Correlation Between Jeffs Brands and Bruush Oral

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

By analyzing existing cross correlation between Jeffs Brands and Bruush Oral Care, you can compare the effects of market volatilities on Jeffs Brands and Bruush Oral 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 Jeffs Brands with a short position of Bruush Oral. Check out your portfolio center. Please also check ongoing floating volatility patterns of Jeffs Brands and Bruush Oral.

Diversification Opportunities for Jeffs Brands and Bruush Oral

0.0

Correlation Coefficient

Jeffs Brands  Bruush Oral

Pay attention - limited upside

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

Pair Corralation between Jeffs Brands and Bruush Oral

If you would invest  2.50  in Jeffs Brands on December 5, 2024 and sell it today you would earn a total of  0.50  from holding Jeffs Brands or generate 20.0% return on investment over 90 days.

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

Jeffs Brands  vs.  Bruush Oral Care

Jeffs Brands

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Jeffs Brands are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. In spite of fairly weak basic indicators, Jeffs Brands showed solid returns over the last few months and may actually be approaching a breakup point.

Bruush Oral Care

Risk-Adjusted Performance

Very Weak

Over the last 90 days Bruush Oral Care has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong basic indicators, Bruush Oral is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with Jeffs Brands and Bruush Oral

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

The idea behind Jeffs Brands and Bruush Oral Care 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 Odds Of Bankruptcy module to get analysis of equity chance of financial distress in the next 2 years.