Correlation Between AIM ImmunoTech and Eline Entertainment

Can any of the company-specific risk be diversified away by investing in both AIM ImmunoTech and Eline Entertainment 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 AIM ImmunoTech and Eline Entertainment into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between AIM ImmunoTech and Eline Entertainment Group, you can compare the effects of market volatilities on AIM ImmunoTech and Eline Entertainment 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 AIM ImmunoTech with a short position of Eline Entertainment. Check out your portfolio center. Please also check ongoing floating volatility patterns of AIM ImmunoTech and Eline Entertainment.

Diversification Opportunities for AIM ImmunoTech and Eline Entertainment

0.0

Correlation Coefficient

AIM ImmunoTech  Eline Entertainment

Pay attention - limited upside

The 3 months correlation between AIM and Eline is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding AIM ImmunoTech and Eline Entertainment Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Eline Entertainment and AIM ImmunoTech 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 AIM ImmunoTech are associated (or correlated) with Eline Entertainment. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Eline Entertainment has no effect on the direction of AIM ImmunoTech i.e., AIM ImmunoTech and Eline Entertainment go up and down completely randomly.

Pair Corralation between AIM ImmunoTech and Eline Entertainment

Considering the 90-day investment horizon AIM ImmunoTech is expected to under-perform the Eline Entertainment. But the stock apears to be less risky and, when comparing its historical volatility, AIM ImmunoTech is 2.07 times less risky than Eline Entertainment. The stock trades about -0.11 of its potential returns per unit of risk. The Eline Entertainment Group is currently generating about 0.1 of returns per unit of risk over similar time horizon. If you would invest  0.03  in Eline Entertainment Group on May 4, 2025 and sell it today you would earn a total of  0.00  from holding Eline Entertainment Group or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

AIM ImmunoTech  vs.  Eline Entertainment Group

AIM ImmunoTech

Risk-Adjusted Performance

Very Weak

Over the last 90 days AIM ImmunoTech has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's forward indicators remain very healthy which may send shares a bit higher in September 2025. The recent disarray may also be a sign of long period up-swing for the firm investors.

Eline Entertainment

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Eline Entertainment Group are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. Despite fairly unsteady technical and fundamental indicators, Eline Entertainment demonstrated solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with AIM ImmunoTech and Eline Entertainment

The main advantage of trading using opposite AIM ImmunoTech and Eline Entertainment positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AIM ImmunoTech position performs unexpectedly, Eline Entertainment 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 Eline Entertainment will offset losses from the drop in Eline Entertainment's long position.

The idea behind AIM ImmunoTech and Eline Entertainment Group 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 Portfolio Analyzer module to portfolio analysis module that provides access to portfolio diagnostics and optimization engine.