Correlation Between Manhattan Associates and EverCommerce

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

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

Diversification Opportunities for Manhattan Associates and EverCommerce

0.76

Correlation Coefficient

Manhattan Associates  EverCommerce

Poor diversification

The 3 months correlation between Manhattan and EverCommerce is 0.76. Overlapping area represents the amount of risk that can be diversified away by holding Manhattan Associates and EverCommerce in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on EverCommerce and Manhattan Associates 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 Manhattan Associates are associated (or correlated) with EverCommerce. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of EverCommerce has no effect on the direction of Manhattan Associates i.e., Manhattan Associates and EverCommerce go up and down completely randomly.

Pair Corralation between Manhattan Associates and EverCommerce

Given the investment horizon of 90 days Manhattan Associates is expected to generate 0.55 times more return on investment than EverCommerce. However, Manhattan Associates is 1.8 times less risky than EverCommerce. It trades about -0.16 of its potential returns per unit of risk. EverCommerce is currently generating about -0.09 per unit of risk. If you would invest  21,933  in Manhattan Associates on September 6, 2025 and sell it today you would lose (3,964) from holding Manhattan Associates or give up 18.07% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Significant
Accuracy	98.44%
Values	Daily Returns

Manhattan Associates  vs.  EverCommerce

Manhattan Associates

Risk-Adjusted Performance

Weakest

Over the last 90 days Manhattan Associates has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in January 2026. The recent confusion may also be a sign of long-lasting up-swing for the firm traders.

EverCommerce

Risk-Adjusted Performance

Weakest

Over the last 90 days EverCommerce has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fragile performance in the last few months, the Stock's fundamental indicators remain very healthy which may send shares a bit higher in January 2026. The recent disarray may also be a sign of long period up-swing for the firm investors.

Pair Trading with Manhattan Associates and EverCommerce

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

The idea behind Manhattan Associates and EverCommerce 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 Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..