Correlation Between AppTech Payments and Eventide Exponential

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

By analyzing existing cross correlation between AppTech Payments Corp and Eventide Exponential Technologies, you can compare the effects of market volatilities on AppTech Payments and Eventide Exponential 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 AppTech Payments with a short position of Eventide Exponential. Check out your portfolio center. Please also check ongoing floating volatility patterns of AppTech Payments and Eventide Exponential.

Diversification Opportunities for AppTech Payments and Eventide Exponential

0.76

Correlation Coefficient

AppTech Payments  Eventide Exponential

Poor diversification

The 3 months correlation between AppTech and Eventide is 0.76. Overlapping area represents the amount of risk that can be diversified away by holding AppTech Payments Corp and Eventide Exponential Technolog in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Eventide Exponential and AppTech Payments 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 AppTech Payments Corp are associated (or correlated) with Eventide Exponential. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Eventide Exponential has no effect on the direction of AppTech Payments i.e., AppTech Payments and Eventide Exponential go up and down completely randomly.

Pair Corralation between AppTech Payments and Eventide Exponential

Assuming the 90 days horizon AppTech Payments Corp is expected to generate 31.5 times more return on investment than Eventide Exponential. However, AppTech Payments is 31.5 times more volatile than Eventide Exponential Technologies. It trades about 0.02 of its potential returns per unit of risk. Eventide Exponential Technologies is currently generating about 0.09 per unit of risk. If you would invest  17.00  in AppTech Payments Corp on July 13, 2025 and sell it today you would lose (12.34) from holding AppTech Payments Corp or give up 72.59% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	35.94%
Values	Daily Returns

AppTech Payments Corp  vs.  Eventide Exponential Technolog

AppTech Payments Corp

Risk-Adjusted Performance

Weak

Over the last 90 days AppTech Payments Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly weak basic indicators, AppTech Payments showed solid returns over the last few months and may actually be approaching a breakup point.

Eventide Exponential

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Eventide Exponential Technologies are ranked lower than 7 (%) of all funds and portfolios of funds over the last 90 days. In spite of fairly weak technical and fundamental indicators, Eventide Exponential may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Pair Trading with AppTech Payments and Eventide Exponential

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

The idea behind AppTech Payments Corp and Eventide Exponential Technologies 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.

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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 Fundamentals Comparison module to compare fundamentals across multiple equities to find investing opportunities.