Correlation Between DoubleVerify Holdings and DocuSign

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

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

Diversification Opportunities for DoubleVerify Holdings and DocuSign

-0.44

Correlation Coefficient

DoubleVerify Holdings  DocuSign

Very good diversification

The 3 months correlation between DoubleVerify and DocuSign is -0.44. Overlapping area represents the amount of risk that can be diversified away by holding DoubleVerify Holdings and DocuSign in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on DocuSign and DoubleVerify Holdings 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 DoubleVerify Holdings are associated (or correlated) with DocuSign. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of DocuSign has no effect on the direction of DoubleVerify Holdings i.e., DoubleVerify Holdings and DocuSign go up and down completely randomly.

Pair Corralation between DoubleVerify Holdings and DocuSign

Allowing for the 90-day total investment horizon DoubleVerify Holdings is expected to generate 0.65 times more return on investment than DocuSign. However, DoubleVerify Holdings is 1.55 times less risky than DocuSign. It trades about 0.02 of its potential returns per unit of risk. DocuSign is currently generating about -0.12 per unit of risk. If you would invest  1,469  in DoubleVerify Holdings on May 13, 2025 and sell it today you would earn a total of  19.00  from holding DoubleVerify Holdings or generate 1.29% return on investment over 90 days.

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

DoubleVerify Holdings  vs.  DocuSign

DoubleVerify Holdings

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in DoubleVerify Holdings are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. In spite of fairly stable basic indicators, DoubleVerify Holdings is not utilizing all of its potentials. The latest stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

DocuSign

Risk-Adjusted Performance

Weakest

Over the last 90 days DocuSign has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of unsteady performance in the last few months, the Stock's fundamental 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 DoubleVerify Holdings and DocuSign

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

The idea behind DoubleVerify Holdings and DocuSign 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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..