Correlation Between Ascent Solar and ABCO Energy

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

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

Diversification Opportunities for Ascent Solar and ABCO Energy

0.0

Correlation Coefficient

Ascent Solar  ABCO Energy

Pay attention - limited upside

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

Pair Corralation between Ascent Solar and ABCO Energy

If you would invest  193.00  in Ascent Solar Technologies, on August 6, 2025 and sell it today you would earn a total of  13.00  from holding Ascent Solar Technologies, or generate 6.74% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	1.59%
Values	Daily Returns

Ascent Solar Technologies,  vs.  ABCO Energy

Ascent Solar Technol

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Ascent Solar Technologies, are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite fairly weak basic indicators, Ascent Solar demonstrated solid returns over the last few months and may actually be approaching a breakup point.

ABCO Energy

Risk-Adjusted Performance

Weakest

Over the last 90 days ABCO Energy has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather sound fundamental indicators, ABCO Energy is not utilizing all of its potentials. The current stock price tumult, may contribute to shorter-term losses for the shareholders.

Pair Trading with Ascent Solar and ABCO Energy

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

The idea behind Ascent Solar Technologies, and ABCO Energy 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 Funds Screener module to find actively-traded funds from around the world traded on over 30 global exchanges.