Correlation Between Codexis and Datavault

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

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

Diversification Opportunities for Codexis and Datavault

-0.53

Correlation Coefficient

Codexis  Datavault

Excellent diversification

The 3 months correlation between Codexis and Datavault is -0.53. Overlapping area represents the amount of risk that can be diversified away by holding Codexis and Datavault AI in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Datavault AI and Codexis 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 Codexis are associated (or correlated) with Datavault. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Datavault AI has no effect on the direction of Codexis i.e., Codexis and Datavault go up and down completely randomly.

Pair Corralation between Codexis and Datavault

Given the investment horizon of 90 days Codexis is expected to generate 0.63 times more return on investment than Datavault. However, Codexis is 1.58 times less risky than Datavault. It trades about 0.04 of its potential returns per unit of risk. Datavault AI is currently generating about -0.08 per unit of risk. If you would invest  264.00  in Codexis on May 10, 2025 and sell it today you would earn a total of  14.00  from holding Codexis or generate 5.3% return on investment over 90 days.

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

Codexis  vs.  Datavault AI

Codexis

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Codexis are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively unsteady basic indicators, Codexis may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Datavault AI

Risk-Adjusted Performance

Weakest

Over the last 90 days Datavault AI has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unfluctuating performance in the last few months, the Stock's essential indicators remain comparatively stable which may send shares a bit higher in September 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Pair Trading with Codexis and Datavault

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

The idea behind Codexis and Datavault AI 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.

Check out your portfolio center.

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 Portfolio Suggestion module to get suggestions outside of your existing asset allocation including your own model portfolios.