Correlation Between Hana Microelectronics and Wattanapat Hospital

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

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

Diversification Opportunities for Hana Microelectronics and Wattanapat Hospital

0.13

Correlation Coefficient

Hana Microelectronics  Wattanapat Hospital

Average diversification

The 3 months correlation between Hana and Wattanapat is 0.13. Overlapping area represents the amount of risk that can be diversified away by holding Hana Microelectronics Public and Wattanapat Hospital Trang in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Wattanapat Hospital Trang and Hana Microelectronics 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 Hana Microelectronics Public are associated (or correlated) with Wattanapat Hospital. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Wattanapat Hospital Trang has no effect on the direction of Hana Microelectronics i.e., Hana Microelectronics and Wattanapat Hospital go up and down completely randomly.

Pair Corralation between Hana Microelectronics and Wattanapat Hospital

Assuming the 90 days trading horizon Hana Microelectronics Public is expected to generate 1.38 times more return on investment than Wattanapat Hospital. However, Hana Microelectronics is 1.38 times more volatile than Wattanapat Hospital Trang. It trades about 0.05 of its potential returns per unit of risk. Wattanapat Hospital Trang is currently generating about 0.03 per unit of risk. If you would invest  2,030  in Hana Microelectronics Public on April 25, 2025 and sell it today you would earn a total of  120.00  from holding Hana Microelectronics Public or generate 5.91% return on investment over 90 days.

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

Hana Microelectronics Public  vs.  Wattanapat Hospital Trang

Hana Microelectronics

Risk-Adjusted Performance

Insignificant

Compared to the overall equity markets, risk-adjusted returns on investments in Hana Microelectronics Public are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite quite conflicting forward-looking signals, Hana Microelectronics may actually be approaching a critical reversion point that can send shares even higher in August 2025.

Wattanapat Hospital Trang

Risk-Adjusted Performance

Weak

Compared to the overall equity markets, risk-adjusted returns on investments in Wattanapat Hospital Trang are ranked lower than 2 (%) of all global equities and portfolios over the last 90 days. Despite quite persistent technical indicators, Wattanapat Hospital is not utilizing all of its potentials. The current stock price mess, may contribute to short-term losses for the institutional investors.

Pair Trading with Hana Microelectronics and Wattanapat Hospital

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

The idea behind Hana Microelectronics Public and Wattanapat Hospital Trang 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 Technical Analysis module to check basic technical indicators and analysis based on most latest market data.