Correlation Between Keysight Technologies, and ZoomInfo Technologies

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

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

Diversification Opportunities for Keysight Technologies, and ZoomInfo Technologies

0.92

Correlation Coefficient

Keysight Technologies,  ZoomInfo Technologies

Almost no diversification

The 3 months correlation between Keysight and ZoomInfo is 0.92. Overlapping area represents the amount of risk that can be diversified away by holding Keysight Technologies, and ZoomInfo Technologies in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on ZoomInfo Technologies and Keysight 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 Keysight Technologies, are associated (or correlated) with ZoomInfo Technologies. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of ZoomInfo Technologies has no effect on the direction of Keysight Technologies, i.e., Keysight Technologies, and ZoomInfo Technologies go up and down completely randomly.

Pair Corralation between Keysight Technologies, and ZoomInfo Technologies

Assuming the 90 days trading horizon Keysight Technologies, is expected to generate 22.2 times less return on investment than ZoomInfo Technologies. But when comparing it to its historical volatility, Keysight Technologies, is 17.34 times less risky than ZoomInfo Technologies. It trades about 0.12 of its potential returns per unit of risk. ZoomInfo Technologies is currently generating about 0.16 of returns per unit of risk over similar time horizon. If you would invest  607.00  in ZoomInfo Technologies on April 25, 2025 and sell it today you would earn a total of  155.00  from holding ZoomInfo Technologies or generate 25.54% return on investment over 90 days.

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

Keysight Technologies,  vs.  ZoomInfo Technologies

Keysight Technologies,

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Keysight Technologies, are ranked lower than 9 (%) of all global equities and portfolios over the last 90 days. Despite somewhat strong basic indicators, Keysight Technologies, is not utilizing all of its potentials. The current stock price disturbance, may contribute to short-term losses for the investors.

ZoomInfo Technologies

Risk-Adjusted Performance

Good

Compared to the overall equity markets, risk-adjusted returns on investments in ZoomInfo Technologies are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. Despite somewhat weak forward indicators, ZoomInfo Technologies sustained solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Keysight Technologies, and ZoomInfo Technologies

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

The idea behind Keysight Technologies, and ZoomInfo Technologies 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.

Check out your portfolio center.

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 Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..