Correlation Between HubSpot and CSG Systems

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

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

Diversification Opportunities for HubSpot and CSG Systems

0.46

Correlation Coefficient

HubSpot  CSG Systems

Very weak diversification

The 3 months correlation between HubSpot and CSG is 0.46. Overlapping area represents the amount of risk that can be diversified away by holding HubSpot and CSG Systems International in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CSG Systems International and HubSpot 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 HubSpot are associated (or correlated) with CSG Systems. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CSG Systems International has no effect on the direction of HubSpot i.e., HubSpot and CSG Systems go up and down completely randomly.

Pair Corralation between HubSpot and CSG Systems

Given the investment horizon of 90 days HubSpot is expected to under-perform the CSG Systems. In addition to that, HubSpot is 1.63 times more volatile than CSG Systems International. It trades about -0.16 of its total potential returns per unit of risk. CSG Systems International is currently generating about -0.04 per unit of volatility. If you would invest  6,597  in CSG Systems International on May 26, 2025 and sell it today you would lose (280.00) from holding CSG Systems International or give up 4.24% of portfolio value over 90 days.

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

HubSpot  vs.  CSG Systems International

HubSpot

Risk-Adjusted Performance

Weakest

Over the last 90 days HubSpot 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 fundamental drivers remain comparatively stable which may send shares a bit higher in September 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

CSG Systems International

Risk-Adjusted Performance

Weakest

Over the last 90 days CSG Systems International has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable technical and fundamental indicators, CSG Systems is not utilizing all of its potentials. The latest stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with HubSpot and CSG Systems

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

The idea behind HubSpot and CSG Systems International 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 Instant Ratings module to determine any equity ratings based on digital recommendations. Macroaxis instant equity ratings are based on combination of fundamental analysis and risk-adjusted market performance.