Correlation Between PTC and BitFuFu

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

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

Diversification Opportunities for PTC and BitFuFu

0.83

Correlation Coefficient

PTC  BitFuFu

Very poor diversification

The 3 months correlation between PTC and BitFuFu is 0.83. Overlapping area represents the amount of risk that can be diversified away by holding PTC Inc and BitFuFu Class A in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on BitFuFu Class A and PTC 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 PTC Inc are associated (or correlated) with BitFuFu. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of BitFuFu Class A has no effect on the direction of PTC i.e., PTC and BitFuFu go up and down completely randomly.

Pair Corralation between PTC and BitFuFu

Considering the 90-day investment horizon PTC Inc is expected to generate 0.34 times more return on investment than BitFuFu. However, PTC Inc is 2.93 times less risky than BitFuFu. It trades about -0.21 of its potential returns per unit of risk. BitFuFu Class A is currently generating about -0.08 per unit of risk. If you would invest  21,258  in PTC Inc on August 26, 2025 and sell it today you would lose (4,242) from holding PTC Inc or give up 19.95% of portfolio value over 90 days.

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

PTC Inc  vs.  BitFuFu Class A

PTC Inc

Risk-Adjusted Performance

Weakest

Over the last 90 days PTC Inc has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of weak performance in the last few months, the Stock's basic indicators remain rather sound which may send shares a bit higher in December 2025. The latest tumult may also be a sign of longer-term up-swing for the firm shareholders.

BitFuFu Class A

Risk-Adjusted Performance

Weakest

Over the last 90 days BitFuFu Class A has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of fragile performance in the last few months, the Stock's technical and fundamental indicators remain comparatively stable which may send shares a bit higher in December 2025. The newest uproar may also be a sign of mid-term up-swing for the firm private investors.

Pair Trading with PTC and BitFuFu

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

The idea behind PTC Inc and BitFuFu Class A 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 Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.