Correlation Between Halozyme Therapeutics and Henry Schein
Can any of the company-specific risk be diversified away by investing in both Halozyme Therapeutics and Henry Schein 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 Halozyme Therapeutics and Henry Schein into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Halozyme Therapeutics and Henry Schein, you can compare the effects of market volatilities on Halozyme Therapeutics and Henry Schein 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 Halozyme Therapeutics with a short position of Henry Schein. Check out your portfolio center. Please also check ongoing floating volatility patterns of Halozyme Therapeutics and Henry Schein.
Diversification Opportunities for Halozyme Therapeutics and Henry Schein
0.23 | Correlation Coefficient |
Modest diversification
The 3 months correlation between Halozyme and Henry is 0.23. Overlapping area represents the amount of risk that can be diversified away by holding Halozyme Therapeutics and Henry Schein in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Henry Schein and Halozyme Therapeutics 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 Halozyme Therapeutics are associated (or correlated) with Henry Schein. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Henry Schein has no effect on the direction of Halozyme Therapeutics i.e., Halozyme Therapeutics and Henry Schein go up and down completely randomly.
Pair Corralation between Halozyme Therapeutics and Henry Schein
Given the investment horizon of 90 days Halozyme Therapeutics is expected to under-perform the Henry Schein. But the stock apears to be less risky and, when comparing its historical volatility, Halozyme Therapeutics is 1.1 times less risky than Henry Schein. The stock trades about -0.19 of its potential returns per unit of risk. The Henry Schein is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest 6,955 in Henry Schein on September 11, 2025 and sell it today you would earn a total of 489.00 from holding Henry Schein or generate 7.03% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Halozyme Therapeutics vs. Henry Schein
Performance |
| Timeline |
| Halozyme Therapeutics |
| Henry Schein |
Halozyme Therapeutics and Henry Schein Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Halozyme Therapeutics and Henry Schein
The main advantage of trading using opposite Halozyme Therapeutics and Henry Schein positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Halozyme Therapeutics position performs unexpectedly, Henry Schein 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 Henry Schein will offset losses from the drop in Henry Schein's long position.| Halozyme Therapeutics vs. Corcept Therapeutics Incorporated | Halozyme Therapeutics vs. Abivax SA American | Halozyme Therapeutics vs. Rhythm Pharmaceuticals | Halozyme Therapeutics vs. Cytokinetics |
| Henry Schein vs. Globus Medical | Henry Schein vs. AptarGroup | Henry Schein vs. Grifols SA ADR | Henry Schein vs. Molina Healthcare |
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 USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
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