Correlation Between Cheche Group and Taboola

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

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

Diversification Opportunities for Cheche Group and Taboola

-0.79

Correlation Coefficient

Cheche Group  Taboola

Pay attention - limited upside

The 3 months correlation between Cheche and Taboola is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Cheche Group Class and Taboola in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Taboola and Cheche Group 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 Cheche Group Class are associated (or correlated) with Taboola. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Taboola has no effect on the direction of Cheche Group i.e., Cheche Group and Taboola go up and down completely randomly.

Pair Corralation between Cheche Group and Taboola

Considering the 90-day investment horizon Cheche Group Class is expected to under-perform the Taboola. In addition to that, Cheche Group is 1.11 times more volatile than Taboola. It trades about -0.1 of its total potential returns per unit of risk. Taboola is currently generating about 0.06 per unit of volatility. If you would invest  303.00  in Taboola on May 1, 2025 and sell it today you would earn a total of  20.00  from holding Taboola or generate 6.6% return on investment over 90 days.

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

Cheche Group Class  vs.  Taboola

Cheche Group Class

Risk-Adjusted Performance

Very Weak

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

Taboola

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Taboola are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. Despite somewhat inconsistent essential indicators, Taboola may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Pair Trading with Cheche Group and Taboola

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

The idea behind Cheche Group Class and Taboola 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 Share Portfolio module to track or share privately all of your investments from the convenience of any device.