Correlation Between Silgan Holdings and Univest Pennsylvania

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

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

Diversification Opportunities for Silgan Holdings and Univest Pennsylvania

0.16

Correlation Coefficient

Silgan Holdings  Univest Pennsylvania

Average diversification

The 3 months correlation between Silgan and Univest is 0.16. Overlapping area represents the amount of risk that can be diversified away by holding Silgan Holdings and Univest Pennsylvania in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Univest Pennsylvania and Silgan Holdings 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 Silgan Holdings are associated (or correlated) with Univest Pennsylvania. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Univest Pennsylvania has no effect on the direction of Silgan Holdings i.e., Silgan Holdings and Univest Pennsylvania go up and down completely randomly.

Pair Corralation between Silgan Holdings and Univest Pennsylvania

Given the investment horizon of 90 days Silgan Holdings is expected to under-perform the Univest Pennsylvania. In addition to that, Silgan Holdings is 1.26 times more volatile than Univest Pennsylvania. It trades about -0.15 of its total potential returns per unit of risk. Univest Pennsylvania is currently generating about -0.02 per unit of volatility. If you would invest  3,126  in Univest Pennsylvania on July 16, 2025 and sell it today you would lose (117.00) from holding Univest Pennsylvania or give up 3.74% of portfolio value over 90 days.

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

Silgan Holdings  vs.  Univest Pennsylvania

Silgan Holdings

Risk-Adjusted Performance

Weakest

Over the last 90 days Silgan Holdings has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fragile performance in the last few months, the Stock's technical and fundamental indicators remain very healthy which may send shares a bit higher in November 2025. The recent disarray may also be a sign of long period up-swing for the firm investors.

Univest Pennsylvania

Risk-Adjusted Performance

Weakest

Over the last 90 days Univest Pennsylvania has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, Univest Pennsylvania is not utilizing all of its potentials. The latest stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Silgan Holdings and Univest Pennsylvania

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

The idea behind Silgan Holdings and Univest Pennsylvania 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 Idea Optimizer module to use advanced portfolio builder with pre-computed micro ideas to build optimal portfolio .