Correlation Between BioAffinity Technologies, and Equillium

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

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

Diversification Opportunities for BioAffinity Technologies, and Equillium

-0.2

Correlation Coefficient

BioAffinity Technologies,  Equillium

Good diversification

The 3 months correlation between BioAffinity and Equillium is -0.2. Overlapping area represents the amount of risk that can be diversified away by holding bioAffinity Technologies, and Equillium in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Equillium and BioAffinity Technologies, 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 bioAffinity Technologies, are associated (or correlated) with Equillium. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Equillium has no effect on the direction of BioAffinity Technologies, i.e., BioAffinity Technologies, and Equillium go up and down completely randomly.

Pair Corralation between BioAffinity Technologies, and Equillium

Given the investment horizon of 90 days bioAffinity Technologies, is expected to under-perform the Equillium. But the stock apears to be less risky and, when comparing its historical volatility, bioAffinity Technologies, is 1.01 times less risky than Equillium. The stock trades about -0.1 of its potential returns per unit of risk. The Equillium is currently generating about 0.17 of returns per unit of risk over similar time horizon. If you would invest  56.00  in Equillium on August 2, 2025 and sell it today you would earn a total of  86.00  from holding Equillium or generate 153.57% return on investment over 90 days.

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

bioAffinity Technologies,  vs.  Equillium

bioAffinity Technologies,

Risk-Adjusted Performance

Weakest

Over the last 90 days bioAffinity Technologies, has generated negative risk-adjusted returns adding no value to investors with long positions. Despite unfluctuating performance in the last few months, the Stock's basic indicators remain nearly stable which may send shares a bit higher in December 2025. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Equillium

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Equillium are ranked lower than 13 (%) of all global equities and portfolios over the last 90 days. Even with relatively unsteady basic indicators, Equillium reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with BioAffinity Technologies, and Equillium

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

The idea behind bioAffinity Technologies, and Equillium 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 Sign In To Macroaxis module to sign in to explore Macroaxis' wealth optimization platform and fintech modules.