Cheniere Energy Correlations

LNG Stock  USD 190.83  0.96  0.50%   
The current 90-days correlation between Cheniere Energy and DCP Midstream LP is -0.01 (i.e., Good diversification). The correlation of Cheniere Energy 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.

Cheniere Energy Correlation With Market

Very weak diversification

The correlation between Cheniere Energy and DJI is 0.48 (i.e., Very weak diversification) for selected investment horizon. Overlapping area represents the amount of risk that can be diversified away by holding Cheniere Energy and DJI in the same portfolio, assuming nothing else is changed.
  
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Cheniere Energy. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in board of governors.
For more detail on how to invest in Cheniere Stock please use our How to Invest in Cheniere Energy guide.

Moving together with Cheniere Stock

  0.83VNOM Viper Energy UtPairCorr
  0.71DTM DT MidstreamPairCorr
  0.74KMI Kinder Morgan Earnings Call This WeekPairCorr
  0.62TRP TC Energy CorpPairCorr
  0.76WMB Williams CompaniesPairCorr

Related Correlations Analysis

Click cells to compare fundamentals   Check Volatility   Backtest Portfolio

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   
CEQPHEP
ENBOKE
ENBHEP
OKEHEP
ENBDCP
OKECEQP
  
High negative correlations   
LPGENB
LPGCEQP
LPGHEP
LPGDCP
LPGOKE
ENBWES

Risk-Adjusted Indicators

There is a big difference between Cheniere Stock performing well and Cheniere Energy 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 Cheniere Energy's 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
HEP  1.05  0.24  0.09 (1.02) 1.08 
 2.21 
 4.89 
WES  1.23 (0.08) 0.00 (0.05) 0.00 
 1.92 
 7.57 
DCP  0.08  0.00 (0.70) 0.39  0.00 
 0.22 
 0.53 
CEQP  1.40  0.35  0.14 (0.55) 1.19 
 3.48 
 11.57 
WMB  1.07  0.19  0.10  0.38  1.23 
 2.02 
 6.27 
EPD  0.67 (0.02)(0.07) 0.05  0.83 
 1.27 
 5.77 
OKE  1.00  0.16  0.08  0.31  1.41 
 2.45 
 10.56 
ET  0.85 (0.03)(0.05) 0.05  1.07 
 1.94 
 5.99 
ENB  0.60  0.19  0.18  0.68  0.38 
 1.44 
 3.92 
LPG  1.70 (0.33) 0.00 (0.21) 0.00 
 2.81 
 10.14