Correlation Between Bango Plc and Mach7 Technologies

Can any of the company-specific risk be diversified away by investing in both Bango Plc and Mach7 Technologies 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 Bango Plc and Mach7 Technologies into the same portfolio, which is an essential part of the fundamental portfolio management process.

By analyzing existing cross correlation between Bango plc and Mach7 Technologies Limited, you can compare the effects of market volatilities on Bango Plc and Mach7 Technologies 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 Bango Plc with a short position of Mach7 Technologies. Check out your portfolio center. Please also check ongoing floating volatility patterns of Bango Plc and Mach7 Technologies.

Diversification Opportunities for Bango Plc and Mach7 Technologies

-0.19

Correlation Coefficient

Bango Plc  Mach7 Technologies

Good diversification

The 3 months correlation between Bango and Mach7 is -0.19. Overlapping area represents the amount of risk that can be diversified away by holding Bango plc and Mach7 Technologies Limited in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Mach7 Technologies and Bango Plc 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 Bango plc are associated (or correlated) with Mach7 Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Mach7 Technologies has no effect on the direction of Bango Plc i.e., Bango Plc and Mach7 Technologies go up and down completely randomly.

Pair Corralation between Bango Plc and Mach7 Technologies

Assuming the 90 days horizon Bango plc is expected to generate 0.93 times more return on investment than Mach7 Technologies. However, Bango plc is 1.07 times less risky than Mach7 Technologies. It trades about 0.13 of its potential returns per unit of risk. Mach7 Technologies Limited is currently generating about -0.12 per unit of risk. If you would invest  108.00  in Bango plc on September 12, 2025 and sell it today you would earn a total of  42.00  from holding Bango plc or generate 38.89% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Against
Strength	Insignificant
Accuracy	98.44%
Values	Daily Returns

Bango plc  vs.  Mach7 Technologies Limited

Bango plc

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Bango plc are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. Despite nearly fragile basic indicators, Bango Plc reported solid returns over the last few months and may actually be approaching a breakup point.

Mach7 Technologies

Risk-Adjusted Performance

Weakest

Over the last 90 days Mach7 Technologies Limited has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fragile performance in the last few months, the Stock's primary indicators remain nearly stable which may send shares a bit higher in January 2026. The current disturbance may also be a sign of long-run up-swing for the company stockholders.

Pair Trading with Bango Plc and Mach7 Technologies

The main advantage of trading using opposite Bango Plc and Mach7 Technologies positions is that it hedges away some unsystematic risk. Because of two separate transactions, even if Bango Plc position performs unexpectedly, Mach7 Technologies 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 Mach7 Technologies will offset losses from the drop in Mach7 Technologies' long position.

The idea behind Bango plc and Mach7 Technologies Limited 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.