Correlation Between Mobiquity Technologies and Baosheng Media

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

By analyzing existing cross correlation between Mobiquity Technologies and Baosheng Media Group, you can compare the effects of market volatilities on Mobiquity Technologies and Baosheng Media 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 Mobiquity Technologies with a short position of Baosheng Media. Check out your portfolio center. Please also check ongoing floating volatility patterns of Mobiquity Technologies and Baosheng Media.

Diversification Opportunities for Mobiquity Technologies and Baosheng Media

0.41

Correlation Coefficient

Mobiquity Technologies  Baosheng Media

Very weak diversification

The 3 months correlation between Mobiquity and Baosheng is 0.41. Overlapping area represents the amount of risk that can be diversified away by holding Mobiquity Technologies and Baosheng Media Group in the same portfolio, assuming nothing else is changed. The correlation between historical prices or returns on Baosheng Media Group and Mobiquity Technologies 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 Mobiquity Technologies are associated (or correlated) with Baosheng Media. Values of the correlation coefficient range from -1 to +1, where. The correlation of zero (0) is possible when the price movement of Baosheng Media Group has no effect on the direction of Mobiquity Technologies i.e., Mobiquity Technologies and Baosheng Media go up and down completely randomly.

Pair Corralation between Mobiquity Technologies and Baosheng Media

If you would invest  8.17  in Mobiquity Technologies on September 12, 2024 and sell it today you would earn a total of  0.00  from holding Mobiquity Technologies or generate 0.0% return on investment over 90 days.

Time Period	3 Months [change]
Direction	Moves Together
Strength	Weak
Accuracy	1.56%
Values	Daily Returns

Mobiquity Technologies  vs.  Baosheng Media Group

Mobiquity Technologies

Risk-Adjusted Performance

0 of 100

Very Weak

Over the last 90 days Mobiquity Technologies has generated negative risk-adjusted returns adding no value to investors with long positions. Even with relatively invariable fundamental drivers, Mobiquity Technologies is not utilizing all of its potentials. The recent stock price agitation, may contribute to short-term losses for the retail investors.

Baosheng Media Group

Risk-Adjusted Performance

0 of 100

Very Weak

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

Pair Trading with Mobiquity Technologies and Baosheng Media

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

The idea behind Mobiquity Technologies and Baosheng Media Group 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.