Correlation Between Oracle and Splunk
Can any of the company-specific risk be diversified away by investing in both Oracle and Splunk 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 Oracle and Splunk into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Oracle and Splunk Inc, you can compare the effects of market volatilities on Oracle and Splunk 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 Oracle with a short position of Splunk. Check out your portfolio center. Please also check ongoing floating volatility patterns of Oracle and Splunk.
Diversification Opportunities for Oracle and Splunk
Pay attention - limited upside
The 3 months correlation between Oracle and Splunk is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Oracle and Splunk Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Splunk Inc and Oracle 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 Oracle are associated (or correlated) with Splunk. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Splunk Inc has no effect on the direction of Oracle i.e., Oracle and Splunk go up and down completely randomly.
Pair Corralation between Oracle and Splunk
If you would invest 15,346 in Oracle on March 16, 2025 and sell it today you would earn a total of 6,176 from holding Oracle or generate 40.25% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Flat |
| Strength | Insignificant |
| Accuracy | 0.0% |
| Values | Daily Returns |
Oracle vs. Splunk Inc
Performance |
| Timeline |
| Oracle |
| Splunk Inc |
Risk-Adjusted Performance
Very Weak
Weak | Strong |
Oracle and Splunk Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Oracle and Splunk
The main advantage of trading using opposite Oracle and Splunk positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Oracle position performs unexpectedly, Splunk 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 Splunk will offset losses from the drop in Splunk's long position.| Oracle vs. Palo Alto Networks | Oracle vs. Crowdstrike Holdings | Oracle vs. Microsoft | Oracle vs. Adobe Systems Incorporated |
| Splunk vs. Crowdstrike Holdings | Splunk vs. Adobe Systems Incorporated | Splunk vs. Palantir Technologies Class | Splunk vs. Zscaler |
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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.
Other Complementary Tools
| Positions Ratings Determine portfolio positions ratings based on digital equity recommendations. Macroaxis instant position ratings are based on combination of fundamental analysis and risk-adjusted market performance | |
| Bonds Directory Find actively traded corporate debentures issued by US companies | |
| Fundamental Analysis View fundamental data based on most recent published financial statements | |
| Premium Stories Follow Macroaxis premium stories from verified contributors across different equity types, categories and coverage scope | |
| Equity Forecasting Use basic forecasting models to generate price predictions and determine price momentum |