Correlation Between Blink Charging and Trivago NV

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

Diversification Opportunities for Blink Charging and Trivago NV

-0.13
  Correlation Coefficient

Good diversification

The 3 months correlation between Blink and Trivago is -0.13. Overlapping area represents the amount of risk that can be diversified away by holding Blink Charging Co and Trivago NV in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Trivago NV and Blink Charging 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 Blink Charging Co are associated (or correlated) with Trivago NV. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Trivago NV has no effect on the direction of Blink Charging i.e., Blink Charging and Trivago NV go up and down completely randomly.

Pair Corralation between Blink Charging and Trivago NV

Given the investment horizon of 90 days Blink Charging Co is expected to generate 3.2 times more return on investment than Trivago NV. However, Blink Charging is 3.2 times more volatile than Trivago NV. It trades about 0.09 of its potential returns per unit of risk. Trivago NV is currently generating about -0.09 per unit of risk. If you would invest  101.00  in Blink Charging Co on August 26, 2025 and sell it today you would earn a total of  30.00  from holding Blink Charging Co or generate 29.7% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Blink Charging Co  vs.  Trivago NV

 Performance 
       Timeline  
Blink Charging 

Risk-Adjusted Performance

Fair

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Blink Charging Co are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. Despite quite weak basic indicators, Blink Charging disclosed solid returns over the last few months and may actually be approaching a breakup point.
Trivago NV 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Trivago NV has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest inconsistent performance, the Stock's basic indicators remain stable and the current disturbance on Wall Street may also be a sign of long-run gains for the company stockholders.

Blink Charging and Trivago NV Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Blink Charging and Trivago NV

The main advantage of trading using opposite Blink Charging and Trivago NV positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Blink Charging position performs unexpectedly, Trivago NV 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 Trivago NV will offset losses from the drop in Trivago NV's long position.
The idea behind Blink Charging Co and Trivago NV 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.
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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 Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.

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