Correlation Between Unity Software and Intapp

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

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

Diversification Opportunities for Unity Software and Intapp

-0.64

Correlation Coefficient

Unity Software  Intapp

Excellent diversification

The 3 months correlation between Unity and Intapp is -0.64. Overlapping area represents the amount of risk that can be diversified away by holding Unity Software and Intapp Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Intapp Inc and Unity Software 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 Unity Software are associated (or correlated) with Intapp. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Intapp Inc has no effect on the direction of Unity Software i.e., Unity Software and Intapp go up and down completely randomly.

Pair Corralation between Unity Software and Intapp

Taking into account the 90-day investment horizon Unity Software is expected to generate 1.78 times more return on investment than Intapp. However, Unity Software is 1.78 times more volatile than Intapp Inc. It trades about 0.25 of its potential returns per unit of risk. Intapp Inc is currently generating about -0.1 per unit of risk. If you would invest  2,017  in Unity Software on April 22, 2025 and sell it today you would earn a total of  1,658  from holding Unity Software or generate 82.2% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Weak
Accuracy	98.41%
Values	Daily Returns

Unity Software  vs.  Intapp Inc

Unity Software

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Unity Software are ranked lower than 19 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively unfluctuating basic indicators, Unity Software unveiled solid returns over the last few months and may actually be approaching a breakup point.

Intapp Inc

Risk-Adjusted Performance

Very Weak

Over the last 90 days Intapp Inc 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 basic indicators remain somewhat strong which may send shares a bit higher in August 2025. The current disturbance may also be a sign of long term up-swing for the company investors.

Pair Trading with Unity Software and Intapp

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

The idea behind Unity Software and Intapp 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 Price Transformation module to use Price Transformation models to analyze the depth of different equity instruments across global markets.