Correlation Between C-Com Satellite and Atlas Engineered

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

By analyzing existing cross correlation between C Com Satellite Systems and Atlas Engineered Products, you can compare the effects of market volatilities on C-Com Satellite and Atlas Engineered 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 C-Com Satellite with a short position of Atlas Engineered. Check out your portfolio center. Please also check ongoing floating volatility patterns of C-Com Satellite and Atlas Engineered.

Diversification Opportunities for C-Com Satellite and Atlas Engineered

0.46

Correlation Coefficient

C-Com Satellite  Atlas Engineered

Very weak diversification

The 3 months correlation between C-Com and Atlas is 0.46. Overlapping area represents the amount of risk that can be diversified away by holding C Com Satellite Systems and Atlas Engineered Products in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Atlas Engineered Products and C-Com Satellite 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 C Com Satellite Systems are associated (or correlated) with Atlas Engineered. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Atlas Engineered Products has no effect on the direction of C-Com Satellite i.e., C-Com Satellite and Atlas Engineered go up and down completely randomly.

Pair Corralation between C-Com Satellite and Atlas Engineered

Assuming the 90 days horizon C-Com Satellite is expected to generate 2.06 times less return on investment than Atlas Engineered. But when comparing it to its historical volatility, C Com Satellite Systems is 1.01 times less risky than Atlas Engineered. It trades about 0.03 of its potential returns per unit of risk. Atlas Engineered Products is currently generating about 0.06 of returns per unit of risk over similar time horizon. If you would invest  55.00  in Atlas Engineered Products on May 20, 2025 and sell it today you would earn a total of  5.00  from holding Atlas Engineered Products or generate 9.09% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	98.41%
Values	Daily Returns

C Com Satellite Systems  vs.  Atlas Engineered Products

C Com Satellite

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in C Com Satellite Systems are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite nearly stable basic indicators, C-Com Satellite is not utilizing all of its potentials. The current stock price disturbance, may contribute to mid-run losses for the stockholders.

Atlas Engineered Products

Risk-Adjusted Performance

Soft

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

Pair Trading with C-Com Satellite and Atlas Engineered

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

The idea behind C Com Satellite Systems and Atlas Engineered Products 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 Options Analysis module to analyze and evaluate options and option chains as a potential hedge for your portfolios.