Correlation Between ECARX Holdings and LOBO EV

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

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

Diversification Opportunities for ECARX Holdings and LOBO EV

-0.33

Correlation Coefficient

ECARX Holdings  LOBO EV

Very good diversification

The 3 months correlation between ECARX and LOBO is -0.33. Overlapping area represents the amount of risk that can be diversified away by holding ECARX Holdings Class and LOBO EV TECHNOLOGIES in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on LOBO EV TECHNOLOGIES and ECARX 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 ECARX Holdings Class are associated (or correlated) with LOBO EV. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LOBO EV TECHNOLOGIES has no effect on the direction of ECARX Holdings i.e., ECARX Holdings and LOBO EV go up and down completely randomly.

Pair Corralation between ECARX Holdings and LOBO EV

Considering the 90-day investment horizon ECARX Holdings Class is expected to generate 0.37 times more return on investment than LOBO EV. However, ECARX Holdings Class is 2.68 times less risky than LOBO EV. It trades about 0.04 of its potential returns per unit of risk. LOBO EV TECHNOLOGIES is currently generating about 0.0 per unit of risk. If you would invest  163.00  in ECARX Holdings Class on May 27, 2025 and sell it today you would earn a total of  4.00  from holding ECARX Holdings Class or generate 2.45% return on investment over 90 days.

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

ECARX Holdings Class  vs.  LOBO EV TECHNOLOGIES

ECARX Holdings Class

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in ECARX Holdings Class are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of fairly weak fundamental indicators, ECARX Holdings showed solid returns over the last few months and may actually be approaching a breakup point.

LOBO EV TECHNOLOGIES

Risk-Adjusted Performance

Weakest

Over the last 90 days LOBO EV TECHNOLOGIES has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy fundamental drivers, LOBO EV is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Pair Trading with ECARX Holdings and LOBO EV

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

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