Correlation Between Axcelis Technologies and Rev
Can any of the company-specific risk be diversified away by investing in both Axcelis Technologies and Rev 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 Axcelis Technologies and Rev into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Axcelis Technologies and Rev Group, you can compare the effects of market volatilities on Axcelis Technologies and Rev 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 Axcelis Technologies with a short position of Rev. Check out your portfolio center. Please also check ongoing floating volatility patterns of Axcelis Technologies and Rev.
Diversification Opportunities for Axcelis Technologies and Rev
0.3 | Correlation Coefficient |
Weak diversification
The 3 months correlation between Axcelis and Rev is 0.3. Overlapping area represents the amount of risk that can be diversified away by holding Axcelis Technologies and Rev Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Rev Group and Axcelis Technologies 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 Axcelis Technologies are associated (or correlated) with Rev. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Rev Group has no effect on the direction of Axcelis Technologies i.e., Axcelis Technologies and Rev go up and down completely randomly.
Pair Corralation between Axcelis Technologies and Rev
Given the investment horizon of 90 days Axcelis Technologies is expected to generate 1.12 times more return on investment than Rev. However, Axcelis Technologies is 1.12 times more volatile than Rev Group. It trades about 0.03 of its potential returns per unit of risk. Rev Group is currently generating about -0.06 per unit of risk. If you would invest 7,869 in Axcelis Technologies on September 3, 2025 and sell it today you would earn a total of 282.00 from holding Axcelis Technologies or generate 3.58% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Axcelis Technologies vs. Rev Group
Performance |
| Timeline |
| Axcelis Technologies |
| Rev Group |
Axcelis Technologies and Rev Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Axcelis Technologies and Rev
The main advantage of trading using opposite Axcelis Technologies and Rev positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Axcelis Technologies position performs unexpectedly, Rev 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 Rev will offset losses from the drop in Rev's long position.| Axcelis Technologies vs. Lend Lease Group | Axcelis Technologies vs. Erf Wireless | Axcelis Technologies vs. Broadstone Net Lease | Axcelis Technologies vs. Quality One Wireless |
| Rev vs. Trip Technologies | Rev vs. International Consolidated Airlines | Rev vs. Axcelis Technologies | Rev vs. Global Crossing Airlines |
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 Anywhere module to track or share privately all of your investments from the convenience of any device.
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