ADTN vs RMT: Correlation
ADTRAN Holdings, Inc. (ADTN) and Royce Micro-Cap Trust, Inc. (RMT) show a moderate relationship: their 3-year correlation of weekly returns is 0.59.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ADTN and RMT?
Over the past 3 years, ADTN and RMT moved with a correlation of 0.59, which is moderate. The past 12 months show a weaker link (0.45) than the 3-year average (0.59). Over 5 years the correlation is 0.51, and the annualized covariance of weekly returns is 687.0 %².
Few assets follow ADTN as closely as RMT, which ranks #1 of 12 tracked partners. Their recent paths diverged sharply: over the last 12 months RMT outperformed by 65.0 percentage points (-16.6% for ADTN against +48.4% for RMT). Note the risk asymmetry: ADTN runs 2.8 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
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.
ADTN vs RMT: side by side
| ADTN (ADTRAN Holdings, Inc.) | RMT (Royce Micro-Cap Trust, Inc.) | |
|---|---|---|
| 1-year return | -16.6% | +48.4% |
| 5-year return | -60.1% | +80.1% |
| Volatility (ann.) | 56.4% | 20.5% |
| Beta vs S&P 500 | 1.55 | 1.09 |
| Max drawdown (3Y) | -61.3% | -26.4% |
| Market cap | $0.6B | $0.8B |
| P/E (trailing) | – | 8.5 |
| Dividend yield | 0.00% | 5.57% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | ADTN | RMT |
|---|---|---|
| 2022 | -16.3% | -16.8% |
| 2023 | -59.9% | +15.8% |
| 2024 | +13.5% | +14.0% |
| 2025 | +4.3% | +16.1% |
| 2026 | -10.4% | +39.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ADTN and RMT good diversifiers for each other?
Somewhat, no more. With 0.59 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between ADTN and RMT?
The ADTN/RMT correlation stands at 0.59 on a 3-year window (1 year: 0.45, 5 years: 0.51), computed from weekly returns as of 2026-08-27.
Is RMT a good diversifier for ADTN?
Somewhat, no more. With 0.59 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.59 mean?
On the −1 to +1 scale, 0.59 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/adtn-vs-rmt.json
Markdown for the live badge, attribution link included:
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Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: ADTN correlations · RMT correlations
