Correlation Between Sight Sciences and Icad

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

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

Diversification Opportunities for Sight Sciences and Icad

0.17

Correlation Coefficient

Sight Sciences  Icad

Average diversification

The 3 months correlation between Sight and Icad is 0.17. Overlapping area represents the amount of risk that can be diversified away by holding Sight Sciences and icad inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on icad inc and Sight Sciences 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 Sight Sciences are associated (or correlated) with Icad. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of icad inc has no effect on the direction of Sight Sciences i.e., Sight Sciences and Icad go up and down completely randomly.

Pair Corralation between Sight Sciences and Icad

Given the investment horizon of 90 days Sight Sciences is expected to generate 1.93 times more return on investment than Icad. However, Sight Sciences is 1.93 times more volatile than icad inc. It trades about 0.07 of its potential returns per unit of risk. icad inc is currently generating about 0.1 per unit of risk. If you would invest  293.00  in Sight Sciences on May 3, 2025 and sell it today you would earn a total of  40.00  from holding Sight Sciences or generate 13.65% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Insignificant
Accuracy	83.61%
Values	Daily Returns

Sight Sciences  vs.  icad inc

Sight Sciences

Risk-Adjusted Performance

Modest

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

icad inc

Risk-Adjusted Performance

OK

Over the last 90 days icad inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of rather uncertain basic indicators, Icad exhibited solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Sight Sciences and Icad

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

The idea behind Sight Sciences and icad inc 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 ETFs module to find actively traded Exchange Traded Funds (ETF) from around the world.