Correlation Between Dupont De and Landmark Bancorp

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

Diversification Opportunities for Dupont De and Landmark Bancorp

0.61
  Correlation Coefficient

Poor diversification

The 3 months correlation between Dupont and Landmark is 0.61. Overlapping area represents the amount of risk that can be diversified away by holding Dupont De Nemours and Landmark Bancorp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Landmark Bancorp and Dupont De 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 Dupont De Nemours are associated (or correlated) with Landmark Bancorp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Landmark Bancorp has no effect on the direction of Dupont De i.e., Dupont De and Landmark Bancorp go up and down completely randomly.

Pair Corralation between Dupont De and Landmark Bancorp

Allowing for the 90-day total investment horizon Dupont De Nemours is expected to generate 1.79 times more return on investment than Landmark Bancorp. However, Dupont De is 1.79 times more volatile than Landmark Bancorp. It trades about 0.21 of its potential returns per unit of risk. Landmark Bancorp is currently generating about 0.19 per unit of risk. If you would invest  3,217  in Dupont De Nemours on September 12, 2025 and sell it today you would earn a total of  932.00  from holding Dupont De Nemours or generate 28.97% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns

Dupont De Nemours  vs.  Landmark Bancorp

 Performance 
       Timeline  
Dupont De Nemours 

Risk-Adjusted Performance

Solid

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Dupont De Nemours are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. In spite of rather weak fundamental indicators, Dupont De exhibited solid returns over the last few months and may actually be approaching a breakup point.
Landmark Bancorp 

Risk-Adjusted Performance

Good

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Landmark Bancorp are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. Despite quite weak basic indicators, Landmark Bancorp disclosed solid returns over the last few months and may actually be approaching a breakup point.

Dupont De and Landmark Bancorp Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Dupont De and Landmark Bancorp

The main advantage of trading using opposite Dupont De and Landmark Bancorp positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Dupont De position performs unexpectedly, Landmark Bancorp 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 Landmark Bancorp will offset losses from the drop in Landmark Bancorp's long position.
The idea behind Dupont De Nemours and Landmark Bancorp 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 Insider Screener module to find insiders across different sectors to evaluate their impact on performance.

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