Correlation Between Phunware and Aware
Can any of the company-specific risk be diversified away by investing in both Phunware and Aware 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 Phunware and Aware into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Phunware and Aware Inc, you can compare the effects of market volatilities on Phunware and Aware 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 Phunware with a short position of Aware. Check out your portfolio center. Please also check ongoing floating volatility patterns of Phunware and Aware.
Diversification Opportunities for Phunware and Aware
Modest diversification
The 3 months correlation between Phunware and Aware is 0.2. Overlapping area represents the amount of risk that can be diversified away by holding Phunware and Aware Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Aware Inc and Phunware 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 Phunware are associated (or correlated) with Aware. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Aware Inc has no effect on the direction of Phunware i.e., Phunware and Aware go up and down completely randomly.
Pair Corralation between Phunware and Aware
Given the investment horizon of 90 days Phunware is expected to under-perform the Aware. But the stock apears to be less risky and, when comparing its historical volatility, Phunware is 1.38 times less risky than Aware. The stock trades about -0.08 of its potential returns per unit of risk. The Aware Inc is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest 233.00 in Aware Inc on July 25, 2025 and sell it today you would earn a total of 8.00 from holding Aware Inc or generate 3.43% return on investment over 90 days.
| Time Period | 3 Months [change] |
| Direction | Moves Together |
| Strength | Very Weak |
| Accuracy | 100.0% |
| Values | Daily Returns |
Phunware vs. Aware Inc
Performance |
| Timeline |
| Phunware |
| Aware Inc |
Phunware and Aware Volatility Contrast
Predicted Return Density |
| Returns |
Pair Trading with Phunware and Aware
The main advantage of trading using opposite Phunware and Aware positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Phunware position performs unexpectedly, Aware 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 Aware will offset losses from the drop in Aware's long position.| Phunware vs. KNOREX LTD | Phunware vs. Blackboxstocks | Phunware vs. Surgepays | Phunware vs. YXTCOM GROUP HOLDING |
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 Price Exposure Probability module to analyze equity upside and downside potential for a given time horizon across multiple markets.
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