Correlation Between Logitech International and Super Micro

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

By analyzing existing cross correlation between Logitech International SA and Super Micro Computer, you can compare the effects of market volatilities on Logitech International and Super Micro 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 Logitech International with a short position of Super Micro. Check out your portfolio center. Please also check ongoing floating volatility patterns of Logitech International and Super Micro.

Diversification Opportunities for Logitech International and Super Micro

-0.23

Correlation Coefficient

Logitech International  Super Micro

Very good diversification

The 3 months correlation between Logitech and Super is -0.23. Overlapping area represents the amount of risk that can be diversified away by holding Logitech International SA and Super Micro Computer in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Super Micro Computer and Logitech International 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 Logitech International SA are associated (or correlated) with Super Micro. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Super Micro Computer has no effect on the direction of Logitech International i.e., Logitech International and Super Micro go up and down completely randomly.

Pair Corralation between Logitech International and Super Micro

Given the investment horizon of 90 days Logitech International is expected to generate 2.11 times less return on investment than Super Micro. But when comparing it to its historical volatility, Logitech International SA is 2.98 times less risky than Super Micro. It trades about 0.05 of its potential returns per unit of risk. Super Micro Computer is currently generating about 0.03 of returns per unit of risk over similar time horizon. If you would invest  5,476  in Super Micro Computer on July 23, 2025 and sell it today you would earn a total of  28.00  from holding Super Micro Computer or generate 0.51% return on investment over 90 days.

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

Logitech International SA  vs.  Super Micro Computer

Logitech International

Risk-Adjusted Performance

Fair

Compared to the overall equity markets, risk-adjusted returns on investments in Logitech International SA are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. Despite fairly uncertain technical and fundamental indicators, Logitech International demonstrated solid returns over the last few months and may actually be approaching a breakup point.

Super Micro Computer

Risk-Adjusted Performance

Soft

Compared to the overall equity markets, risk-adjusted returns on investments in Super Micro Computer are ranked lower than 3 (%) of all global equities and portfolios over the last 90 days. Despite fairly fragile fundamental indicators, Super Micro may actually be approaching a critical reversion point that can send shares even higher in November 2025.

Pair Trading with Logitech International and Super Micro

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

The idea behind Logitech International SA and Super Micro Computer 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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.