Correlation Between Xometry and Maximus

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

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

Diversification Opportunities for Xometry and Maximus

0.46

Correlation Coefficient

Xometry  Maximus

Very weak diversification

The 3 months correlation between Xometry and Maximus is 0.46. Overlapping area represents the amount of risk that can be diversified away by holding Xometry and Maximus in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Maximus and Xometry 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 Xometry are associated (or correlated) with Maximus. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Maximus has no effect on the direction of Xometry i.e., Xometry and Maximus go up and down completely randomly.

Pair Corralation between Xometry and Maximus

Given the investment horizon of 90 days Xometry is expected to generate 2.93 times more return on investment than Maximus. However, Xometry is 2.93 times more volatile than Maximus. It trades about 0.05 of its potential returns per unit of risk. Maximus is currently generating about 0.0 per unit of risk. If you would invest  1,691  in Xometry on May 4, 2025 and sell it today you would earn a total of  1,416  from holding Xometry or generate 83.74% return on investment over 90 days.

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

Xometry  vs.  Maximus

Xometry

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Xometry are ranked lower than 5 (%) of all global equities and portfolios over the last 90 days. Even with relatively uncertain basic indicators, Xometry reported solid returns over the last few months and may actually be approaching a breakup point.

Maximus

Risk-Adjusted Performance

Modest

Compared to the overall equity markets, risk-adjusted returns on investments in Maximus are ranked lower than 6 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively uncertain primary indicators, Maximus may actually be approaching a critical reversion point that can send shares even higher in September 2025.

Pair Trading with Xometry and Maximus

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

The idea behind Xometry and Maximus 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 Idea Analyzer module to analyze all characteristics, volatility and risk-adjusted return of Macroaxis ideas.