Correlation Between SentinelOne and LogicMark

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

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

Diversification Opportunities for SentinelOne and LogicMark

0.47

Correlation Coefficient

SentinelOne  LogicMark

Very weak diversification

The 3 months correlation between SentinelOne and LogicMark is 0.47. Overlapping area represents the amount of risk that can be diversified away by holding SentinelOne and LogicMark in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on LogicMark and SentinelOne 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 SentinelOne are associated (or correlated) with LogicMark. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of LogicMark has no effect on the direction of SentinelOne i.e., SentinelOne and LogicMark go up and down completely randomly.

Pair Corralation between SentinelOne and LogicMark

Taking into account the 90-day investment horizon SentinelOne is expected to generate 0.18 times more return on investment than LogicMark. However, SentinelOne is 5.68 times less risky than LogicMark. It trades about 0.0 of its potential returns per unit of risk. LogicMark is currently generating about -0.32 per unit of risk. If you would invest  1,888  in SentinelOne on May 2, 2025 and sell it today you would lose (54.00) from holding SentinelOne or give up 2.86% of portfolio value over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	37.1%
Values	Daily Returns

SentinelOne  vs.  LogicMark

SentinelOne

Risk-Adjusted Performance

Very Weak

Over the last 90 days SentinelOne has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, SentinelOne is not utilizing all of its potentials. The newest stock price uproar, may contribute to short-horizon losses for the private investors.

LogicMark

Risk-Adjusted Performance

Very Weak

Over the last 90 days LogicMark has generated negative risk-adjusted returns adding no value to investors with long positions. Despite abnormal performance in the last few months, the Stock's primary indicators remain quite persistent which may send shares a bit higher in August 2025. The latest mess may also be a sign of long-standing up-swing for the company institutional investors.

Pair Trading with SentinelOne and LogicMark

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

The idea behind SentinelOne and LogicMark 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 Efficient Frontier module to plot and analyze your portfolio and positions against risk-return landscape of the market..