Correlation Between Menora Mivtachim and Lindblad Expeditions

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

By analyzing existing cross correlation between Menora Mivtachim Holdings and Lindblad Expeditions Holdings, you can compare the effects of market volatilities on Menora Mivtachim and Lindblad Expeditions 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 Menora Mivtachim with a short position of Lindblad Expeditions. Check out your portfolio center. Please also check ongoing floating volatility patterns of Menora Mivtachim and Lindblad Expeditions.

Diversification Opportunities for Menora Mivtachim and Lindblad Expeditions

0.23

Correlation Coefficient

Menora Mivtachim  Lindblad Expeditions

Modest diversification

The 3 months correlation between Menora and Lindblad is 0.23. Overlapping area represents the amount of risk that can be diversified away by holding Menora Mivtachim Holdings and Lindblad Expeditions Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lindblad Expeditions and Menora Mivtachim 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 Menora Mivtachim Holdings are associated (or correlated) with Lindblad Expeditions. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lindblad Expeditions has no effect on the direction of Menora Mivtachim i.e., Menora Mivtachim and Lindblad Expeditions go up and down completely randomly.

Pair Corralation between Menora Mivtachim and Lindblad Expeditions

If you would invest  2,505  in Menora Mivtachim Holdings on October 10, 2024 and sell it today you would earn a total of  0.00  from holding Menora Mivtachim Holdings or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Very Weak
Accuracy	95.24%
Values	Daily Returns

Menora Mivtachim Holdings  vs.  Lindblad Expeditions Holdings

Menora Mivtachim Holdings

Risk-Adjusted Performance

9 of 100

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Menora Mivtachim Holdings are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Despite nearly abnormal technical indicators, Menora Mivtachim may actually be approaching a critical reversion point that can send shares even higher in February 2025.

Lindblad Expeditions

Risk-Adjusted Performance

6 of 100

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Lindblad Expeditions Holdings are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of rather weak basic indicators, Lindblad Expeditions exhibited solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Menora Mivtachim and Lindblad Expeditions

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

The idea behind Menora Mivtachim Holdings and Lindblad Expeditions Holdings 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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.