Correlation Between Tritium DCFC and Expion360

Can any of the company-specific risk be diversified away by investing in both Tritium DCFC and Expion360 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 Tritium DCFC and Expion360 into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Tritium DCFC Limited and Expion360, you can compare the effects of market volatilities on Tritium DCFC and Expion360 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 Tritium DCFC with a short position of Expion360. Check out your portfolio center. Please also check ongoing floating volatility patterns of Tritium DCFC and Expion360.

Diversification Opportunities for Tritium DCFC and Expion360

0.0

Correlation Coefficient

Tritium DCFC  Expion360

Pay attention - limited upside

The 3 months correlation between Tritium and Expion360 is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Tritium DCFC Limited and Expion360 in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Expion360 and Tritium DCFC 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 Tritium DCFC Limited are associated (or correlated) with Expion360. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Expion360 has no effect on the direction of Tritium DCFC i.e., Tritium DCFC and Expion360 go up and down completely randomly.

Pair Corralation between Tritium DCFC and Expion360

If you would invest (100.00) in Tritium DCFC Limited on December 30, 2024 and sell it today you would earn a total of  100.00  from holding Tritium DCFC Limited or generate -100.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	0.0%
Values	Daily Returns

Tritium DCFC Limited  vs.  Expion360

Tritium DCFC Limited

Risk-Adjusted Performance

Very Weak

Over the last 90 days Tritium DCFC Limited has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly stable fundamental indicators, Tritium DCFC is not utilizing all of its potentials. The latest stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Expion360

Risk-Adjusted Performance

Very Weak

Over the last 90 days Expion360 has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain very healthy which may send shares a bit higher in April 2025. The recent disarray may also be a sign of long period up-swing for the firm investors.

Pair Trading with Tritium DCFC and Expion360

The main advantage of trading using opposite Tritium DCFC and Expion360 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Tritium DCFC position performs unexpectedly, Expion360 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 Expion360 will offset losses from the drop in Expion360's long position.

The idea behind Tritium DCFC Limited and Expion360 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 Global Markets Map module to get a quick overview of global market snapshot using zoomable world map. Drill down to check world indexes.