ADI vs TER: Correlation
Measured on weekly returns over the past three years, Analog Devices (ADI) and Teradyne (TER) carry a correlation of 0.61, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ADI and TER?
Across a 3-year window, the weekly returns of ADI and TER correlate at 0.61, strong. Lately the two have drifted apart, with the 1-year correlation at 0.48 versus 0.61 over 3 years. Stretching to 5 years gives 0.62, with an annualized covariance of 1044.1 %².
By 3-year correlation, TER places #27 of the 51 assets tracked against ADI. The last year tells two different stories: TER led by 170.2 percentage points, +48.6% for ADI against +218.8% for TER. The rolling one-year correlation moved between 0.44 and 0.82 over the past three years, a moderate range. One caveat on sizing: TER is 1.6 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
How is this computed?
Pearson correlation on weekly returns: ρ(A,B) = cov(rA, rB) / (σA · σB), over windows of 52, 156 and 260 weeks. Covariance is annualized (×52) and expressed in %². Full definitions on the methodology page.
ADI vs TER: side by side
| ADI (Analog Devices) | TER (Teradyne) | |
|---|---|---|
| 1-year return | +48.6% | +218.8% |
| 5-year return | +143.1% | +207.9% |
| Volatility (ann.) | 32.6% | 52.5% |
| Beta vs S&P 500 | 1.56 | 1.70 |
| Max drawdown (3Y) | -32.2% | -58.2% |
| Market cap | $181.5B | $58.2B |
| P/E (trailing) | 44.6 | 50.0 |
| Dividend yield | 1.15% | 0.14% |
| Sector / category | Information Technology | Information Technology |
Year-by-year returns
| Year | ADI | TER |
|---|---|---|
| 2022 | -4.9% | -46.3% |
| 2023 | +23.4% | +24.8% |
| 2024 | +8.8% | +16.5% |
| 2025 | +29.8% | +54.4% |
| 2026 | +38.9% | +92.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ADI and TER good diversifiers for each other?
Only partially. A correlation of 0.61 means ADI and TER share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between ADI and TER?
Using weekly returns as of 2026-08-27: 0.61 over 3 years, with 0.48 over the last year and 0.62 over 5 years.
Is TER a good diversifier for ADI?
Only partially. A correlation of 0.61 means ADI and TER share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.61 mean?
On the −1 to +1 scale, 0.61 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/adi-vs-ter.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/adi-vs-ter/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: ADI correlations · TER correlations
