Correlation Between Health Catalyst and Forian

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

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

Diversification Opportunities for Health Catalyst and Forian

-0.57

Correlation Coefficient

Health Catalyst  Forian

Excellent diversification

The 3 months correlation between Health and Forian is -0.57. Overlapping area represents the amount of risk that can be diversified away by holding Health Catalyst and Forian Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Forian Inc and Health Catalyst 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 Health Catalyst are associated (or correlated) with Forian. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Forian Inc has no effect on the direction of Health Catalyst i.e., Health Catalyst and Forian go up and down completely randomly.

Pair Corralation between Health Catalyst and Forian

Given the investment horizon of 90 days Health Catalyst is expected to under-perform the Forian. In addition to that, Health Catalyst is 1.07 times more volatile than Forian Inc. It trades about -0.03 of its total potential returns per unit of risk. Forian Inc is currently generating about 0.06 per unit of volatility. If you would invest  193.00  in Forian Inc on July 29, 2025 and sell it today you would earn a total of  26.00  from holding Forian Inc or generate 13.47% return on investment over 90 days.

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

Health Catalyst  vs.  Forian Inc

Health Catalyst

Risk-Adjusted Performance

Weakest

Over the last 90 days Health Catalyst has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unfluctuating performance, the Stock's basic indicators remain stable and the newest uproar on Wall Street may also be a sign of mid-term gains for the firm private investors.

Forian Inc

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Forian Inc are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Despite somewhat uncertain basic indicators, Forian sustained solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Health Catalyst and Forian

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

The idea behind Health Catalyst and Forian Inc 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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.