This module allows you to analyze existing cross correlation between Best Buy Co and Chevron Corporation. You can compare the effects of market volatilities on Best Buy and Chevron 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 Best Buy with a short position of Chevron. See also your portfolio center. Please also check ongoing floating volatility patterns of Best Buy and Chevron.
|Horizon||30 Days Login to change|
Over the last 30 days Best Buy Co has generated negative risk-adjusted returns adding no value to investors with long positions. Inspite inconsistent performance in the last few months, the Stock's basic indicators remain fairly strong which may send shares a bit higher in July 2019. The current disturbance may also be a sign of long term up-swing for the company investors.
Compared to the overall equity markets, risk-adjusted returns on investments in Chevron Corporation are ranked lower than 1 (%) of all global equities and portfolios over the last 30 days. Inspite fairly strong basic indicators, Chevron is not utilizing all of its potentials. The ongoing stock price disturbance, may contribute to short term losses for the investors.
Best Buy and Chevron Volatility Contrast
Predicted Return Density
Best Buy Co Inc vs. Chevron Corp.
Considering 30-days investment horizon, Best Buy Co is expected to under-perform the Chevron. In addition to that, Best Buy is 1.43 times more volatile than Chevron Corporation. It trades about -0.14 of its total potential returns per unit of risk. Chevron Corporation is currently generating about 0.02 per unit of volatility. If you would invest 12,027 in Chevron Corporation on May 17, 2019 and sell it today you would earn a total of 54.00 from holding Chevron Corporation or generate 0.45% return on investment over 30 days.
Pair Corralation between Best Buy and Chevron
|Time Period||2 Months [change]|
Diversification Opportunities for Best Buy and Chevron
Overlapping area represents the amount of risk that can be diversified away by holding Best Buy Co Inc and Chevron Corp. in the same portfolio assuming nothing else is changed. The correlation between historical prices or returns on Chevron and Best Buy 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 Best Buy Co are associated (or correlated) with Chevron. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Chevron has no effect on the direction of Best Buy i.e. Best Buy and Chevron go up and down completely randomly.
See also your portfolio center. Please also try Equity Valuation module to check real value of public entities based on technical and fundamental data.