Correlation Between Longevity Health and Celularity

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Can any of the company-specific risk be diversified away by investing in both Longevity Health and Celularity 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 Longevity Health and Celularity into the same portfolio, which is an essential part of the fundamental portfolio management process.
By analyzing existing cross correlation between Longevity Health Holdings, and Celularity, you can compare the effects of market volatilities on Longevity Health and Celularity 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 Longevity Health with a short position of Celularity. Check out your portfolio center. Please also check ongoing floating volatility patterns of Longevity Health and Celularity.

Diversification Opportunities for Longevity Health and Celularity

0.77
  Correlation Coefficient

Poor diversification

The 3 months correlation between Longevity and Celularity is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Longevity Health Holdings, and Celularity in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Celularity and Longevity Health 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 Longevity Health Holdings, are associated (or correlated) with Celularity. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Celularity has no effect on the direction of Longevity Health i.e., Longevity Health and Celularity go up and down completely randomly.

Pair Corralation between Longevity Health and Celularity

Given the investment horizon of 90 days Longevity Health Holdings, is expected to under-perform the Celularity. In addition to that, Longevity Health is 1.54 times more volatile than Celularity. It trades about -0.24 of its total potential returns per unit of risk. Celularity is currently generating about -0.08 per unit of volatility. If you would invest  329.00  in Celularity on July 26, 2025 and sell it today you would lose (130.00) from holding Celularity or give up 39.51% of portfolio value over 90 days.
Time Period3 Months [change]
DirectionMoves Together 
StrengthSignificant
Accuracy100.0%
ValuesDaily Returns

Longevity Health Holdings,  vs.  Celularity

 Performance 
       Timeline  
Longevity Health Hol 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Longevity Health Holdings, has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of uncertain performance in the last few months, the Stock's technical and fundamental indicators remain rather sound which may send shares a bit higher in November 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.
Celularity 

Risk-Adjusted Performance

Weakest

 
Weak
 
Strong
Over the last 90 days Celularity has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unfluctuating performance in the last few months, the Stock's essential indicators remain comparatively stable which may send shares a bit higher in November 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Longevity Health and Celularity Volatility Contrast

   Predicted Return Density   
       Returns  

Pair Trading with Longevity Health and Celularity

The main advantage of trading using opposite Longevity Health and Celularity positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Longevity Health position performs unexpectedly, Celularity 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 Celularity will offset losses from the drop in Celularity's long position.
The idea behind Longevity Health Holdings, and Celularity pairs trading is to make the combined position market-neutral, meaning the overall market's direction will not affect its win or loss (or potential downside or upside). This can be achieved by designing a pairs trade with two highly correlated stocks or equities that operate in a similar space or sector, making it possible to obtain profits through simple and relatively low-risk investment.
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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..

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