Correlation Between U Haul and U Haul

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

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

Diversification Opportunities for U Haul and U Haul

0.93

Correlation Coefficient

U Haul  U Haul

Almost no diversification

The 3 months correlation between UHAL and UHAL-B is 0.93. Overlapping area represents the amount of risk that can be diversified away by holding U Haul Holding and U Haul Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on U Haul Holding and U Haul 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 U Haul Holding are associated (or correlated) with U Haul. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of U Haul Holding has no effect on the direction of U Haul i.e., U Haul and U Haul go up and down completely randomly.

Pair Corralation between U Haul and U Haul

Given the investment horizon of 90 days U Haul Holding is expected to generate 0.94 times more return on investment than U Haul. However, U Haul Holding is 1.06 times less risky than U Haul. It trades about -0.11 of its potential returns per unit of risk. U Haul Holding is currently generating about -0.1 per unit of risk. If you would invest  6,366  in U Haul Holding on May 3, 2025 and sell it today you would lose (655.00) from holding U Haul Holding or give up 10.29% of portfolio value over 90 days.

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

U Haul Holding  vs.  U Haul Holding

U Haul Holding

Risk-Adjusted Performance

Very Weak

Over the last 90 days U Haul Holding has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest weak performance, the Stock's basic indicators remain persistent and the latest mess on Wall Street may also be a sign of long-standing gains for the company institutional investors.

U Haul Holding

Risk-Adjusted Performance

Very Weak

Over the last 90 days U Haul Holding has generated negative risk-adjusted returns adding no value to investors with long positions. Despite latest unfluctuating performance, the Stock's basic indicators remain strong and the current disturbance on Wall Street may also be a sign of long term gains for the company investors.

Pair Trading with U Haul and U Haul

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

The idea behind U Haul Holding and U Haul Holding 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 Performance Analysis module to check effects of mean-variance optimization against your current asset allocation.