Correlation Between Moderna and Aditxt

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both Moderna and Aditxt 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 Moderna and Aditxt into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Moderna and Aditxt Inc, you can compare the effects of market volatilities on Moderna and Aditxt 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 Moderna with a short position of Aditxt. Check out your portfolio center. Please also check ongoing floating volatility patterns of Moderna and Aditxt.

Diversification Opportunities for Moderna and Aditxt

-0.7
  Correlation Coefficient

Excellent diversification

The 3 months correlation between Moderna and Aditxt is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding Moderna and Aditxt Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aditxt Inc and Moderna 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 Moderna are associated (or correlated) with Aditxt. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aditxt Inc has no effect on the direction of Moderna i.e., Moderna and Aditxt go up and down completely randomly.

Pair Corralation between Moderna and Aditxt

Given the investment horizon of 90 days Moderna is expected to generate 1.43 times more return on investment than Aditxt. However, Moderna is 1.43 times more volatile than Aditxt Inc. It trades about 0.33 of its potential returns per unit of risk. Aditxt Inc is currently generating about -0.23 per unit of risk. If you would invest  11,162  in Moderna on February 29, 2024 and sell it today you would earn a total of  4,158  from holding Moderna or generate 37.25% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

Moderna  vs.  Aditxt Inc

 Performance 
       Timeline  
Moderna 

Risk-Adjusted Performance

19 of 100

 
Weak
 
Strong
Solid
Compared to the overall equity markets, risk-adjusted returns on investments in Moderna are ranked lower than 19 (%) of all global equities and portfolios over the last 90 days. Despite somewhat unfluctuating basic indicators, Moderna sustained solid returns over the last few months and may actually be approaching a breakup point.
Aditxt Inc 

Risk-Adjusted Performance

0 of 100

 
Weak
 
Strong
Very Weak
Over the last 90 days Aditxt Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unfluctuating performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in June 2024. The current disturbance may also be a sign of long term up-swing for the company investors.

Moderna and Aditxt Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Moderna and Aditxt

The main advantage of trading using opposite Moderna and Aditxt positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Moderna position performs unexpectedly, Aditxt 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 Aditxt will offset losses from the drop in Aditxt's long position.
The idea behind Moderna and Aditxt Inc pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
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 FinTech Suite module to use AI to screen and filter profitable investment opportunities.

Other Complementary Tools

Stock Tickers
Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites
Efficient Frontier
Plot and analyze your portfolio and positions against risk-return landscape of the market.
Stocks Directory
Find actively traded stocks across global markets
Portfolio Center
All portfolio management and optimization tools to improve performance of your portfolios
Crypto Correlations
Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins
Top Crypto Exchanges
Search and analyze digital assets across top global cryptocurrency exchanges