Correlation Between AMCON Distributing and Evolutionary Genomics

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

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

Diversification Opportunities for AMCON Distributing and Evolutionary Genomics

0.0

Correlation Coefficient

AMCON Distributing  Evolutionary Genomics

Pay attention - limited upside

The 3 months correlation between AMCON and Evolutionary is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding AMCON Distributing and Evolutionary Genomics in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Evolutionary Genomics and AMCON Distributing 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 AMCON Distributing are associated (or correlated) with Evolutionary Genomics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Evolutionary Genomics has no effect on the direction of AMCON Distributing i.e., AMCON Distributing and Evolutionary Genomics go up and down completely randomly.

Pair Corralation between AMCON Distributing and Evolutionary Genomics

If you would invest  0.02  in Evolutionary Genomics on May 20, 2025 and sell it today you would earn a total of  0.00  from holding Evolutionary Genomics or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	98.44%
Values	Daily Returns

AMCON Distributing  vs.  Evolutionary Genomics

AMCON Distributing

Risk-Adjusted Performance

Weakest

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

Evolutionary Genomics

Risk-Adjusted Performance

Weakest

Over the last 90 days Evolutionary Genomics has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy basic indicators, Evolutionary Genomics is not utilizing all of its potentials. The newest stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with AMCON Distributing and Evolutionary Genomics

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

The idea behind AMCON Distributing and Evolutionary Genomics 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 Equity Analysis module to research over 250,000 global equities including funds, stocks and ETFs to find investment opportunities.