Correlation Between Journey Medical and Lantheus Holdings
Can any of the company-specific risk be diversified away by investing in both Journey Medical and Lantheus Holdings 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 Journey Medical and Lantheus Holdings into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Journey Medical Corp and Lantheus Holdings, you can compare the effects of market volatilities on Journey Medical and Lantheus Holdings 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 Journey Medical with a short position of Lantheus Holdings. Check out your portfolio center. Please also check ongoing floating volatility patterns of Journey Medical and Lantheus Holdings.
Diversification Opportunities for Journey Medical and Lantheus Holdings
-0.3 | Correlation Coefficient |
Very good diversification
The 3 months correlation between Journey and Lantheus is -0.3. Overlapping area represents the amount of risk that can be diversified away by holding Journey Medical Corp and Lantheus Holdings in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Lantheus Holdings and Journey Medical 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 Journey Medical Corp are associated (or correlated) with Lantheus Holdings. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Lantheus Holdings has no effect on the direction of Journey Medical i.e., Journey Medical and Lantheus Holdings go up and down completely randomly.
Pair Corralation between Journey Medical and Lantheus Holdings
Given the investment horizon of 90 days Journey Medical Corp is expected to generate 0.8 times more return on investment than Lantheus Holdings. However, Journey Medical Corp is 1.25 times less risky than Lantheus Holdings. It trades about 0.01 of its potential returns per unit of risk. Lantheus Holdings is currently generating about -0.14 per unit of risk. If you would invest 716.00 in Journey Medical Corp on June 7, 2025 and sell it today you would lose (10.00) from holding Journey Medical Corp or give up 1.4% of portfolio value over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Journey Medical Corp vs. Lantheus Holdings
Performance |
| Timeline |
| Journey Medical Corp |
| Lantheus Holdings |
Journey Medical and Lantheus Holdings Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Journey Medical and Lantheus Holdings
The main advantage of trading using opposite Journey Medical and Lantheus Holdings positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Journey Medical position performs unexpectedly, Lantheus Holdings 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 Lantheus Holdings will offset losses from the drop in Lantheus Holdings' long position.| Journey Medical vs. Lifecore Biomedical | Journey Medical vs. DBV Technologies | Journey Medical vs. CytomX Therapeutics | Journey Medical vs. Collegium Pharmaceutical |
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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 Equity Search module to search for actively traded equities including funds and ETFs from over 30 global markets.
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