Correlation Between Canada Goose and Couchbase
Can any of the company-specific risk be diversified away by investing in both Canada Goose and Couchbase 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 Canada Goose and Couchbase into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Canada Goose Holdings and Couchbase, you can compare the effects of market volatilities on Canada Goose and Couchbase 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 Canada Goose with a short position of Couchbase. Check out your portfolio center. Please also check ongoing floating volatility patterns of Canada Goose and Couchbase.
Diversification Opportunities for Canada Goose and Couchbase
0.77 | Correlation Coefficient |
Poor diversification
The 3 months correlation between Canada and Couchbase is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Canada Goose Holdings and Couchbase in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Couchbase and Canada Goose 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 Canada Goose Holdings are associated (or correlated) with Couchbase. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Couchbase has no effect on the direction of Canada Goose i.e., Canada Goose and Couchbase go up and down completely randomly.
Pair Corralation between Canada Goose and Couchbase
Given the investment horizon of 90 days Canada Goose Holdings is expected to generate 0.87 times more return on investment than Couchbase. However, Canada Goose Holdings is 1.15 times less risky than Couchbase. It trades about 0.26 of its potential returns per unit of risk. Couchbase is currently generating about 0.22 per unit of risk. If you would invest 817.00 in Canada Goose Holdings on April 21, 2025 and sell it today you would earn a total of 585.00 from holding Canada Goose Holdings or generate 71.6% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Canada Goose Holdings vs. Couchbase
Performance |
| Timeline |
| Canada Goose Holdings |
| Couchbase |
Canada Goose and Couchbase Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Canada Goose and Couchbase
The main advantage of trading using opposite Canada Goose and Couchbase positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Canada Goose position performs unexpectedly, Couchbase 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 Couchbase will offset losses from the drop in Couchbase's long position.| Canada Goose vs. Capri Holdings | Canada Goose vs. Five Below | Canada Goose vs. Canada Goose Holdings | Canada Goose vs. Levi Strauss Co |
| Couchbase vs. EverCommerce | Couchbase vs. AvidXchange Holdings | Couchbase vs. Informatica | Couchbase vs. CS Disco LLC |
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 Commodity Channel module to use Commodity Channel Index to analyze current equity momentum.
Other Complementary Tools
| Sign In To Macroaxis Sign in to explore Macroaxis' wealth optimization platform and fintech modules | |
| Price Ceiling Movement Calculate and plot Price Ceiling Movement for different equity instruments | |
| Portfolio Rebalancing Analyze risk-adjusted returns against different time horizons to find asset-allocation targets | |
| Odds Of Bankruptcy Get analysis of equity chance of financial distress in the next 2 years | |
| Watchlist Optimization Optimize watchlists to build efficient portfolios or rebalance existing positions based on the mean-variance optimization algorithm |