Correlation Between Bloom Energy and Ozop Surgical

Can any of the company-specific risk be diversified away by investing in both Bloom Energy and Ozop Surgical 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 Bloom Energy and Ozop Surgical into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Bloom Energy Corp and Ozop Surgical Corp, you can compare the effects of market volatilities on Bloom Energy and Ozop Surgical 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 Bloom Energy with a short position of Ozop Surgical. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bloom Energy and Ozop Surgical.

Diversification Opportunities for Bloom Energy and Ozop Surgical

0.01

Correlation Coefficient

Bloom Energy  Ozop Surgical

Significant diversification

The 3 months correlation between Bloom and Ozop is 0.01. Overlapping area represents the amount of risk that can be diversified away by holding Bloom Energy Corp and Ozop Surgical Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Ozop Surgical Corp and Bloom Energy 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 Bloom Energy Corp are associated (or correlated) with Ozop Surgical. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Ozop Surgical Corp has no effect on the direction of Bloom Energy i.e., Bloom Energy and Ozop Surgical go up and down completely randomly.

Pair Corralation between Bloom Energy and Ozop Surgical

Allowing for the 90-day total investment horizon Bloom Energy is expected to generate 2.01 times less return on investment than Ozop Surgical. But when comparing it to its historical volatility, Bloom Energy Corp is 4.06 times less risky than Ozop Surgical. It trades about 0.01 of its potential returns per unit of risk. Ozop Surgical Corp is currently generating about 0.01 of returns per unit of risk over similar time horizon. If you would invest  0.07  in Ozop Surgical Corp on December 26, 2024 and sell it today you would lose (0.05) from holding Ozop Surgical Corp or give up 71.43% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Bloom Energy Corp  vs.  Ozop Surgical Corp

Bloom Energy Corp

Risk-Adjusted Performance

Weak

Over the last 90 days Bloom Energy Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound technical and fundamental indicators, Bloom Energy is not utilizing all of its potentials. The current stock price tumult, may contribute to shorter-term losses for the shareholders.

Ozop Surgical Corp

Risk-Adjusted Performance

Very Weak

Over the last 90 days Ozop Surgical Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather fragile basic indicators, Ozop Surgical may actually be approaching a critical reversion point that can send shares even higher in April 2025.

Pair Trading with Bloom Energy and Ozop Surgical

The main advantage of trading using opposite Bloom Energy and Ozop Surgical positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bloom Energy position performs unexpectedly, Ozop Surgical 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 Ozop Surgical will offset losses from the drop in Ozop Surgical's long position.

The idea behind Bloom Energy Corp and Ozop Surgical Corp pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.

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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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.