Correlation Between CyberArk Software and TruBridge
Can any of the company-specific risk be diversified away by investing in both CyberArk Software and TruBridge 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 CyberArk Software and TruBridge into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between CyberArk Software and TruBridge, you can compare the effects of market volatilities on CyberArk Software and TruBridge 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 CyberArk Software with a short position of TruBridge. Check out your portfolio center. Please also check ongoing floating volatility patterns of CyberArk Software and TruBridge.
Diversification Opportunities for CyberArk Software and TruBridge
-0.38 | Correlation Coefficient |
Very good diversification
The 3 months correlation between CyberArk and TruBridge is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding CyberArk Software and TruBridge in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on TruBridge and CyberArk Software 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 CyberArk Software are associated (or correlated) with TruBridge. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of TruBridge has no effect on the direction of CyberArk Software i.e., CyberArk Software and TruBridge go up and down completely randomly.
Pair Corralation between CyberArk Software and TruBridge
Given the investment horizon of 90 days CyberArk Software is expected to generate 0.96 times more return on investment than TruBridge. However, CyberArk Software is 1.04 times less risky than TruBridge. It trades about 0.17 of its potential returns per unit of risk. TruBridge is currently generating about -0.08 per unit of risk. If you would invest 38,605 in CyberArk Software on July 20, 2025 and sell it today you would earn a total of 10,490 from holding CyberArk Software or generate 27.17% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
CyberArk Software vs. TruBridge
Performance |
| Timeline |
| CyberArk Software |
| TruBridge |
CyberArk Software and TruBridge Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with CyberArk Software and TruBridge
The main advantage of trading using opposite CyberArk Software and TruBridge positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if CyberArk Software position performs unexpectedly, TruBridge 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 TruBridge will offset losses from the drop in TruBridge's long position.| CyberArk Software vs. VeriSign | CyberArk Software vs. MongoDB | CyberArk Software vs. Samsara | CyberArk Software vs. Check Point Software |
| TruBridge vs. Simulations Plus | TruBridge vs. Definitive Healthcare Corp | TruBridge vs. Sophia Genetics SA | TruBridge vs. National Research Corp |
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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.
Other Complementary Tools
| Idea Optimizer Use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio | |
| Sectors List of equity sectors categorizing publicly traded companies based on their primary business activities | |
| Portfolio Dashboard Portfolio dashboard that provides centralized access to all your investments | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Bonds Directory Find actively traded corporate debentures issued by US companies |