Armstrong World Correlations

AWI Stock  USD 146.63  0.62  0.42%   
The current 90-days correlation between Armstrong World Indu and Quanex Building Products is 0.47 (i.e., Very weak diversification). The correlation of Armstrong World is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

Armstrong World Correlation With Market

Poor diversification

The correlation between Armstrong World Industries and DJI is 0.69 (i.e., Poor diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Armstrong World Industries and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in Armstrong World Industries. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in housing.

Moving together with Armstrong Stock

  0.78MAS MascoPairCorr
  0.66R Ryder System Earnings Call This WeekPairCorr

Moving against Armstrong Stock

  0.33APOG Apogee EnterprisesPairCorr
  0.32AEHL Antelope EnterprisePairCorr
  0.39GD General DynamicsPairCorr

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   
AZEKTREX
JELDTREX
APOGNX
TREXNX
PPIHTREX
JELDNX
  
High negative correlations   
APOGBECN
JELDROCK
BECNNX
TREXROCK
APOGJBI
JBINX

Risk-Adjusted Indicators

There is a big difference between Armstrong Stock performing well and Armstrong World Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze Armstrong World's multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.