Correlation Between Astra International and Kinaxis

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

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

Diversification Opportunities for Astra International and Kinaxis

-0.81

Correlation Coefficient

Astra International  Kinaxis

Pay attention - limited upside

The 3 months correlation between Astra and Kinaxis is -0.81. Overlapping area represents the amount of risk that can be diversified away by holding Astra International Tbk and Kinaxis in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Kinaxis and Astra International 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 Astra International Tbk are associated (or correlated) with Kinaxis. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Kinaxis has no effect on the direction of Astra International i.e., Astra International and Kinaxis go up and down completely randomly.

Pair Corralation between Astra International and Kinaxis

Assuming the 90 days horizon Astra International Tbk is expected to generate 0.87 times more return on investment than Kinaxis. However, Astra International Tbk is 1.14 times less risky than Kinaxis. It trades about 0.18 of its potential returns per unit of risk. Kinaxis is currently generating about -0.06 per unit of risk. If you would invest  575.00  in Astra International Tbk on July 6, 2025 and sell it today you would earn a total of  154.00  from holding Astra International Tbk or generate 26.78% return on investment over 90 days.

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

Astra International Tbk  vs.  Kinaxis

Astra International Tbk

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in Astra International Tbk are ranked lower than 14 (%) of all global equities and portfolios over the last 90 days. In spite of fairly unfluctuating forward indicators, Astra International showed solid returns over the last few months and may actually be approaching a breakup point.

Kinaxis

Risk-Adjusted Performance

Weakest

Over the last 90 days Kinaxis has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest fragile performance, the Stock's fundamental indicators remain stable and the current disturbance on Wall Street may also be a sign of long-run gains for the company stockholders.

Pair Trading with Astra International and Kinaxis

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

The idea behind Astra International Tbk and Kinaxis 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 Money Managers module to screen money managers from public funds and ETFs managed around the world.