Correlation Between Gungnir Resources and Astronics Corp

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

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

Diversification Opportunities for Gungnir Resources and Astronics Corp

-0.56

Correlation Coefficient

Gungnir Resources  Astronics Corp

Excellent diversification

The 3 months correlation between Gungnir and Astronics is -0.56. Overlapping area represents the amount of risk that can be diversified away by holding Gungnir Resources and Astronics Corp Cl in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Astronics Corp Cl and Gungnir Resources 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 Gungnir Resources are associated (or correlated) with Astronics Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Astronics Corp Cl has no effect on the direction of Gungnir Resources i.e., Gungnir Resources and Astronics Corp go up and down completely randomly.

Pair Corralation between Gungnir Resources and Astronics Corp

Assuming the 90 days horizon Gungnir Resources is expected to generate 1.94 times more return on investment than Astronics Corp. However, Gungnir Resources is 1.94 times more volatile than Astronics Corp Cl. It trades about 0.02 of its potential returns per unit of risk. Astronics Corp Cl is currently generating about 0.02 per unit of risk. If you would invest  2.20  in Gungnir Resources on May 10, 2025 and sell it today you would lose (0.35) from holding Gungnir Resources or give up 15.91% of portfolio value over 90 days.

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

Gungnir Resources  vs.  Astronics Corp Cl

Gungnir Resources

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Gungnir Resources are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, Gungnir Resources reported solid returns over the last few months and may actually be approaching a breakup point.

Astronics Corp Cl

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Astronics Corp Cl are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong basic indicators, Astronics Corp is not utilizing all of its potentials. The latest stock price disturbance, may contribute to short-term losses for the investors.

Pair Trading with Gungnir Resources and Astronics Corp

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

The idea behind Gungnir Resources and Astronics Corp Cl 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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.