Correlation Between Gamehost and Orca Energy

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

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

Diversification Opportunities for Gamehost and Orca Energy

0.61

Correlation Coefficient

Gamehost  Orca Energy

Poor diversification

The 3 months correlation between Gamehost and Orca is 0.61. Overlapping area represents the amount of risk that can be diversified away by holding Gamehost and Orca Energy Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Orca Energy Group and Gamehost 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 Gamehost are associated (or correlated) with Orca Energy. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Orca Energy Group has no effect on the direction of Gamehost i.e., Gamehost and Orca Energy go up and down completely randomly.

Pair Corralation between Gamehost and Orca Energy

Assuming the 90 days horizon Gamehost is expected to generate 51.37 times more return on investment than Orca Energy. However, Gamehost is 51.37 times more volatile than Orca Energy Group. It trades about 0.11 of its potential returns per unit of risk. Orca Energy Group is currently generating about 0.12 per unit of risk. If you would invest  1,087  in Gamehost on May 22, 2025 and sell it today you would earn a total of  78.00  from holding Gamehost or generate 7.18% return on investment over 90 days.

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

Gamehost  vs.  Orca Energy Group

Gamehost

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Gamehost are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. In spite of very unfluctuating basic indicators, Gamehost may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Orca Energy Group

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Orca Energy Group are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of fairly stable basic indicators, Orca Energy is not utilizing all of its potentials. The recent stock price fuss, may contribute to near-short-term losses for the sophisticated investors.

Pair Trading with Gamehost and Orca Energy

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

The idea behind Gamehost and Orca Energy Group 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 Fundamental Analysis module to view fundamental data based on most recent published financial statements.