Correlation Between Cint Group and SenzaGen

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

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

Diversification Opportunities for Cint Group and SenzaGen

0.52

Correlation Coefficient

Cint Group  SenzaGen

Very weak diversification

The 3 months correlation between Cint and SenzaGen is 0.52. Overlapping area represents the amount of risk that can be diversified away by holding Cint Group AB and SenzaGen AB in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SenzaGen AB and Cint Group 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 Cint Group AB are associated (or correlated) with SenzaGen. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SenzaGen AB has no effect on the direction of Cint Group i.e., Cint Group and SenzaGen go up and down completely randomly.

Pair Corralation between Cint Group and SenzaGen

Assuming the 90 days trading horizon Cint Group is expected to generate 1.79 times less return on investment than SenzaGen. But when comparing it to its historical volatility, Cint Group AB is 1.39 times less risky than SenzaGen. It trades about 0.04 of its potential returns per unit of risk. SenzaGen AB is currently generating about 0.05 of returns per unit of risk over similar time horizon. If you would invest  496.00  in SenzaGen AB on April 23, 2025 and sell it today you would earn a total of  44.00  from holding SenzaGen AB or generate 8.87% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	98.36%
Values	Daily Returns

Cint Group AB  vs.  SenzaGen AB

Cint Group AB

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Cint Group AB are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak basic indicators, Cint Group may actually be approaching a critical reversion point that can send shares even higher in August 2025.

SenzaGen AB

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in SenzaGen AB are ranked lower than 4 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak basic indicators, SenzaGen unveiled solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Cint Group and SenzaGen

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

The idea behind Cint Group AB and SenzaGen AB 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.