Correlation Between Premium Catering and Sadot
Can any of the company-specific risk be diversified away by investing in both Premium Catering and Sadot 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 Premium Catering and Sadot into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Premium Catering Limited and Sadot Group, you can compare the effects of market volatilities on Premium Catering and Sadot 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 Premium Catering with a short position of Sadot. Check out your portfolio center. Please also check ongoing floating volatility patterns of Premium Catering and Sadot.
Diversification Opportunities for Premium Catering and Sadot
-0.86 | Correlation Coefficient |
Pay attention - limited upside
The 3 months correlation between Premium and Sadot is -0.86. Overlapping area represents the amount of risk that can be diversified away by holding Premium Catering Limited and Sadot Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Sadot Group and Premium Catering 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 Premium Catering Limited are associated (or correlated) with Sadot. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Sadot Group has no effect on the direction of Premium Catering i.e., Premium Catering and Sadot go up and down completely randomly.
Pair Corralation between Premium Catering and Sadot
Allowing for the 90-day total investment horizon Premium Catering Limited is expected to generate 0.65 times more return on investment than Sadot. However, Premium Catering Limited is 1.54 times less risky than Sadot. It trades about 0.1 of its potential returns per unit of risk. Sadot Group is currently generating about -0.07 per unit of risk. If you would invest 719.00 in Premium Catering Limited on August 11, 2025 and sell it today you would earn a total of 221.00 from holding Premium Catering Limited or generate 30.74% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Against |
| Strength | Significant |
| Accuracy | 100.0% |
| Values | Daily Returns |
Premium Catering Limited vs. Sadot Group
Performance |
| Timeline |
| Premium Catering |
| Sadot Group |
Premium Catering and Sadot Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Premium Catering and Sadot
The main advantage of trading using opposite Premium Catering and Sadot positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Premium Catering position performs unexpectedly, Sadot 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 Sadot will offset losses from the drop in Sadot's long position.| Premium Catering vs. Good Times Restaurants | Premium Catering vs. Linkage Global Ordinary | Premium Catering vs. Jiuzi Holdings | Premium Catering vs. Energy Focu |
| Sadot vs. AgriFORCE Growing Systems | Sadot vs. AquaBounty Technologies | Sadot vs. Edible Garden AG | Sadot vs. Kaival Brands Innovations |
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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.
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