Correlation Between Agilent Technologies and Lumos Pharma
Can any of the company-specific risk be diversified away by investing in both Agilent Technologies and Lumos Pharma 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 Agilent Technologies and Lumos Pharma into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Agilent Technologies and Lumos Pharma, you can compare the effects of market volatilities on Agilent Technologies and Lumos Pharma 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 Agilent Technologies with a short position of Lumos Pharma. Check out your portfolio center. Please also check ongoing floating volatility patterns of Agilent Technologies and Lumos Pharma.
Diversification Opportunities for Agilent Technologies and Lumos Pharma
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Agilent and Lumos is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Agilent Technologies and Lumos Pharma in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lumos Pharma and Agilent Technologies 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 Agilent Technologies are associated (or correlated) with Lumos Pharma. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lumos Pharma has no effect on the direction of Agilent Technologies i.e., Agilent Technologies and Lumos Pharma go up and down completely randomly.
Pair Corralation between Agilent Technologies and Lumos Pharma
If you would invest 13,477 in Agilent Technologies on December 2, 2024 and sell it today you would lose (685.00) from holding Agilent Technologies or give up 5.08% of portfolio value over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 0.0% |
Values | Daily Returns |
Agilent Technologies vs. Lumos Pharma
Performance |
Timeline |
Agilent Technologies |
Lumos Pharma |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Agilent Technologies and Lumos Pharma Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Agilent Technologies and Lumos Pharma
The main advantage of trading using opposite Agilent Technologies and Lumos Pharma positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Agilent Technologies position performs unexpectedly, Lumos Pharma 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 Lumos Pharma will offset losses from the drop in Lumos Pharma's long position.Agilent Technologies vs. Danaher | Agilent Technologies vs. Illumina | Agilent Technologies vs. IDEXX Laboratories | Agilent Technologies vs. Waters |
Lumos Pharma vs. Shattuck Labs | Lumos Pharma vs. Champions Oncology | Lumos Pharma vs. Century Therapeutics | Lumos Pharma vs. Silo Pharma |
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 Correlation Analysis module to reduce portfolio risk simply by holding instruments which are not perfectly correlated.
Other Complementary Tools
Equity Valuation Check real value of public entities based on technical and fundamental data | |
Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
Competition Analyzer Analyze and compare many basic indicators for a group of related or unrelated entities | |
Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals |