Correlation Between O I and Callaway Golf
Can any of the company-specific risk be diversified away by investing in both O I and Callaway Golf 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 O I and Callaway Golf into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between O I Glass and Callaway Golf, you can compare the effects of market volatilities on O I and Callaway Golf 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 O I with a short position of Callaway Golf. Check out your portfolio center. Please also check ongoing floating volatility patterns of O I and Callaway Golf.
Diversification Opportunities for O I and Callaway Golf
0.59 | Correlation Coefficient |
Very weak diversification
The 3 months correlation between O I and Callaway is 0.59. Overlapping area represents the amount of risk that can be diversified away by holding O I Glass and Callaway Golf in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Callaway Golf and O I 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 O I Glass are associated (or correlated) with Callaway Golf. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Callaway Golf has no effect on the direction of O I i.e., O I and Callaway Golf go up and down completely randomly.
Pair Corralation between O I and Callaway Golf
Allowing for the 90-day total investment horizon O I is expected to generate 2.06 times less return on investment than Callaway Golf. But when comparing it to its historical volatility, O I Glass is 1.41 times less risky than Callaway Golf. It trades about 0.08 of its potential returns per unit of risk. Callaway Golf is currently generating about 0.11 of returns per unit of risk over similar time horizon. If you would invest 913.00 in Callaway Golf on September 9, 2025 and sell it today you would earn a total of 238.00 from holding Callaway Golf or generate 26.07% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
O I Glass vs. Callaway Golf
Performance |
| Timeline |
| O I Glass |
| Callaway Golf |
O I and Callaway Golf Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with O I and Callaway Golf
The main advantage of trading using opposite O I and Callaway Golf positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if O I position performs unexpectedly, Callaway Golf 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 Callaway Golf will offset losses from the drop in Callaway Golf's long position.| O I vs. Adient PLC | O I vs. Callaway Golf | O I vs. Polestar Automotive Holding | O I vs. Century Communities |
| Callaway Golf vs. Polestar Automotive Holding | Callaway Golf vs. Six Flags Entertainment | Callaway Golf vs. Kohls | Callaway Golf vs. OneSpaWorld Holdings |
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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.
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