Correlation Between Dunkin Brands and Brinker International
Can any of the company-specific risk be diversified away by investing in both Dunkin Brands and Brinker International 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 Dunkin Brands and Brinker International into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Dunkin Brands Group and Brinker International, you can compare the effects of market volatilities on Dunkin Brands and Brinker International 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 Dunkin Brands with a short position of Brinker International. Check out your portfolio center. Please also check ongoing floating volatility patterns of Dunkin Brands and Brinker International.
Diversification Opportunities for Dunkin Brands and Brinker International
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Dunkin and Brinker is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Dunkin Brands Group and Brinker International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Brinker International and Dunkin Brands 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 Dunkin Brands Group are associated (or correlated) with Brinker International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Brinker International has no effect on the direction of Dunkin Brands i.e., Dunkin Brands and Brinker International go up and down completely randomly.
Pair Corralation between Dunkin Brands and Brinker International
If you would invest 3,941 in Brinker International on January 26, 2024 and sell it today you would earn a total of 818.00 from holding Brinker International or generate 20.76% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Dunkin Brands Group vs. Brinker International
Performance |
| Timeline |
| Dunkin Brands Group |
Risk-Adjusted Performance
0 of 100
Weak | Strong |
Very Weak
| Brinker International |
Dunkin Brands and Brinker International Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Dunkin Brands and Brinker International
The main advantage of trading using opposite Dunkin Brands and Brinker International positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Dunkin Brands position performs unexpectedly, Brinker International 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 Brinker International will offset losses from the drop in Brinker International's long position.| Dunkin Brands vs. Nascent Wine | Dunkin Brands vs. MGP Ingredients | Dunkin Brands vs. Where Food Comes | Dunkin Brands vs. NH Foods Ltd |
| Brinker International vs. Imax Corp | Brinker International vs. Marcus | Brinker International vs. AMC Networks | Brinker International vs. Cinemark Holdings |
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 the Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Investing Opportunities Build portfolios using our predefined set of ideas and optimize them against your investing preferences | |
| Volatility Analysis Get historical volatility and risk analysis based on latest market data | |
| Technical Analysis Check basic technical indicators and analysis based on most latest market data | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| My Watchlist Analysis Analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like |