Correlation Between Cytokinetics and Intel Corp

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Cytokinetics and Intel 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 Cytokinetics and Intel Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Cytokinetics and Intel Corp, you can compare the effects of market volatilities on Cytokinetics and Intel 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 Cytokinetics with a short position of Intel Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of Cytokinetics and Intel Corp.

Diversification Opportunities for Cytokinetics and Intel Corp

-0.76
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between Cytokinetics and Intel is -0.76. Overlapping area represents the amount of risk that can be diversified away by holding Cytokinetics and Intel Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Intel Corp and Cytokinetics 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 Cytokinetics are associated (or correlated) with Intel Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Intel Corp has no effect on the direction of Cytokinetics i.e., Cytokinetics and Intel Corp go up and down completely randomly.

Pair Corralation between Cytokinetics and Intel Corp

Given the investment horizon of 90 days Cytokinetics is expected to generate 1.58 times more return on investment than Intel Corp. However, Cytokinetics is 1.58 times more volatile than Intel Corp. It trades about 0.1 of its potential returns per unit of risk. Intel Corp is currently generating about -0.38 per unit of risk. If you would invest  4,247  in Cytokinetics on June 28, 2022 and sell it today you would earn a total of  545.00  from holding Cytokinetics or generate 12.83% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Cytokinetics  vs.  Intel Corp

 Performance (%) 
       Timeline  
Cytokinetics 
Cytokinetics Performance
2 of 100
Compared to the overall equity markets, risk-adjusted returns on investments in Cytokinetics are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite fairly abnormal basic indicators, Cytokinetics may actually be approaching a critical reversion point that can send shares even higher in October 2022.

Cytokinetics Price Channel

Intel Corp 
Intel Performance
0 of 100
Over the last 90 days Intel 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 basic indicators remain somewhat strong which may send shares a bit higher in October 2022. The current disturbance may also be a sign of long term up-swing for the company investors.

Intel Price Channel

Cytokinetics and Intel Corp Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Cytokinetics and Intel Corp

The main advantage of trading using opposite Cytokinetics and Intel Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Cytokinetics position performs unexpectedly, Intel 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 Intel Corp will offset losses from the drop in Intel Corp's long position.
Cytokinetics vs. Clearwater Paper Corp
The idea behind Cytokinetics and Intel 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.
Intel Corp vs. Kibush Capital Corp
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 Stock Screener module to find equities using custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..

Other Complementary Tools

CEO Directory
Screen CEOs from public companies around the world
Go
Price Transformation
Use Price Transformation models to analyze depth of different equity instruments across global markets
Go
Idea Breakdown
Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
Go
Performance Analysis
Check effects of mean-variance optimization against your current asset allocation
Go
Idea Breakdown
Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes
Go
Financial Widgets
Easily integrated Macroaxis content with over 30 different plug-and-play financial widgets
Go
Price Ceiling Movement
Calculate and plot Price Ceiling Movement for different equity instruments
Go
Portfolio Manager
State of the art Portfolio Manager to monitor and improve performance of your invested capital
Go
Global Correlations
Find global opportunities by holding instruments from different markets
Go
Idea Analyzer
Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas
Go
Idea Optimizer
Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio
Go
Fundamentals Comparison
Compare fundamentals across multiple equities to find investing opportunities
Go
Commodity Channel Index
Use Commodity Channel Index to analyze current equity momentum
Go