Correlation Between StealthGas and Martin Midstream
Can any of the company-specific risk be diversified away by investing in both StealthGas and Martin Midstream 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 StealthGas and Martin Midstream into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between StealthGas and Martin Midstream Partners, you can compare the effects of market volatilities on StealthGas and Martin Midstream 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 StealthGas with a short position of Martin Midstream. Check out your portfolio center. Please also check ongoing floating volatility patterns of StealthGas and Martin Midstream.
Diversification Opportunities for StealthGas and Martin Midstream
0.03 | Correlation Coefficient |
Significant diversification
The 3 months correlation between StealthGas and Martin is 0.03. Overlapping area represents the amount of risk that can be diversified away by holding StealthGas and Martin Midstream Partners in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Martin Midstream Partners and StealthGas 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 StealthGas are associated (or correlated) with Martin Midstream. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Martin Midstream Partners has no effect on the direction of StealthGas i.e., StealthGas and Martin Midstream go up and down completely randomly.
Pair Corralation between StealthGas and Martin Midstream
Given the investment horizon of 90 days StealthGas is expected to generate 1.09 times more return on investment than Martin Midstream. However, StealthGas is 1.09 times more volatile than Martin Midstream Partners. It trades about 0.16 of its potential returns per unit of risk. Martin Midstream Partners is currently generating about -0.02 per unit of risk. If you would invest 545.00 in StealthGas on May 2, 2025 and sell it today you would earn a total of 120.00 from holding StealthGas or generate 22.02% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Insignificant |
| Accuracy | 100.0% |
| Values | Daily Returns |
StealthGas vs. Martin Midstream Partners
Performance |
| Timeline |
| StealthGas |
| Martin Midstream Partners |
StealthGas and Martin Midstream Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with StealthGas and Martin Midstream
The main advantage of trading using opposite StealthGas and Martin Midstream positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if StealthGas position performs unexpectedly, Martin Midstream 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 Martin Midstream will offset losses from the drop in Martin Midstream's long position.| StealthGas vs. Costamare | StealthGas vs. Navios Maritime Partners | StealthGas vs. Cool Company | StealthGas vs. Seanergy Maritime Holdings |
| Martin Midstream vs. Brooge Holdings | Martin Midstream vs. Calumet Specialty Products | Martin Midstream vs. Genesis Energy LP | Martin Midstream vs. Global Partners LP |
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
| Crypto Correlations Use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins | |
| Stock Tickers Use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites | |
| Analyst Advice Analyst recommendations and target price estimates broken down by several categories | |
| Idea Breakdown Analyze constituents of all Macroaxis ideas. Macroaxis investment ideas are predefined, sector-focused investing themes | |
| Global Correlations Find global opportunities by holding instruments from different markets |