Correlation Between DoubleVerify Holdings and Cerberus Cyber

Specify exactly 2 symbols:
Can any of the company-specific risk be diversified away by investing in both DoubleVerify Holdings and Cerberus Cyber 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 DoubleVerify Holdings and Cerberus Cyber into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between DoubleVerify Holdings and Cerberus Cyber Sentinel, you can compare the effects of market volatilities on DoubleVerify Holdings and Cerberus Cyber 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 DoubleVerify Holdings with a short position of Cerberus Cyber. Check out your portfolio center. Please also check ongoing floating volatility patterns of DoubleVerify Holdings and Cerberus Cyber.

Diversification Opportunities for DoubleVerify Holdings and Cerberus Cyber

-0.77
  Correlation Coefficient

Pay attention - limited upside

The 3 months correlation between DoubleVerify and Cerberus is -0.77. Overlapping area represents the amount of risk that can be diversified away by holding DoubleVerify Holdings and Cerberus Cyber Sentinel in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cerberus Cyber Sentinel and DoubleVerify Holdings 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 DoubleVerify Holdings are associated (or correlated) with Cerberus Cyber. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cerberus Cyber Sentinel has no effect on the direction of DoubleVerify Holdings i.e., DoubleVerify Holdings and Cerberus Cyber go up and down completely randomly.

Pair Corralation between DoubleVerify Holdings and Cerberus Cyber

Allowing for the 90-day total investment horizon DoubleVerify Holdings is expected to under-perform the Cerberus Cyber. But the stock apears to be less risky and, when comparing its historical volatility, DoubleVerify Holdings is 2.2 times less risky than Cerberus Cyber. The stock trades about -0.17 of its potential returns per unit of risk. The Cerberus Cyber Sentinel is currently generating about 0.08 of returns per unit of risk over similar time horizon. If you would invest  104.00  in Cerberus Cyber Sentinel on July 27, 2025 and sell it today you would earn a total of  21.00  from holding Cerberus Cyber Sentinel or generate 20.19% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthWeak
Accuracy100.0%
ValuesDaily Returns

DoubleVerify Holdings  vs.  Cerberus Cyber Sentinel

 Performance 
       Timeline  
DoubleVerify Holdings 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days DoubleVerify Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain fairly stable which may send shares a bit higher in November 2025. The latest fuss may also be a sign of long-term up-swing for the venture sophisticated investors.
Cerberus Cyber Sentinel 

Risk-Adjusted Performance

Mild

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in Cerberus Cyber Sentinel are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of very unsteady basic indicators, Cerberus Cyber displayed solid returns over the last few months and may actually be approaching a breakup point.

DoubleVerify Holdings and Cerberus Cyber Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with DoubleVerify Holdings and Cerberus Cyber

The main advantage of trading using opposite DoubleVerify Holdings and Cerberus Cyber positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if DoubleVerify Holdings position performs unexpectedly, Cerberus Cyber 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 Cerberus Cyber will offset losses from the drop in Cerberus Cyber's long position.
The idea behind DoubleVerify Holdings and Cerberus Cyber Sentinel 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.
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 Portfolio Manager module to state of the art Portfolio Manager to monitor and improve performance of your invested capital.

Other Complementary Tools

Portfolio Comparator
Compare the composition, asset allocations and performance of any two portfolios in your account
Global Correlations
Find global opportunities by holding instruments from different markets
Portfolio Optimization
Compute new portfolio that will generate highest expected return given your specified tolerance for risk
Theme Ratings
Determine theme ratings based on digital equity recommendations. Macroaxis theme ratings are based on combination of fundamental analysis and risk-adjusted market performance
Stocks Directory
Find actively traded stocks across global markets