Benchmark  United States  NYSE  11,143   78.03  0.71% 


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Correlation analysis between Darden and Bloomin  

    
Investment horizon:  
  30 Days    Login   to change
  
This module allows you to analyze existing cross correlation between Darden Restaurants Inc and Bloomin Brands Inc. You can compare the effects of market volatilities on Darden and Bloomin 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 Darden with a short position of Bloomin. Please also check ongoing floating volatility patterns of Darden and Bloomin.
 Darden Restaurants Inc.  vs   Bloomin Brands Inc.
Daily Returns (%)
BLMN   DRI   
Benchmark  Embed   Timeline 
Considering 30-days investment horizon, Darden Restaurants Inc is expected to under-perform the Bloomin. But the stock apears to be less risky and, when comparing its historical volatility, Darden Restaurants Inc is 1.39 times less risky than Bloomin. The stock trades about -0.08 of its potential returns per unit of risk. The Bloomin Brands Inc is currently generating about -0.04 of returns per unit of risk over similar time horizon. If you would invest  2,337  in Bloomin Brands Inc on April 28, 2015 and sell it today you would lose (44.00) from holding Bloomin Brands Inc or give up 1.88% of portfolio value over 30 days.

Correlation Coefficient

0.12

Parameters

Time Period1 Month [change]
DirectionPositive BLMN Moved Up vs DRI
StrengthInsignificant
Accuracy90.91%
ValuesDaily Returns

Diversification

Average diversification

Overlapping area represents amount of risk that can be diversified away by holding Darden Restaurants Inc. and Bloomin Brands Inc. in the same portfolio assuming nothing else is changed

Historical Performance Chart

Comparative Volatility

Predicted Return Density  
Benchmark  Embed   Returns 

Darden Restaurants

  

Risk-adjusted Performance

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

Pair trading matchups for Darden

McDonalds Corp vs. Darden Restaurants Inc
Yum Brands Inc vs. Darden Restaurants Inc
Chipotle Mexican Grill Inc vs. Darden Restaurants Inc
Restaurant Brands International Inc vs. Darden Restaurants Inc
Dominos Pizza Inc vs. Darden Restaurants Inc
The Wendys Company vs. Darden Restaurants Inc
Jack in the Box Inc vs. Darden Restaurants Inc
Brinker International Inc vs. Darden Restaurants Inc
Cracker Barrel Old Country Store Inc vs. Darden Restaurants Inc
  

Bloomin Brands

  

Risk-adjusted Performance

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

Pair trading matchups for Bloomin

McDonalds Corp vs. Bloomin Brands Inc
Yum Brands Inc vs. Bloomin Brands Inc
Chipotle Mexican Grill Inc vs. Bloomin Brands Inc
Restaurant Brands International Inc vs. Bloomin Brands Inc
Darden Restaurants Inc vs. Bloomin Brands Inc
Dominos Pizza Inc vs. Bloomin Brands Inc
The Wendys Company vs. Bloomin Brands Inc
Jack in the Box Inc vs. Bloomin Brands Inc
Brinker International Inc vs. Bloomin Brands Inc
Cracker Barrel Old Country Store Inc vs. Bloomin Brands Inc