Benchmark  United States  NYSE  11,198   41.9775  -0.3735% 


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Correlation analysis between Big Lots and WalMart  

    
Investment horizon:  
  30 Days    Login   to change
  
This module allows you to analyze existing cross correlation between Big Lots Inc and WalMart Stores Inc. You can compare the effects of market volatilities on Big Lots and WalMart 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 Big Lots with a short position of WalMart. Please also check ongoing floating volatility patterns of Big Lots and WalMart.
 Big Lots Inc.  vs   WalMart Stores Inc.
Daily Returns (%)
WMT   BIG   
Benchmark  Embed   Timeline 
Considering 30-days investment horizon, Big Lots Inc is expected to generate 1.22 times more return on investment than WalMart. However, Big Lots is 1.22 times more volatile than WalMart Stores Inc. It trades about -0.12 of its potential returns per unit of risk. WalMart Stores Inc is currently generating about -0.19 per unit of risk. If you would invest  4,757  in Big Lots Inc on April 24, 2015 and sell it today you would lose (192.00) from holding Big Lots Inc or give up 4.04% of portfolio value over 30 days.

Correlation Coefficient

0.42

Parameters

Time Period1 Month [change]
DirectionPositive WMT Moved Up vs BIG
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Diversification

Very weak diversification

Overlapping area represents amount of risk that can be diversified away by holding Big Lots Inc. and WalMart Stores Inc. in the same portfolio assuming nothing else is changed

Historical Performance Chart

Comparative Volatility

Predicted Return Density  
Benchmark  Embed   Returns 

Big Lots Inc

  

Risk-adjusted Performance

Over the last 30 days Big Lots Inc has generated negative risk-adjusted returns adding no value to investors with long positions.

Pair trading matchups for Big Lots

WalMart Stores Inc vs. Big Lots Inc
Costco Wholesale Corporation vs. Big Lots Inc
Target Corp vs. Big Lots Inc
Dollar Tree Inc vs. Big Lots Inc
Family Dollar Stores Inc vs. Big Lots Inc
PriceSmart Inc vs. Big Lots Inc
zulily Inc vs. Big Lots Inc
Freds Inc vs. Big Lots Inc
Tuesday Morning Corporation vs. Big Lots Inc
  

WalMart Stores

  

Risk-adjusted Performance

Over the last 30 days WalMart Stores Inc has generated negative risk-adjusted returns adding no value to investors with long positions.

Pair trading matchups for WalMart

Costco Wholesale Corporation vs. WalMart Stores Inc
Target Corp vs. WalMart Stores Inc
Dollar Tree Inc vs. WalMart Stores Inc
Family Dollar Stores Inc vs. WalMart Stores Inc
Big Lots Inc vs. WalMart Stores Inc
PriceSmart Inc vs. WalMart Stores Inc
zulily Inc vs. WalMart Stores Inc
Freds Inc vs. WalMart Stores Inc
Tuesday Morning Corporation vs. WalMart Stores Inc