Correlation Between UTStarcom Holdings and SAGTEC GLOBAL

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

By analyzing existing cross correlation between UTStarcom Holdings Corp and SAGTEC GLOBAL LIMITED, you can compare the effects of market volatilities on UTStarcom Holdings and SAGTEC GLOBAL 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 UTStarcom Holdings with a short position of SAGTEC GLOBAL. Check out your portfolio center. Please also check ongoing floating volatility patterns of UTStarcom Holdings and SAGTEC GLOBAL.

Diversification Opportunities for UTStarcom Holdings and SAGTEC GLOBAL

-0.46

Correlation Coefficient

UTStarcom Holdings  SAGTEC GLOBAL

Very good diversification

The 3 months correlation between UTStarcom and SAGTEC is -0.46. Overlapping area represents the amount of risk that can be diversified away by holding UTStarcom Holdings Corp and SAGTEC GLOBAL LIMITED in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on SAGTEC GLOBAL LIMITED and UTStarcom Holdings 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 UTStarcom Holdings Corp are associated (or correlated) with SAGTEC GLOBAL. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of SAGTEC GLOBAL LIMITED has no effect on the direction of UTStarcom Holdings i.e., UTStarcom Holdings and SAGTEC GLOBAL go up and down completely randomly.

Pair Corralation between UTStarcom Holdings and SAGTEC GLOBAL

Given the investment horizon of 90 days UTStarcom Holdings Corp is expected to generate 0.76 times more return on investment than SAGTEC GLOBAL. However, UTStarcom Holdings Corp is 1.32 times less risky than SAGTEC GLOBAL. It trades about 0.01 of its potential returns per unit of risk. SAGTEC GLOBAL LIMITED is currently generating about -0.02 per unit of risk. If you would invest  255.00  in UTStarcom Holdings Corp on July 28, 2025 and sell it today you would lose (5.00) from holding UTStarcom Holdings Corp or give up 1.96% of portfolio value over 90 days.

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

UTStarcom Holdings Corp  vs.  SAGTEC GLOBAL LIMITED

UTStarcom Holdings Corp

Risk-Adjusted Performance

Weakest

Over the last 90 days UTStarcom Holdings Corp has generated negative risk-adjusted returns adding no value to investors with long positions. Despite fairly strong basic indicators, UTStarcom Holdings is not utilizing all of its potentials. The recent stock price confusion, may contribute to short-horizon losses for the traders.

SAGTEC GLOBAL LIMITED

Risk-Adjusted Performance

Weakest

Over the last 90 days SAGTEC GLOBAL LIMITED has generated negative risk-adjusted returns adding no value to investors with long positions. In spite of latest unfluctuating performance, the Stock's technical and fundamental indicators remain stable and the newest uproar on Wall Street may also be a sign of mid-term gains for the firm private investors.

Pair Trading with UTStarcom Holdings and SAGTEC GLOBAL

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

The idea behind UTStarcom Holdings Corp and SAGTEC GLOBAL LIMITED 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 Portfolio Rebalancing module to analyze risk-adjusted returns against different time horizons to find asset-allocation targets.