Correlation Between Impinj and HubSpot

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

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

Diversification Opportunities for Impinj and HubSpot

-0.51

Correlation Coefficient

Impinj  HubSpot

Excellent diversification

The 3 months correlation between Impinj and HubSpot is -0.51. Overlapping area represents the amount of risk that can be diversified away by holding Impinj Inc and HubSpot in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on HubSpot and Impinj 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 Impinj Inc are associated (or correlated) with HubSpot. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of HubSpot has no effect on the direction of Impinj i.e., Impinj and HubSpot go up and down completely randomly.

Pair Corralation between Impinj and HubSpot

Allowing for the 90-day total investment horizon Impinj Inc is expected to generate 1.86 times more return on investment than HubSpot. However, Impinj is 1.86 times more volatile than HubSpot. It trades about 0.11 of its potential returns per unit of risk. HubSpot is currently generating about -0.32 per unit of risk. If you would invest  12,146  in Impinj Inc on May 14, 2025 and sell it today you would earn a total of  3,209  from holding Impinj Inc or generate 26.42% return on investment over 90 days.

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

Impinj Inc  vs.  HubSpot

Impinj Inc

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Impinj Inc are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite fairly unfluctuating forward indicators, Impinj demonstrated solid returns over the last few months and may actually be approaching a breakup point.

HubSpot

Risk-Adjusted Performance

Weakest

Over the last 90 days HubSpot has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of abnormal performance in the last few months, the Stock's fundamental drivers remain comparatively stable which may send shares a bit higher in September 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Pair Trading with Impinj and HubSpot

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

The idea behind Impinj Inc and HubSpot 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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.