Correlation Between Home Point and Mr Cooper
Can any of the company-specific risk be diversified away by investing in both Home Point and Mr Cooper 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 Home Point and Mr Cooper into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Home Point Capital and Mr Cooper Group, you can compare the effects of market volatilities on Home Point and Mr Cooper 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 Home Point with a short position of Mr Cooper. Check out your portfolio center. Please also check ongoing floating volatility patterns of Home Point and Mr Cooper.
Diversification Opportunities for Home Point and Mr Cooper
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Home and COOP is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Home Point Capital and Mr Cooper Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mr Cooper Group and Home Point 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 Home Point Capital are associated (or correlated) with Mr Cooper. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mr Cooper Group has no effect on the direction of Home Point i.e., Home Point and Mr Cooper go up and down completely randomly.
Pair Corralation between Home Point and Mr Cooper
If you would invest 9,431 in Mr Cooper Group on December 27, 2024 and sell it today you would earn a total of 1,332 from holding Mr Cooper Group or generate 14.12% return on investment over 90 days.
Time Period | 3 Months [change] |
Direction | Flat |
Strength | Insignificant |
Accuracy | 0.0% |
Values | Daily Returns |
Home Point Capital vs. Mr Cooper Group
Performance |
Timeline |
Home Point Capital |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Mr Cooper Group |
Home Point and Mr Cooper Volatility Contrast
Predicted Return Density |
Returns |
Pair Trading with Home Point and Mr Cooper
The main advantage of trading using opposite Home Point and Mr Cooper positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Home Point position performs unexpectedly, Mr Cooper 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 Mr Cooper will offset losses from the drop in Mr Cooper's long position.Home Point vs. CNFinance Holdings | Home Point vs. Security National Financial | Home Point vs. Encore Capital Group | Home Point vs. Guild Holdings Co |
Mr Cooper vs. Velocity Financial Llc | Mr Cooper vs. Security National Financial | Mr Cooper vs. Encore Capital Group | Mr Cooper vs. PennyMac Finl Svcs |
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 Portfolio Anywhere module to track or share privately all of your investments from the convenience of any device.
Other Complementary Tools
Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
Pattern Recognition Use different Pattern Recognition models to time the market across multiple global exchanges | |
Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments |