Correlation Between Dynavax Technologies and Crispr Therapeutics

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

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

Diversification Opportunities for Dynavax Technologies and Crispr Therapeutics

-0.38

Correlation Coefficient

Dynavax Technologies  Crispr Therapeutics

Very good diversification

The 3 months correlation between Dynavax and Crispr is -0.38. Overlapping area represents the amount of risk that can be diversified away by holding Dynavax Technologies and Crispr Therapeutics AG in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Crispr Therapeutics and Dynavax Technologies 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 Dynavax Technologies are associated (or correlated) with Crispr Therapeutics. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Crispr Therapeutics has no effect on the direction of Dynavax Technologies i.e., Dynavax Technologies and Crispr Therapeutics go up and down completely randomly.

Pair Corralation between Dynavax Technologies and Crispr Therapeutics

Given the investment horizon of 90 days Dynavax Technologies is expected to generate 0.51 times more return on investment than Crispr Therapeutics. However, Dynavax Technologies is 1.97 times less risky than Crispr Therapeutics. It trades about 0.08 of its potential returns per unit of risk. Crispr Therapeutics AG is currently generating about -0.01 per unit of risk. If you would invest  1,044  in Dynavax Technologies on August 26, 2025 and sell it today you would earn a total of  100.00  from holding Dynavax Technologies or generate 9.58% return on investment over 90 days.

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

Dynavax Technologies  vs.  Crispr Therapeutics AG

Dynavax Technologies

Risk-Adjusted Performance

Mild

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

Crispr Therapeutics

Risk-Adjusted Performance

Weakest

Over the last 90 days Crispr Therapeutics AG has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable basic indicators, Crispr Therapeutics is not utilizing all of its potentials. The current stock price agitation, may contribute to short-term losses for the retail investors.

Pair Trading with Dynavax Technologies and Crispr Therapeutics

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

The idea behind Dynavax Technologies and Crispr Therapeutics AG 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 Competition Analyzer module to analyze and compare many basic indicators for a group of related or unrelated entities.