Correlation Between Sweetgreen and NewtekOne, 800

Can any of the company-specific risk be diversified away by investing in both Sweetgreen and NewtekOne, 800 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 Sweetgreen and NewtekOne, 800 into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Sweetgreen and NewtekOne, 800 percent, you can compare the effects of market volatilities on Sweetgreen and NewtekOne, 800 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 Sweetgreen with a short position of NewtekOne, 800. Check out your portfolio center. Please also check ongoing floating volatility patterns of Sweetgreen and NewtekOne, 800.

Diversification Opportunities for Sweetgreen and NewtekOne, 800

-0.84

Correlation Coefficient

Sweetgreen  NewtekOne, 800

Pay attention - limited upside

The 3 months correlation between Sweetgreen and NewtekOne, is -0.84. Overlapping area represents the amount of risk that can be diversified away by holding Sweetgreen and NewtekOne, 800 percent in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on NewtekOne, 800 percent and Sweetgreen 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 Sweetgreen are associated (or correlated) with NewtekOne, 800. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of NewtekOne, 800 percent has no effect on the direction of Sweetgreen i.e., Sweetgreen and NewtekOne, 800 go up and down completely randomly.

Pair Corralation between Sweetgreen and NewtekOne, 800

Allowing for the 90-day total investment horizon Sweetgreen is expected to under-perform the NewtekOne, 800. In addition to that, Sweetgreen is 8.91 times more volatile than NewtekOne, 800 percent. It trades about -0.07 of its total potential returns per unit of risk. NewtekOne, 800 percent is currently generating about 0.04 per unit of volatility. If you would invest  2,479  in NewtekOne, 800 percent on December 30, 2024 and sell it today you would earn a total of  29.00  from holding NewtekOne, 800 percent or generate 1.17% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Significant
Accuracy	100.0%
Values	Daily Returns

Sweetgreen  vs.  NewtekOne, 800 percent

Sweetgreen

Risk-Adjusted Performance

Very Weak

Over the last 90 days Sweetgreen has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unsteady performance in the last few months, the Stock's technical and fundamental indicators remain nearly stable which may send shares a bit higher in April 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

NewtekOne, 800 percent

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in NewtekOne, 800 percent are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite fairly strong basic indicators, NewtekOne, 800 is not utilizing all of its potentials. The current stock price confusion, may contribute to short-horizon losses for the traders.

Pair Trading with Sweetgreen and NewtekOne, 800

The main advantage of trading using opposite Sweetgreen and NewtekOne, 800 positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Sweetgreen position performs unexpectedly, NewtekOne, 800 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 NewtekOne, 800 will offset losses from the drop in NewtekOne, 800's long position.

The idea behind Sweetgreen and NewtekOne, 800 percent 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 CEOs Directory module to screen CEOs from public companies around the world.