Correlation Between Applovin Corp and Hubbell
Can any of the company-specific risk be diversified away by investing in both Applovin Corp and Hubbell 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 Applovin Corp and Hubbell into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Applovin Corp and Hubbell, you can compare the effects of market volatilities on Applovin Corp and Hubbell 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 Applovin Corp with a short position of Hubbell. Check out your portfolio center. Please also check ongoing floating volatility patterns of Applovin Corp and Hubbell.
Diversification Opportunities for Applovin Corp and Hubbell
0.88 | Correlation Coefficient |
Very poor diversification
The 3 months correlation between Applovin and Hubbell is 0.88. Overlapping area represents the amount of risk that can be diversified away by holding Applovin Corp and Hubbell in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hubbell and Applovin Corp 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 Applovin Corp are associated (or correlated) with Hubbell. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hubbell has no effect on the direction of Applovin Corp i.e., Applovin Corp and Hubbell go up and down completely randomly.
Pair Corralation between Applovin Corp and Hubbell
Considering the 90-day investment horizon Applovin Corp is expected to under-perform the Hubbell. In addition to that, Applovin Corp is 2.25 times more volatile than Hubbell. It trades about -0.06 of its total potential returns per unit of risk. Hubbell is currently generating about 0.09 per unit of volatility. If you would invest 38,779 in Hubbell on March 21, 2025 and sell it today you would earn a total of 1,094 from holding Hubbell or generate 2.82% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Strong |
| Accuracy | 95.45% |
| Values | Daily Returns |
Applovin Corp vs. Hubbell
Performance |
| Timeline |
| Applovin Corp |
| Hubbell |
Applovin Corp and Hubbell Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Applovin Corp and Hubbell
The main advantage of trading using opposite Applovin Corp and Hubbell positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Applovin Corp position performs unexpectedly, Hubbell 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 Hubbell will offset losses from the drop in Hubbell's long position.| Applovin Corp vs. Workday | Applovin Corp vs. Snowflake | Applovin Corp vs. C3 Ai Inc | Applovin Corp vs. Zoom Video Communications |
| Hubbell vs. Advanced Energy Industries | Hubbell vs. Enersys | Hubbell vs. Acuity Brands | Hubbell vs. Kimball Electronics |
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 Balance Of Power module to check stock momentum by analyzing Balance Of Power indicator and other technical ratios.
Other Complementary Tools
| Portfolio Analyzer Portfolio analysis module that provides access to portfolio diagnostics and optimization engine | |
| Portfolio File Import Quickly import all of your third-party portfolios from your local drive in csv format | |
| Portfolio Anywhere Track or share privately all of your investments from the convenience of any device | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites |