Correlation Between Cellink AB and Vivos

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

By analyzing existing cross correlation between Cellink AB and Vivos Inc, you can compare the effects of market volatilities on Cellink AB and Vivos 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 Cellink AB with a short position of Vivos. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cellink AB and Vivos.

Diversification Opportunities for Cellink AB and Vivos

0.77

Correlation Coefficient

Cellink AB  Vivos

Poor diversification

The 3 months correlation between Cellink and Vivos is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Cellink AB and Vivos Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Vivos Inc and Cellink AB 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 Cellink AB are associated (or correlated) with Vivos. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vivos Inc has no effect on the direction of Cellink AB i.e., Cellink AB and Vivos go up and down completely randomly.

Pair Corralation between Cellink AB and Vivos

Assuming the 90 days horizon Cellink AB is expected to under-perform the Vivos. But the pink sheet apears to be less risky and, when comparing its historical volatility, Cellink AB is 3.38 times less risky than Vivos. The pink sheet trades about -0.04 of its potential returns per unit of risk. The Vivos Inc is currently generating about 0.27 of returns per unit of risk over similar time horizon. If you would invest  8.30  in Vivos Inc on October 10, 2024 and sell it today you would earn a total of  6.70  from holding Vivos Inc or generate 80.72% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	95.45%
Values	Daily Returns

Cellink AB  vs.  Vivos Inc

Cellink AB

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Cellink AB has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Stock's forward-looking signals remain nearly stable which may send shares a bit higher in February 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Vivos Inc

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Vivos Inc has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent technical and fundamental indicators, Vivos is not utilizing all of its potentials. The latest stock price mess, may contribute to short-term losses for the institutional investors.

Pair Trading with Cellink AB and Vivos

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

The idea behind Cellink AB and Vivos Inc 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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.