Correlation Between Marvell Technology and Semilux International

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

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

Diversification Opportunities for Marvell Technology and Semilux International

-0.83

Correlation Coefficient

Marvell Technology  Semilux International

Pay attention - limited upside

The 3 months correlation between Marvell and Semilux is -0.83. Overlapping area represents the amount of risk that can be diversified away by holding Marvell Technology Group and Semilux International Ltd in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Semilux International and Marvell Technology 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 Marvell Technology Group are associated (or correlated) with Semilux International. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Semilux International has no effect on the direction of Marvell Technology i.e., Marvell Technology and Semilux International go up and down completely randomly.

Pair Corralation between Marvell Technology and Semilux International

Given the investment horizon of 90 days Marvell Technology Group is expected to generate 0.84 times more return on investment than Semilux International. However, Marvell Technology Group is 1.19 times less risky than Semilux International. It trades about 0.1 of its potential returns per unit of risk. Semilux International Ltd is currently generating about -0.13 per unit of risk. If you would invest  6,193  in Marvell Technology Group on May 5, 2025 and sell it today you would earn a total of  1,252  from holding Marvell Technology Group or generate 20.22% return on investment over 90 days.

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

Marvell Technology Group  vs.  Semilux International Ltd

Marvell Technology

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Marvell Technology Group are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite quite conflicting basic indicators, Marvell Technology disclosed solid returns over the last few months and may actually be approaching a breakup point.

Semilux International

Risk-Adjusted Performance

Very Weak

Over the last 90 days Semilux International Ltd has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's essential indicators remain fairly strong which may send shares a bit higher in September 2025. The current disturbance may also be a sign of long term up-swing for the company investors.

Pair Trading with Marvell Technology and Semilux International

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

The idea behind Marvell Technology Group and Semilux International Ltd 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 Companies Directory module to evaluate performance of over 100,000 Stocks, Funds, and ETFs against different fundamentals.