Correlation Between Exro Technologies and Nextech Ar

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

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

Diversification Opportunities for Exro Technologies and Nextech Ar

-0.79

Correlation Coefficient

Exro Technologies  Nextech Ar

Pay attention - limited upside

The 3 months correlation between Exro and Nextech is -0.79. Overlapping area represents the amount of risk that can be diversified away by holding Exro Technologies and Nextech Ar Solutions in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Nextech Ar Solutions and Exro Technologies 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 Exro Technologies are associated (or correlated) with Nextech Ar. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Nextech Ar Solutions has no effect on the direction of Exro Technologies i.e., Exro Technologies and Nextech Ar go up and down completely randomly.

Pair Corralation between Exro Technologies and Nextech Ar

Assuming the 90 days trading horizon Exro Technologies is expected to under-perform the Nextech Ar. In addition to that, Exro Technologies is 1.06 times more volatile than Nextech Ar Solutions. It trades about -0.09 of its total potential returns per unit of risk. Nextech Ar Solutions is currently generating about 0.23 per unit of volatility. If you would invest  4.30  in Nextech Ar Solutions on July 3, 2025 and sell it today you would earn a total of  10.70  from holding Nextech Ar Solutions or generate 248.84% return on investment over 90 days.

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

Exro Technologies  vs.  Nextech Ar Solutions

Exro Technologies

Risk-Adjusted Performance

Weakest

Over the last 90 days Exro Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fragile performance in the last few months, the Stock's basic indicators remain very healthy which may send shares a bit higher in November 2025. The recent disarray may also be a sign of long period up-swing for the firm investors.

Nextech Ar Solutions

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Nextech Ar Solutions are ranked lower than 18 (%) of all global equities and portfolios over the last 90 days. Despite nearly weak fundamental indicators, Nextech Ar reported solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Exro Technologies and Nextech Ar

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

The idea behind Exro Technologies and Nextech Ar Solutions 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 Top Crypto Exchanges module to search and analyze digital assets across top global cryptocurrency exchanges.