Benchmark  United States  NYSE  10,865   5.8281  0.0537% 


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Correlation analysis between Salesforce and Expedia

    
  
Summary
Performance
FundamentalsTechnicalsRecomendation
   Valuation
   Backtest
   Forecast
Investment horizon:  
  30 Days    Login   to change
  
This module allows you to analyze existing cross correlation between Salesforce Inc and Expedia Inc. You can compare the effects of market volatilities on Salesforce and Expedia 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 Salesforce with a short position of Expedia. Please also check ongoing floating volatility patterns of Salesforce and Expedia.
 Salesforce.com Inc  vs   Expedia Inc.
Daily Returns (%)
EXPE   CRM   
Benchmark  Embed   Timeline 
Considering 30-days investment horizon, Salesforce Inc is expected to under-perform the Expedia. But the stock apears to be less risky and, when comparing its historical volatility, Salesforce Inc is 1.06 times less risky than Expedia. The stock trades about -0.15 of its potential returns per unit of risk. The Expedia Inc is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest  10,640  in Expedia Inc on June 5, 2015 and sell it today you would earn a total of  67.00  from holding Expedia Inc or generate 0.63% return on investment over 30 days.

Correlation Coefficient

0.5

Parameters

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

Diversification

Very weak diversification

Overlapping area represents amount of risk that can be diversified away by holding Salesforce.com Inc and Expedia Inc. in the same portfolio assuming nothing else is changed

Historical Performance Chart

Comparative Volatility

Predicted Return Density  
Benchmark  Embed   Returns 

Salesforce Inc

  

Risk-adjusted Performance

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

Pair trading matchups for Salesforce

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Bank of America Corporation vs. Salesforce Inc
Splunk Inc vs. Salesforce Inc
Tableau Software Inc vs. Salesforce Inc
  

Expedia Inc

  

Risk-adjusted Performance

Compared to the overall equity markets, risk-adjusted returns on investments in Expedia Inc are ranked lower than 1 (%) of all global equities and portfolios over the last 30 days.

Pair trading matchups for Expedia

Hilton Worldwide Holdings Inc vs. Expedia Inc
Marriott International Inc vs. Expedia Inc
Starwood Hotels Resorts Worldwide Inc vs. Expedia Inc
Ctrip International Ltd vs. Expedia Inc
Wyndham Worldwide Corporation vs. Expedia Inc
Intercontinental Hotels Group plc vs. Expedia Inc
Extended Stay America Inc vs. Expedia Inc
Choice Hotels International Inc vs. Expedia Inc
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