Correlation Between Sun Country and PAMT P

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

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

Diversification Opportunities for Sun Country and PAMT P

-0.02

Correlation Coefficient

Sun Country  PAMT P

Good diversification

The 3 months correlation between Sun and PAMT is -0.02. Overlapping area represents the amount of risk that can be diversified away by holding Sun Country Airlines and PAMT P in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on PAMT P and Sun Country 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 Sun Country Airlines are associated (or correlated) with PAMT P. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of PAMT P has no effect on the direction of Sun Country i.e., Sun Country and PAMT P go up and down completely randomly.

Pair Corralation between Sun Country and PAMT P

Given the investment horizon of 90 days Sun Country Airlines is expected to generate 0.99 times more return on investment than PAMT P. However, Sun Country Airlines is 1.01 times less risky than PAMT P. It trades about 0.05 of its potential returns per unit of risk. PAMT P is currently generating about -0.09 per unit of risk. If you would invest  1,283  in Sun Country Airlines on September 6, 2025 and sell it today you would earn a total of  93.00  from holding Sun Country Airlines or generate 7.25% return on investment over 90 days.

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

Sun Country Airlines  vs.  PAMT P

Sun Country Airlines

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Sun Country Airlines are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of fairly fragile fundamental indicators, Sun Country may actually be approaching a critical reversion point that can send shares even higher in January 2026.

PAMT P

Risk-Adjusted Performance

Weakest

Over the last 90 days PAMT P 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 primary indicators remain comparatively stable which may send shares a bit higher in January 2026. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Pair Trading with Sun Country and PAMT P

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

The idea behind Sun Country Airlines and PAMT P 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 Crypto Correlations module to use cryptocurrency correlation module to diversify your cryptocurrency portfolio across multiple coins.