American Homes Correlations

AMH Stock  USD 37.84  0.19  0.50%   
The current 90-days correlation between American Homes 4 and Sun Communities is 0.45 (i.e., Very weak diversification). The correlation of American Homes is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.

American Homes Correlation With Market

Weak diversification

The correlation between American Homes 4 and DJI is 0.37 (i.e., Weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding American Homes 4 and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Trending Equities to better understand how to build diversified portfolios, which includes a position in American Homes 4. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in population.

Moving together with American Stock

  0.64AHR American Healthcare REIT,PairCorr
  0.67BNL Broadstone Net LeasePairCorr

Moving against American Stock

  0.7ESBA Empire State RealtyPairCorr
  0.62PK Park Hotels ResortsPairCorr
  0.55FISK Empire State RealtyPairCorr
  0.54ESRT Empire State RealtyPairCorr
  0.52Z Zillow Group ClassPairCorr
  0.46AAT American Assets TrustPairCorr
  0.4WHLR Wheeler Real EstatePairCorr
  0.33EQIX EquinixPairCorr
  0.63AHH Armada Hflr PrPairCorr
  0.55BDN Brandywine Realty TrustPairCorr
  0.53AHT Ashford Hospitality TrustPairCorr
  0.46AKR Acadia Realty TrustPairCorr
  0.35CDP COPT Defense PropertiesPairCorr
  0.34AIV Apartment Investment andPairCorr
  0.34BXP Boston PropertiesPairCorr

Related Correlations Analysis

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Correlation Matchups

Over a given time period, the two securities move together when the Correlation Coefficient is positive. Conversely, the two assets move in opposite directions when the Correlation Coefficient is negative. Determining your positions' relationship to each other is valuable for analyzing and projecting your portfolio's future expected return and risk.
High positive correlations   
MAAUDR
ESSUDR
ESSMAA
MAAIRT
IRTUDR
ESSIRT
  
High negative correlations   
AIVUMH

Risk-Adjusted Indicators

There is a big difference between American Stock performing well and American Homes Company doing well as a business compared to the competition. There are so many exceptions to the norm that investors cannot definitively determine what's good or bad unless they analyze American Homes' multiple risk-adjusted performance indicators across the competitive landscape. These indicators are quantitative in nature and help investors forecast volatility and risk-adjusted expected returns across various positions.
Mean DeviationJensen AlphaSortino RatioTreynor RatioSemi DeviationExpected ShortfallPotential UpsideValue @RiskMaximum Drawdown
SUI  1.25  0.13  0.10  0.15  1.29 
 2.51 
 9.25 
CLPR  2.98 (0.05) 0.00 (0.08) 0.00 
 6.49 
 25.82 
UDR  0.97  0.14  0.14  0.24  1.08 
 1.90 
 4.97 
UMH  0.96  0.03  0.04  0.03  1.40 
 1.99 
 5.04 
AIV  0.93  0.09  0.10  0.23  1.03 
 2.59 
 7.82 
IRT  0.97  0.13  0.09  0.12  1.32 
 2.21 
 5.12 
BRT  1.22 (0.05) 0.00 (0.13) 0.00 
 2.51 
 9.41 
EQR  0.97  0.08  0.07  0.08  1.24 
 1.86 
 5.82 
MAA  0.94  0.18  0.17  0.54  1.09 
 1.67 
 5.47 
ESS  1.00  0.19  0.15  0.26  1.12 
 2.21 
 6.26 

American Homes Corporate Management

John CorriganChief Investment Officer, TrusteeProfile
Brent LandryExecutive DevelopmentProfile
Lincoln PalmerExecutive OperationsProfile
Scott NellesExecutive OperationsProfile
James KroppIndependent TrusteeProfile