Correlation Between Samsung Electronics and CD PROJEKT

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

By analyzing existing cross correlation between Samsung Electronics Co and CD PROJEKT SA, you can compare the effects of market volatilities on Samsung Electronics and CD PROJEKT 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 Samsung Electronics with a short position of CD PROJEKT. Check out your portfolio center. Please also check ongoing floating volatility patterns of Samsung Electronics and CD PROJEKT.

Diversification Opportunities for Samsung Electronics and CD PROJEKT

0.0

Correlation Coefficient

Samsung Electronics  CD PROJEKT

Pay attention - limited upside

The 3 months correlation between Samsung and 0LX1 is 0.0. Overlapping area represents the amount of risk that can be diversified away by holding Samsung Electronics Co and CD PROJEKT SA in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on CD PROJEKT SA and Samsung Electronics 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 Samsung Electronics Co are associated (or correlated) with CD PROJEKT. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of CD PROJEKT SA has no effect on the direction of Samsung Electronics i.e., Samsung Electronics and CD PROJEKT go up and down completely randomly.

Pair Corralation between Samsung Electronics and CD PROJEKT

If you would invest  79,873  in Samsung Electronics Co on April 20, 2025 and sell it today you would earn a total of  18,127  from holding Samsung Electronics Co or generate 22.69% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Flat
Strength	Insignificant
Accuracy	1.61%
Values	Daily Returns

Samsung Electronics Co  vs.  CD PROJEKT SA

Samsung Electronics

Risk-Adjusted Performance

Solid

Compared to the overall equity markets, risk-adjusted returns on investments in Samsung Electronics Co are ranked lower than 16 (%) of all global equities and portfolios over the last 90 days. Despite quite unsteady essential indicators, Samsung Electronics disclosed solid returns over the last few months and may actually be approaching a breakup point.

CD PROJEKT SA

Risk-Adjusted Performance

Very Weak

Over the last 90 days CD PROJEKT SA has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of comparatively stable basic indicators, CD PROJEKT is not utilizing all of its potentials. The current stock price uproar, may contribute to short-horizon losses for the private investors.

Pair Trading with Samsung Electronics and CD PROJEKT

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

The idea behind Samsung Electronics Co and CD PROJEKT SA 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 Earnings Calls module to check upcoming earnings announcements updated hourly across public exchanges.