This module allows you to analyze existing cross correlation between Target Corporation and Aarons Inc. You can compare the effects of market volatilities on Target and Aarons 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 Target with a short position of Aarons. See also your portfolio center
. Please also check ongoing floating volatility patterns of Target
Target Corp. vs Aarons Inc
Considering 30-days investment horizon, Target Corporation is expected to under-perform the Aarons. In addition to that, Target is 1.22 times more volatile than Aarons Inc. It trades about -0.05 of its total potential returns per unit of risk. Aarons Inc is currently generating about 0.41 per unit of volatility. If you would invest 4,256 in Aarons Inc on February 18, 2018 and sell it today you would earn a total of 498.00 from holding Aarons Inc or generate 11.7% return on investment over 30 days.
|Time Period||1 Month [change]|
Overlapping area represents the amount of risk that can be diversified away by holding Target Corp. and Aarons Inc in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Aarons Inc and Target 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 Target Corporation are associated (or correlated) with Aarons. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aarons Inc has no effect on the direction of Target i.e. Target and Aarons go up and down completely randomly.
Over the last 30 days Target Corporation has generated negative risk-adjusted returns adding no value to investors with long positions.
Compared to the overall equity markets, risk-adjusted returns on investments in Aarons Inc are ranked lower than 26 (%) of all global equities and portfolios over the last 30 days.