Correlation Between AN2 Therapeutics and Hillevax

Can any of the company-specific risk be diversified away by investing in both AN2 Therapeutics and Hillevax 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 AN2 Therapeutics and Hillevax into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between AN2 Therapeutics and Hillevax, you can compare the effects of market volatilities on AN2 Therapeutics and Hillevax 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 AN2 Therapeutics with a short position of Hillevax. Check out your portfolio center. Please also check ongoing floating volatility patterns of AN2 Therapeutics and Hillevax.

Diversification Opportunities for AN2 Therapeutics and Hillevax

-0.5

Correlation Coefficient

AN2 Therapeutics  Hillevax

Very good diversification

The 3 months correlation between AN2 and Hillevax is -0.5. Overlapping area represents the amount of risk that can be diversified away by holding AN2 Therapeutics and Hillevax in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Hillevax and AN2 Therapeutics 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 AN2 Therapeutics are associated (or correlated) with Hillevax. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Hillevax has no effect on the direction of AN2 Therapeutics i.e., AN2 Therapeutics and Hillevax go up and down completely randomly.

Pair Corralation between AN2 Therapeutics and Hillevax

Given the investment horizon of 90 days AN2 Therapeutics is expected to under-perform the Hillevax. In addition to that, AN2 Therapeutics is 1.49 times more volatile than Hillevax. It trades about -0.03 of its total potential returns per unit of risk. Hillevax is currently generating about 0.09 per unit of volatility. If you would invest  188.00  in Hillevax on May 6, 2025 and sell it today you would earn a total of  19.00  from holding Hillevax or generate 10.11% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Very Weak
Accuracy	100.0%
Values	Daily Returns

AN2 Therapeutics  vs.  Hillevax

AN2 Therapeutics

Risk-Adjusted Performance

Very Weak

Over the last 90 days AN2 Therapeutics has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest weak performance, the Stock's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the company investors.

Hillevax

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Hillevax are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of fairly unfluctuating basic indicators, Hillevax may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with AN2 Therapeutics and Hillevax

The main advantage of trading using opposite AN2 Therapeutics and Hillevax positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if AN2 Therapeutics position performs unexpectedly, Hillevax 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 Hillevax will offset losses from the drop in Hillevax's long position.

The idea behind AN2 Therapeutics and Hillevax 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 My Watchlist Analysis module to analyze my current watchlist and to refresh optimization strategy. Macroaxis watchlist is based on self-learning algorithm to remember stocks you like.