Correlation Between Intelligent Bio and HF Sinclair

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

By analyzing existing cross correlation between Intelligent Bio Solutions and HF Sinclair Corp, you can compare the effects of market volatilities on Intelligent Bio and HF Sinclair 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 Intelligent Bio with a short position of HF Sinclair. Check out your portfolio center. Please also check ongoing floating volatility patterns of Intelligent Bio and HF Sinclair.

Diversification Opportunities for Intelligent Bio and HF Sinclair

0.65

Correlation Coefficient

Intelligent Bio  HF Sinclair

Poor diversification

The 3 months correlation between Intelligent and DINO is 0.65. Overlapping area represents the amount of risk that can be diversified away by holding Intelligent Bio Solutions and HF Sinclair Corp in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HF Sinclair Corp and Intelligent Bio 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 Intelligent Bio Solutions are associated (or correlated) with HF Sinclair. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HF Sinclair Corp has no effect on the direction of Intelligent Bio i.e., Intelligent Bio and HF Sinclair go up and down completely randomly.

Pair Corralation between Intelligent Bio and HF Sinclair

Given the investment horizon of 90 days Intelligent Bio Solutions is expected to generate 2.85 times more return on investment than HF Sinclair. However, Intelligent Bio is 2.85 times more volatile than HF Sinclair Corp. It trades about 0.09 of its potential returns per unit of risk. HF Sinclair Corp is currently generating about 0.19 per unit of risk. If you would invest  122.00  in Intelligent Bio Solutions on May 11, 2025 and sell it today you would earn a total of  30.00  from holding Intelligent Bio Solutions or generate 24.59% return on investment over 90 days.

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

Intelligent Bio Solutions  vs.  HF Sinclair Corp

Intelligent Bio Solutions

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Intelligent Bio Solutions are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively inconsistent fundamental drivers, Intelligent Bio unveiled solid returns over the last few months and may actually be approaching a breakup point.

HF Sinclair Corp

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in HF Sinclair Corp are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. In spite of very conflicting basic indicators, HF Sinclair displayed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Intelligent Bio and HF Sinclair

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

The idea behind Intelligent Bio Solutions and HF Sinclair Corp 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 Volatility Analysis module to get historical volatility and risk analysis based on latest market data.