Correlation Between Coastal Carolina and Via Renewables

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

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

Diversification Opportunities for Coastal Carolina and Via Renewables

0.77

Correlation Coefficient

Coastal Carolina  Via Renewables

Poor diversification

The 3 months correlation between Coastal and Via is 0.77. Overlapping area represents the amount of risk that can be diversified away by holding Coastal Carolina Bancshares and Via Renewables in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Via Renewables and Coastal Carolina 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 Coastal Carolina Bancshares are associated (or correlated) with Via Renewables. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Via Renewables has no effect on the direction of Coastal Carolina i.e., Coastal Carolina and Via Renewables go up and down completely randomly.

Pair Corralation between Coastal Carolina and Via Renewables

Given the investment horizon of 90 days Coastal Carolina Bancshares is expected to generate 1.56 times more return on investment than Via Renewables. However, Coastal Carolina is 1.56 times more volatile than Via Renewables. It trades about 0.18 of its potential returns per unit of risk. Via Renewables is currently generating about 0.12 per unit of risk. If you would invest  1,145  in Coastal Carolina Bancshares on July 10, 2025 and sell it today you would earn a total of  93.00  from holding Coastal Carolina Bancshares or generate 8.12% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	98.44%
Values	Daily Returns

Coastal Carolina Bancshares  vs.  Via Renewables

Coastal Carolina Ban

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Coastal Carolina Bancshares are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. Despite somewhat uncertain basic indicators, Coastal Carolina may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Via Renewables

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Via Renewables are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Even with relatively invariable basic indicators, Via Renewables is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Coastal Carolina and Via Renewables

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

The idea behind Coastal Carolina Bancshares and Via Renewables 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..