Correlation Between COSMOSTEEL HLDGS and Phillips

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both COSMOSTEEL HLDGS and Phillips 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 COSMOSTEEL HLDGS and Phillips into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between COSMOSTEEL HLDGS and Phillips 66, you can compare the effects of market volatilities on COSMOSTEEL HLDGS and Phillips 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 COSMOSTEEL HLDGS with a short position of Phillips. Check out your portfolio center. Please also check ongoing floating volatility patterns of COSMOSTEEL HLDGS and Phillips.

Diversification Opportunities for COSMOSTEEL HLDGS and Phillips

COSMOSTEELPhillipsDiversified AwayCOSMOSTEELPhillipsDiversified Away100%
-0.4
  Correlation Coefficient

Very good diversification

The 3 months correlation between COSMOSTEEL and Phillips is -0.4. Overlapping area represents the amount of risk that can be diversified away by holding COSMOSTEEL HLDGS and Phillips 66 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Phillips 66 and COSMOSTEEL HLDGS 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 COSMOSTEEL HLDGS are associated (or correlated) with Phillips. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Phillips 66 has no effect on the direction of COSMOSTEEL HLDGS i.e., COSMOSTEEL HLDGS and Phillips go up and down completely randomly.

Pair Corralation between COSMOSTEEL HLDGS and Phillips

Assuming the 90 days trading horizon COSMOSTEEL HLDGS is expected to generate 1.68 times more return on investment than Phillips. However, COSMOSTEEL HLDGS is 1.68 times more volatile than Phillips 66. It trades about 0.12 of its potential returns per unit of risk. Phillips 66 is currently generating about -0.01 per unit of risk. If you would invest  6.05  in COSMOSTEEL HLDGS on November 15, 2024 and sell it today you would earn a total of  1.30  from holding COSMOSTEEL HLDGS or generate 21.49% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthVery Weak
Accuracy100.0%
ValuesDaily Returns

COSMOSTEEL HLDGS  vs.  Phillips 66

 Performance 
JavaScript chart by amCharts 3.21.15NovDec2025 -10-505101520
JavaScript chart by amCharts 3.21.15CMR R66
       Timeline  
COSMOSTEEL HLDGS 

Risk-Adjusted Performance

OK

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in COSMOSTEEL HLDGS are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively fragile basic indicators, COSMOSTEEL HLDGS unveiled solid returns over the last few months and may actually be approaching a breakup point.
JavaScript chart by amCharts 3.21.15DecJanFebJanFeb0.060.0620.0640.0660.0680.070.0720.074
Phillips 66 

Risk-Adjusted Performance

Very Weak

 
Weak
 
Strong
Over the last 90 days Phillips 66 has generated negative risk-adjusted returns adding no value to investors with long positions. Despite nearly stable basic indicators, Phillips is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.
JavaScript chart by amCharts 3.21.15DecJanFebJanFeb105110115120125130

COSMOSTEEL HLDGS and Phillips Volatility Contrast

   Predicted Return Density   
JavaScript chart by amCharts 3.21.15-9.21-6.9-4.59-2.270.02.324.767.29.6412.08 0.020.040.060.080.100.12
JavaScript chart by amCharts 3.21.15CMR R66
       Returns  

Pair Trading with COSMOSTEEL HLDGS and Phillips

The main advantage of trading using opposite COSMOSTEEL HLDGS and Phillips positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if COSMOSTEEL HLDGS position performs unexpectedly, Phillips 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 Phillips will offset losses from the drop in Phillips' long position.
The idea behind COSMOSTEEL HLDGS and Phillips 66 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.
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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.

Other Complementary Tools

Commodity Directory
Find actively traded commodities issued by global exchanges
Portfolio Suggestion
Get suggestions outside of your existing asset allocation including your own model portfolios
Aroon Oscillator
Analyze current equity momentum using Aroon Oscillator and other momentum ratios
Bollinger Bands
Use Bollinger Bands indicator to analyze target price for a given investing horizon
Companies Directory
Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals


 

Discover investing ideas

Utilize additional investing modules