Correlation Between Universal Electronics and Taskus

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

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

Diversification Opportunities for Universal Electronics and Taskus

-0.75

Correlation Coefficient

Universal Electronics  Taskus

Pay attention - limited upside

The 3 months correlation between Universal and Taskus is -0.75. Overlapping area represents the amount of risk that can be diversified away by holding Universal Electronics and Taskus Inc in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Taskus Inc and Universal Electronics 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 Universal Electronics are associated (or correlated) with Taskus. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Taskus Inc has no effect on the direction of Universal Electronics i.e., Universal Electronics and Taskus go up and down completely randomly.

Pair Corralation between Universal Electronics and Taskus

Given the investment horizon of 90 days Universal Electronics is expected to under-perform the Taskus. In addition to that, Universal Electronics is 8.33 times more volatile than Taskus Inc. It trades about -0.14 of its total potential returns per unit of risk. Taskus Inc is currently generating about 0.11 per unit of volatility. If you would invest  1,679  in Taskus Inc on May 21, 2025 and sell it today you would earn a total of  53.00  from holding Taskus Inc or generate 3.16% return on investment over 90 days.

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

Universal Electronics  vs.  Taskus Inc

Universal Electronics

Risk-Adjusted Performance

Weakest

Over the last 90 days Universal Electronics has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of conflicting performance in the last few months, the Stock's forward indicators remain rather sound which may send shares a bit higher in September 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

Taskus Inc

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Taskus Inc are ranked lower than 8 (%) of all global equities and portfolios over the last 90 days. Despite quite persistent basic indicators, Taskus is not utilizing all of its potentials. The latest stock price mess, may contribute to short-term losses for the institutional investors.

Pair Trading with Universal Electronics and Taskus

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

The idea behind Universal Electronics and Taskus 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 Headlines Timeline module to stay connected to all market stories and filter out noise. Drill down to analyze hype elasticity.