Correlation Between Cellectis and Vericel Corp

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

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

Diversification Opportunities for Cellectis and Vericel Corp

-0.63

Correlation Coefficient

Cellectis  Vericel Corp

Excellent diversification

The 3 months correlation between Cellectis and Vericel is -0.63. Overlapping area represents the amount of risk that can be diversified away by holding Cellectis SA and Vericel Corp Ord in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Vericel Corp Ord and Cellectis 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 Cellectis SA are associated (or correlated) with Vericel Corp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Vericel Corp Ord has no effect on the direction of Cellectis i.e., Cellectis and Vericel Corp go up and down completely randomly.

Pair Corralation between Cellectis and Vericel Corp

Given the investment horizon of 90 days Cellectis SA is expected to generate 2.48 times more return on investment than Vericel Corp. However, Cellectis is 2.48 times more volatile than Vericel Corp Ord. It trades about 0.14 of its potential returns per unit of risk. Vericel Corp Ord is currently generating about -0.06 per unit of risk. If you would invest  151.00  in Cellectis SA on May 11, 2025 and sell it today you would earn a total of  109.00  from holding Cellectis SA or generate 72.19% return on investment over 90 days.

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

Cellectis SA  vs.  Vericel Corp Ord

Cellectis SA

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Cellectis SA are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak essential indicators, Cellectis unveiled solid returns over the last few months and may actually be approaching a breakup point.

Vericel Corp Ord

Risk-Adjusted Performance

Weakest

Over the last 90 days Vericel Corp Ord has generated negative risk-adjusted returns adding no value to investors with long positions. Despite conflicting performance in the last few months, the Stock's technical and fundamental indicators remain quite persistent which may send shares a bit higher in September 2025. The latest mess may also be a sign of long-standing up-swing for the company institutional investors.

Pair Trading with Cellectis and Vericel Corp

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

The idea behind Cellectis SA and Vericel Corp Ord 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 Portfolio Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.