Correlation Between MongoDB and Samsara

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

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

Diversification Opportunities for MongoDB and Samsara

-0.35

Correlation Coefficient

MongoDB  Samsara

Very good diversification

The 3 months correlation between MongoDB and Samsara is -0.35. Overlapping area represents the amount of risk that can be diversified away by holding MongoDB and Samsara in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Samsara and MongoDB 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 MongoDB are associated (or correlated) with Samsara. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Samsara has no effect on the direction of MongoDB i.e., MongoDB and Samsara go up and down completely randomly.

Pair Corralation between MongoDB and Samsara

Considering the 90-day investment horizon MongoDB is expected to generate 1.16 times more return on investment than Samsara. However, MongoDB is 1.16 times more volatile than Samsara. It trades about 0.24 of its potential returns per unit of risk. Samsara is currently generating about -0.04 per unit of risk. If you would invest  17,164  in MongoDB on May 2, 2025 and sell it today you would earn a total of  7,272  from holding MongoDB or generate 42.37% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.39%
Values	Daily Returns

MongoDB  vs.  Samsara

MongoDB

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in MongoDB are ranked lower than 18 (%) of all global equities and portfolios over the last 90 days. Despite somewhat uncertain fundamental indicators, MongoDB sustained solid returns over the last few months and may actually be approaching a breakup point.

Samsara

Risk-Adjusted Performance

Very Weak

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

Pair Trading with MongoDB and Samsara

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

The idea behind MongoDB and Samsara 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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.