Correlation Between Phio Pharmaceuticals and Delta Air

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

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

Diversification Opportunities for Phio Pharmaceuticals and Delta Air

0.07

Correlation Coefficient

Phio Pharmaceuticals  Delta Air

Significant diversification

The 3 months correlation between Phio and Delta is 0.07. Overlapping area represents the amount of risk that can be diversified away by holding Phio Pharmaceuticals Corp and Delta Air Lines in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Delta Air Lines and Phio Pharmaceuticals 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 Phio Pharmaceuticals Corp are associated (or correlated) with Delta Air. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Delta Air Lines has no effect on the direction of Phio Pharmaceuticals i.e., Phio Pharmaceuticals and Delta Air go up and down completely randomly.

Pair Corralation between Phio Pharmaceuticals and Delta Air

Given the investment horizon of 90 days Phio Pharmaceuticals is expected to generate 74.63 times less return on investment than Delta Air. In addition to that, Phio Pharmaceuticals is 2.44 times more volatile than Delta Air Lines. It trades about 0.0 of its total potential returns per unit of risk. Delta Air Lines is currently generating about 0.21 per unit of volatility. If you would invest  3,935  in Delta Air Lines on April 20, 2025 and sell it today you would earn a total of  1,694  from holding Delta Air Lines or generate 43.05% return on investment over 90 days.

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

Phio Pharmaceuticals Corp  vs.  Delta Air Lines

Phio Pharmaceuticals Corp

Risk-Adjusted Performance

Very Weak

Over the last 90 days Phio Pharmaceuticals Corp has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of very healthy forward indicators, Phio Pharmaceuticals is not utilizing all of its potentials. The current stock price disarray, may contribute to short-term losses for the investors.

Delta Air Lines

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Delta Air Lines are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. Despite quite conflicting basic indicators, Delta Air disclosed solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Phio Pharmaceuticals and Delta Air

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

The idea behind Phio Pharmaceuticals Corp and Delta Air Lines 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 ETF Categories module to list of ETF categories grouped based on various criteria, such as the investment strategy or type of investments.