Correlation Between Kingboard Chemical and Axcelis Technologies

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

By analyzing existing cross correlation between Kingboard Chemical Holdings and Axcelis Technologies, you can compare the effects of market volatilities on Kingboard Chemical and Axcelis Technologies 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 Kingboard Chemical with a short position of Axcelis Technologies. Check out your portfolio center. Please also check ongoing floating volatility patterns of Kingboard Chemical and Axcelis Technologies.

Diversification Opportunities for Kingboard Chemical and Axcelis Technologies

0.0

Correlation Coefficient

Kingboard Chemical  Axcelis Technologies

Pay attention - limited upside

The 3 months correlation between Kingboard and Axcelis is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Kingboard Chemical Holdings and Axcelis Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Axcelis Technologies and Kingboard Chemical 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 Kingboard Chemical Holdings are associated (or correlated) with Axcelis Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Axcelis Technologies has no effect on the direction of Kingboard Chemical i.e., Kingboard Chemical and Axcelis Technologies go up and down completely randomly.

Pair Corralation between Kingboard Chemical and Axcelis Technologies

If you would invest  8,229  in Axcelis Technologies on August 29, 2025 and sell it today you would lose (16.00) from holding Axcelis Technologies or give up 0.19% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	100.0%
Values	Daily Returns

Kingboard Chemical Holdings  vs.  Axcelis Technologies

Kingboard Chemical

Risk-Adjusted Performance

Weakest

Over the last 90 days Kingboard Chemical Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fairly strong fundamental indicators, Kingboard Chemical is not utilizing all of its potentials. The recent stock price disturbance, may contribute to short-term losses for the investors.

Axcelis Technologies

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Axcelis Technologies are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively stable essential indicators, Axcelis Technologies 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 Kingboard Chemical and Axcelis Technologies

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

The idea behind Kingboard Chemical Holdings and Axcelis Technologies 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 Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.