Correlation Between Shape Robotics and Per Aarsleff

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

By analyzing existing cross correlation between Shape Robotics AS and Per Aarsleff Holding, you can compare the effects of market volatilities on Shape Robotics and Per Aarsleff 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 Shape Robotics with a short position of Per Aarsleff. Check out your portfolio center. Please also check ongoing floating volatility patterns of Shape Robotics and Per Aarsleff.

Diversification Opportunities for Shape Robotics and Per Aarsleff

0.5

Correlation Coefficient

Shape Robotics  Per Aarsleff

Very weak diversification

The 3 months correlation between Shape and Per is 0.5. Overlapping area represents the amount of risk that can be diversified away by holding Shape Robotics AS and Per Aarsleff Holding in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Per Aarsleff Holding and Shape Robotics 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 Shape Robotics AS are associated (or correlated) with Per Aarsleff. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Per Aarsleff Holding has no effect on the direction of Shape Robotics i.e., Shape Robotics and Per Aarsleff go up and down completely randomly.

Pair Corralation between Shape Robotics and Per Aarsleff

Assuming the 90 days trading horizon Shape Robotics AS is expected to generate 6.03 times more return on investment than Per Aarsleff. However, Shape Robotics is 6.03 times more volatile than Per Aarsleff Holding. It trades about 0.13 of its potential returns per unit of risk. Per Aarsleff Holding is currently generating about 0.41 per unit of risk. If you would invest  936.00  in Shape Robotics AS on April 25, 2025 and sell it today you would earn a total of  544.00  from holding Shape Robotics AS or generate 58.12% return on investment over 90 days.

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

Shape Robotics AS  vs.  Per Aarsleff Holding

Shape Robotics AS

Risk-Adjusted Performance

OK

Compared to the overall equity markets, risk-adjusted returns on investments in Shape Robotics AS are ranked lower than 10 (%) of all global equities and portfolios over the last 90 days. In spite of rather weak fundamental indicators, Shape Robotics exhibited solid returns over the last few months and may actually be approaching a breakup point.

Per Aarsleff Holding

Risk-Adjusted Performance

Very Strong

Compared to the overall equity markets, risk-adjusted returns on investments in Per Aarsleff Holding are ranked lower than 31 (%) of all global equities and portfolios over the last 90 days. Despite somewhat unfluctuating basic indicators, Per Aarsleff sustained solid returns over the last few months and may actually be approaching a breakup point.

Pair Trading with Shape Robotics and Per Aarsleff

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

The idea behind Shape Robotics AS and Per Aarsleff Holding 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 Pair Correlation module to compare performance and examine fundamental relationship between any two equity instruments.