Correlation Between E W and Criteo Sa

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

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

Diversification Opportunities for E W and Criteo Sa

-0.61

Correlation Coefficient

E W  Criteo Sa

Excellent diversification

The 3 months correlation between SSP and Criteo is -0.61. Overlapping area represents the amount of risk that can be diversified away by holding E W Scripps and Criteo Sa in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Criteo Sa and E W 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 E W Scripps are associated (or correlated) with Criteo Sa. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Criteo Sa has no effect on the direction of E W i.e., E W and Criteo Sa go up and down completely randomly.

Pair Corralation between E W and Criteo Sa

Considering the 90-day investment horizon E W Scripps is expected to generate 2.76 times more return on investment than Criteo Sa. However, E W is 2.76 times more volatile than Criteo Sa. It trades about 0.02 of its potential returns per unit of risk. Criteo Sa is currently generating about -0.17 per unit of risk. If you would invest  255.00  in E W Scripps on May 13, 2025 and sell it today you would lose (3.00) from holding E W Scripps or give up 1.18% of portfolio value over 90 days.

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

E W Scripps  vs.  Criteo Sa

E W Scripps

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in E W Scripps are ranked lower than 1 (%) of all global equities and portfolios over the last 90 days. Even with relatively inconsistent basic indicators, E W may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Criteo Sa

Risk-Adjusted Performance

Weakest

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

Pair Trading with E W and Criteo Sa

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

The idea behind E W Scripps and Criteo 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.

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 Analyst Advice module to analyst recommendations and target price estimates broken down by several categories.