Correlation Between Future Farm and Granite Construction
Can any of the company-specific risk be diversified away by investing in both Future Farm and Granite Construction 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 Future Farm and Granite Construction into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Future Farm Technologies and Granite Construction Incorporated, you can compare the effects of market volatilities on Future Farm and Granite Construction 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 Future Farm with a short position of Granite Construction. Check out your portfolio center. Please also check ongoing floating volatility patterns of Future Farm and Granite Construction.
Diversification Opportunities for Future Farm and Granite Construction
0.0 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Future and Granite is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Future Farm Technologies and Granite Construction Incorpora in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Granite Construction and Future Farm 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 Future Farm Technologies are associated (or correlated) with Granite Construction. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Granite Construction has no effect on the direction of Future Farm i.e., Future Farm and Granite Construction go up and down completely randomly.
Pair Corralation between Future Farm and Granite Construction
If you would invest 10,945 in Granite Construction Incorporated on September 11, 2025 and sell it today you would earn a total of 181.00 from holding Granite Construction Incorporated or generate 1.65% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 98.44% |
| Values | Daily Returns |
Future Farm Technologies vs. Granite Construction Incorpora
Performance |
| Timeline |
| Future Farm Technologies |
| Granite Construction |
Future Farm and Granite Construction Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Future Farm and Granite Construction
The main advantage of trading using opposite Future Farm and Granite Construction positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Future Farm position performs unexpectedly, Granite Construction 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 Granite Construction will offset losses from the drop in Granite Construction's long position.| Future Farm vs. United Royale Holdings | Future Farm vs. Infusion Brands International | Future Farm vs. Bruush Oral Care | Future Farm vs. Avenir Wellness Solutions |
| Granite Construction vs. Everus Construction Group | Granite Construction vs. Argan Inc | Granite Construction vs. MYR Group | Granite Construction vs. Brinks Company |
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 Center module to all portfolio management and optimization tools to improve performance of your portfolios.
Other Complementary Tools
| Portfolio Volatility Check portfolio volatility and analyze historical return density to properly model market risk | |
| Portfolio Backtesting Avoid under-diversification and over-optimization by backtesting your portfolios | |
| ETF Categories List of ETF categories grouped based on various criteria, such as the investment strategy or type of investments | |
| Companies Directory Evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals | |
| Fundamentals Comparison Compare fundamentals across multiple equities to find investing opportunities |