Correlation Between Crown Holdings and Maplebear

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

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

Diversification Opportunities for Crown Holdings and Maplebear

0.08

Correlation Coefficient

Crown Holdings  Maplebear

Significant diversification

The 3 months correlation between Crown and Maplebear is 0.08. Overlapping area represents the amount of risk that can be diversified away by holding Crown Holdings and Maplebear in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Maplebear and Crown Holdings 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 Crown Holdings are associated (or correlated) with Maplebear. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Maplebear has no effect on the direction of Crown Holdings i.e., Crown Holdings and Maplebear go up and down completely randomly.

Pair Corralation between Crown Holdings and Maplebear

Considering the 90-day investment horizon Crown Holdings is expected to under-perform the Maplebear. But the stock apears to be less risky and, when comparing its historical volatility, Crown Holdings is 1.54 times less risky than Maplebear. The stock trades about -0.05 of its potential returns per unit of risk. The Maplebear is currently generating about -0.03 of returns per unit of risk over similar time horizon. If you would invest  4,452  in Maplebear on August 21, 2025 and sell it today you would lose (309.00) from holding Maplebear or give up 6.94% of portfolio value over 90 days.

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

Crown Holdings  vs.  Maplebear

Crown Holdings

Risk-Adjusted Performance

Weakest

Over the last 90 days Crown Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. Despite quite persistent fundamental indicators, Crown Holdings is not utilizing all of its potentials. The latest stock price mess, may contribute to short-term losses for the institutional investors.

Maplebear

Risk-Adjusted Performance

Weakest

Over the last 90 days Maplebear has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, Maplebear is not utilizing all of its potentials. The latest stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with Crown Holdings and Maplebear

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

The idea behind Crown Holdings and Maplebear 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.