Correlation Between Eagle Materials and CCFNB Bancorp

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

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

Diversification Opportunities for Eagle Materials and CCFNB Bancorp

-0.7

Correlation Coefficient

Eagle Materials  CCFNB Bancorp

Excellent diversification

The 3 months correlation between Eagle and CCFNB is -0.7. Overlapping area represents the amount of risk that can be diversified away by holding Eagle Materials and CCFNB Bancorp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CCFNB Bancorp and Eagle Materials 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 Eagle Materials are associated (or correlated) with CCFNB Bancorp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CCFNB Bancorp has no effect on the direction of Eagle Materials i.e., Eagle Materials and CCFNB Bancorp go up and down completely randomly.

Pair Corralation between Eagle Materials and CCFNB Bancorp

Considering the 90-day investment horizon Eagle Materials is expected to generate 56.27 times less return on investment than CCFNB Bancorp. In addition to that, Eagle Materials is 2.38 times more volatile than CCFNB Bancorp. It trades about 0.0 of its total potential returns per unit of risk. CCFNB Bancorp is currently generating about 0.14 per unit of volatility. If you would invest  4,858  in CCFNB Bancorp on September 3, 2025 and sell it today you would earn a total of  382.00  from holding CCFNB Bancorp or generate 7.86% return on investment over 90 days.

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

Eagle Materials  vs.  CCFNB Bancorp

Eagle Materials

Risk-Adjusted Performance

Weakest

Over the last 90 days Eagle Materials has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, Eagle Materials is not utilizing all of its potentials. The recent stock price agitation, may contribute to short-term losses for the retail investors.

CCFNB Bancorp

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in CCFNB Bancorp are ranked lower than 11 (%) of all global equities and portfolios over the last 90 days. In spite of very uncertain technical and fundamental indicators, CCFNB Bancorp may actually be approaching a critical reversion point that can send shares even higher in January 2026.

Pair Trading with Eagle Materials and CCFNB Bancorp

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

The idea behind Eagle Materials and CCFNB Bancorp 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 Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.