Correlation Between CEL SCI and Vericel Corp
Can any of the company-specific risk be diversified away by investing in both CEL SCI and Vericel Corp 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 CEL SCI and Vericel Corp into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CEL SCI Corp and Vericel Corp Ord, you can compare the effects of market volatilities on CEL SCI and Vericel Corp 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 CEL SCI with a short position of Vericel Corp. Check out your portfolio center. Please also check ongoing floating volatility patterns of CEL SCI and Vericel Corp.
Diversification Opportunities for CEL SCI and Vericel Corp
-0.81 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between CEL and Vericel is -0.81. Overlapping area represents the amount of risk that can be diversified away by holding CEL SCI Corp and Vericel Corp Ord in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Vericel Corp Ord and CEL SCI 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 CEL SCI Corp are associated (or correlated) with Vericel Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vericel Corp Ord has no effect on the direction of CEL SCI i.e., CEL SCI and Vericel Corp go up and down completely randomly.
Pair Corralation between CEL SCI and Vericel Corp
Considering the 90-day investment horizon CEL SCI Corp is expected to generate 2.72 times more return on investment than Vericel Corp. However, CEL SCI is 2.72 times more volatile than Vericel Corp Ord. It trades about 0.01 of its potential returns per unit of risk. Vericel Corp Ord is currently generating about 0.02 per unit of risk. If you would invest 3,660 in CEL SCI Corp on June 11, 2025 and sell it today you would lose (2,611) from holding CEL SCI Corp or give up 71.34% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
CEL SCI Corp vs. Vericel Corp Ord
Performance |
| Timeline |
| CEL SCI Corp |
| Vericel Corp Ord |
CEL SCI and Vericel Corp Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CEL SCI and Vericel Corp
The main advantage of trading using opposite CEL SCI and Vericel Corp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CEL SCI position performs unexpectedly, Vericel Corp 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 Vericel Corp will offset losses from the drop in Vericel Corp's long position.| CEL SCI vs. Northwest Biotherapeutics | CEL SCI vs. Citius Pharmaceuticals | CEL SCI vs. Celldex Therapeutics | CEL SCI vs. Cardiff Oncology |
| Vericel Corp vs. Mediwound | Vericel Corp vs. Ocular Therapeutix | Vericel Corp vs. Veracyte | Vericel Corp vs. Avidity Biosciences |
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Headlines Timeline Stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity | |
| CEOs Directory Screen CEOs from public companies around the world | |
| Portfolio Center All portfolio management and optimization tools to improve performance of your portfolios | |
| Stocks Directory Find actively traded stocks across global markets |