Correlation Between NBTM New and Dana
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By analyzing existing cross correlation between NBTM New Materials and Dana Inc, you can compare the effects of market volatilities on NBTM New and Dana 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 NBTM New with a short position of Dana. Check out your portfolio center. Please also check ongoing floating volatility patterns of NBTM New and Dana.
Diversification Opportunities for NBTM New and Dana
Excellent diversification
The 3 months correlation between NBTM and Dana is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding NBTM New Materials and Dana Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Dana Inc and NBTM New 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 NBTM New Materials are associated (or correlated) with Dana. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Dana Inc has no effect on the direction of NBTM New i.e., NBTM New and Dana go up and down completely randomly.
Pair Corralation between NBTM New and Dana
Assuming the 90 days trading horizon NBTM New Materials is expected to under-perform the Dana. In addition to that, NBTM New is 1.32 times more volatile than Dana Inc. It trades about -0.03 of its total potential returns per unit of risk. Dana Inc is currently generating about 0.05 per unit of volatility. If you would invest 2,066 in Dana Inc on September 6, 2025 and sell it today you would earn a total of 125.00 from holding Dana Inc or generate 6.05% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Weak |
| Accuracy | 92.06% |
| Values | Daily Returns |
NBTM New Materials vs. Dana Inc
Performance |
| Timeline |
| NBTM New Materials |
| Dana Inc |
NBTM New and Dana Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with NBTM New and Dana
The main advantage of trading using opposite NBTM New and Dana positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if NBTM New position performs unexpectedly, Dana 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 Dana will offset losses from the drop in Dana's long position.| NBTM New vs. Shenzhen Jinxinnong Feed | NBTM New vs. Kweichow Moutai Co | NBTM New vs. G bits Network Technology | NBTM New vs. Contemporary Amperex Technology |
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 Equity Valuation module to check real value of public entities based on technical and fundamental data.
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