Correlation Between Harte Hanks and Cimpress
Can any of the company-specific risk be diversified away by investing in both Harte Hanks and Cimpress 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 Harte Hanks and Cimpress into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Harte Hanks and Cimpress NV, you can compare the effects of market volatilities on Harte Hanks and Cimpress 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 Harte Hanks with a short position of Cimpress. Check out your portfolio center. Please also check ongoing floating volatility patterns of Harte Hanks and Cimpress.
Diversification Opportunities for Harte Hanks and Cimpress
-0.32 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Harte and Cimpress is -0.32. Overlapping area represents the amount of risk that can be diversified away by holding Harte Hanks and Cimpress NV in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cimpress NV and Harte Hanks 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 Harte Hanks are associated (or correlated) with Cimpress. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cimpress NV has no effect on the direction of Harte Hanks i.e., Harte Hanks and Cimpress go up and down completely randomly.
Pair Corralation between Harte Hanks and Cimpress
Considering the 90-day investment horizon Harte Hanks is expected to generate 7.13 times less return on investment than Cimpress. But when comparing it to its historical volatility, Harte Hanks is 1.25 times less risky than Cimpress. It trades about 0.01 of its potential returns per unit of risk. Cimpress NV is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest 4,707 in Cimpress NV on January 26, 2024 and sell it today you would earn a total of 4,231 from holding Cimpress NV or generate 89.89% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Harte Hanks vs. Cimpress NV
Performance |
| Timeline |
| Harte Hanks |
| Cimpress NV |
Harte Hanks and Cimpress Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Harte Hanks and Cimpress
The main advantage of trading using opposite Harte Hanks and Cimpress positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Harte Hanks position performs unexpectedly, Cimpress 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 Cimpress will offset losses from the drop in Cimpress' long position.| Harte Hanks vs. MGO Global Common | Harte Hanks vs. Baosheng Media Group | Harte Hanks vs. Glory Star New | Harte Hanks vs. Impact Fusion International |
| Cimpress vs. Innovid Corp | Cimpress vs. Omnicom Group | Cimpress vs. Emerald Expositions Events | Cimpress vs. QuinStreet |
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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .
Other Complementary Tools
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Idea Analyzer Analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas | |
| Top Crypto Exchanges Search and analyze digital assets across top global cryptocurrency exchanges | |
| FinTech Suite Use AI to screen and filter profitable investment opportunities | |
| Price Transformation Use Price Transformation models to analyze the depth of different equity instruments across global markets | |
| Equity Valuation Check real value of public entities based on technical and fundamental data | |
| Bond Analysis Evaluate and analyze corporate bonds as a potential investment for your portfolios. | |
| Efficient Frontier Plot and analyze your portfolio and positions against risk-return landscape of the market. | |
| ETFs Find actively traded Exchange Traded Funds (ETF) from around the world | |
| Piotroski F Score Get Piotroski F Score based on the binary analysis strategy of nine different fundamentals | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets |