to peers rather than extreme instability.Innovative Industrial Properties with characteristics aligned to broad market upside participation. This price-change note interprets the latest move in the context of short-horizon trading behavior. It gains reliability when combined with broader risk controls and volatility-adjusted analysis. a large bullish trend. Return distributions derived from historical modeling outline a range of potential outcomes over the selected 90-day horizon. View Innovative Industrial probability analysis.
Very good diversification
Across the chosen horizon, Innovative Industrial and Dow Jones show a correlation of 0.02 and fall into the Very good diversification bucket. Lower overlap tends to improve diversification, while higher overlap means both positions carry similar risk.
Additional Risk Indicators
Risk analysis around Innovative Industrial Properties gains depth when secondary indicators confirm, refine, or challenge the basic volatility picture. The practical goal is to identify how much risk is being accepted and whether that risk still fits the thesis.
| Risk Adjusted Performance | 0.1096 | |||
| Market Risk Adjusted Performance | 0.2996 | |||
| Mean Deviation | 2.03 | |||
| Semi Deviation | 2.01 | |||
| Downside Deviation | 2.36 | |||
| Coefficient Of Variation | 938.8 | |||
| Standard Deviation | 3.11 |
Innovative Industrial Suggested Diversification Pairs
Pair analysis provides a framework for evaluating relative performance between Innovative Industrial Properties and comparable securities. Pair trading is less about prediction in isolation and more about identifying relative mispricing between related positions.
While pairing positions reduces portfolio risk, some forms of risk persist no matter which instruments are combined. No matter how well a pair is constructed around Innovative Industrial, market-wide risk remains. What pair trading can address is Innovative Industrial's unsystematic risk - the portion driven by company or sector-specific factors rather than broad market forces.