Correlation Between Ozon Holdings and Kidpik Corp

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

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

Diversification Opportunities for Ozon Holdings and Kidpik Corp

0.0

Correlation Coefficient

Ozon Holdings  Kidpik Corp

Pay attention - limited upside

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

Pair Corralation between Ozon Holdings and Kidpik Corp

If you would invest (100.00) in Ozon Holdings PLC on December 27, 2024 and sell it today you would earn a total of  100.00  from holding Ozon Holdings PLC 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

Ozon Holdings PLC  vs.  Kidpik Corp

Ozon Holdings PLC

Risk-Adjusted Performance

Very Weak

Over the last 90 days Ozon Holdings PLC has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy basic indicators, Ozon Holdings is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Kidpik Corp

Risk-Adjusted Performance

Very Weak

Over the last 90 days Kidpik Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite weak performance in the last few months, the Stock's forward indicators remain quite persistent which may send shares a bit higher in April 2025. The latest mess may also be a sign of long-standing up-swing for the company institutional investors.

Pair Trading with Ozon Holdings and Kidpik Corp

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

The idea behind Ozon Holdings PLC and Kidpik Corp 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 Equity Valuation module to check real value of public entities based on technical and fundamental data.