Correlation Between Grindr and EPlus

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Can any of the company-specific risk be diversified away by investing in both Grindr and EPlus 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 Grindr and EPlus into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Grindr Inc and ePlus inc, you can compare the effects of market volatilities on Grindr and EPlus 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 Grindr with a short position of EPlus. Check out your portfolio center. Please also check ongoing floating volatility patterns of Grindr and EPlus.

Diversification Opportunities for Grindr and EPlus

-0.24
  Correlation Coefficient

Very good diversification

The 3 months correlation between Grindr and EPlus is -0.24. Overlapping area represents the amount of risk that can be diversified away by holding Grindr Inc and ePlus inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ePlus inc and Grindr 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 Grindr Inc are associated (or correlated) with EPlus. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ePlus inc has no effect on the direction of Grindr i.e., Grindr and EPlus go up and down completely randomly.

Pair Corralation between Grindr and EPlus

Given the investment horizon of 90 days Grindr Inc is expected to under-perform the EPlus. In addition to that, Grindr is 1.62 times more volatile than ePlus inc. It trades about -0.03 of its total potential returns per unit of risk. ePlus inc is currently generating about 0.16 per unit of volatility. If you would invest  7,118  in ePlus inc on September 6, 2025 and sell it today you would earn a total of  1,902  from holding ePlus inc or generate 26.72% return on investment over 90 days.
Time Period3 Months [change]
DirectionMoves Against 
StrengthInsignificant
Accuracy100.0%
ValuesDaily Returns

Grindr Inc  vs.  ePlus inc

 Performance 
       Timeline  
Grindr Inc 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Grindr Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest weak performance, the Stock's basic indicators remain sound and the latest tumult on Wall Street may also be a sign of longer-term gains for the firm shareholders.
ePlus inc 

Risk-Adjusted Performance

Good

 
Weak
 
Strong
Compared to the overall equity markets, risk-adjusted returns on investments in ePlus inc are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain basic indicators, EPlus unveiled solid returns over the last few months and may actually be approaching a breakup point.

Grindr and EPlus Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Grindr and EPlus

The main advantage of trading using opposite Grindr and EPlus positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Grindr position performs unexpectedly, EPlus 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 EPlus will offset losses from the drop in EPlus' long position.
The idea behind Grindr Inc and ePlus inc 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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.

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