Correlation Between Helios Towers and Playtech Plc

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

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

Diversification Opportunities for Helios Towers and Playtech Plc

-0.79

Correlation Coefficient

Helios Towers  Playtech Plc

Pay attention - limited upside

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

Pair Corralation between Helios Towers and Playtech Plc

Assuming the 90 days trading horizon Helios Towers Plc is expected to generate 0.51 times more return on investment than Playtech Plc. However, Helios Towers Plc is 1.97 times less risky than Playtech Plc. It trades about 0.16 of its potential returns per unit of risk. Playtech Plc is currently generating about -0.12 per unit of risk. If you would invest  13,240  in Helios Towers Plc on September 7, 2025 and sell it today you would earn a total of  2,700  from holding Helios Towers Plc or generate 20.39% return on investment over 90 days.

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

Helios Towers Plc  vs.  Playtech Plc

Helios Towers Plc

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Helios Towers Plc are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain basic indicators, Helios Towers unveiled solid returns over the last few months and may actually be approaching a breakup point.

Playtech Plc

Risk-Adjusted Performance

Weakest

Over the last 90 days Playtech Plc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of uncertain performance in the last few months, the Stock's basic indicators remain comparatively stable which may send shares a bit higher in January 2026. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Pair Trading with Helios Towers and Playtech Plc

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

The idea behind Helios Towers Plc and Playtech Plc 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 Tickers module to use high-impact, comprehensive, and customizable stock tickers that can be easily integrated to any websites.