Correlation Between Rocket Pharmaceuticals and Cellectis

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

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

Diversification Opportunities for Rocket Pharmaceuticals and Cellectis

0.58

Correlation Coefficient

Rocket Pharmaceuticals  Cellectis

Very weak diversification

The 3 months correlation between Rocket and Cellectis is 0.58. Overlapping area represents the amount of risk that can be diversified away by holding Rocket Pharmaceuticals and Cellectis SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Cellectis SA and Rocket 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 Rocket Pharmaceuticals are associated (or correlated) with Cellectis. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Cellectis SA has no effect on the direction of Rocket Pharmaceuticals i.e., Rocket Pharmaceuticals and Cellectis go up and down completely randomly.

Pair Corralation between Rocket Pharmaceuticals and Cellectis

Given the investment horizon of 90 days Rocket Pharmaceuticals is expected to generate 1.25 times less return on investment than Cellectis. In addition to that, Rocket Pharmaceuticals is 1.13 times more volatile than Cellectis SA. It trades about 0.07 of its total potential returns per unit of risk. Cellectis SA is currently generating about 0.09 per unit of volatility. If you would invest  260.00  in Cellectis SA on August 8, 2025 and sell it today you would earn a total of  66.00  from holding Cellectis SA or generate 25.38% return on investment over 90 days.

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

Rocket Pharmaceuticals  vs.  Cellectis SA

Rocket Pharmaceuticals

Risk-Adjusted Performance

Mild

Compared to the overall equity markets, risk-adjusted returns on investments in Rocket Pharmaceuticals are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively conflicting forward-looking signals, Rocket Pharmaceuticals unveiled solid returns over the last few months and may actually be approaching a breakup point.

Cellectis SA

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Cellectis SA are ranked lower than 7 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak essential indicators, Cellectis unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Rocket Pharmaceuticals and Cellectis

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

The idea behind Rocket Pharmaceuticals and Cellectis SA 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 Backtesting module to avoid under-diversification and over-optimization by backtesting your portfolios.