AFRM vs LMND: Correlation
Measured on weekly returns over the past three years, Affirm Holdings, Inc. (AFRM) and Lemonade, Inc. (LMND) carry a correlation of 0.49, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AFRM and LMND?
Across a 3-year window, the weekly returns of AFRM and LMND correlate at 0.49, moderate. Little has changed lately, as the 1-year reading of 0.53 lands near the 3-year figure. Stretching to 5 years gives 0.56, with an annualized covariance of 3117.2 %².
Within AFRM's tracked universe of 17 assets, LMND comes in at #9 by 3-year correlation. Their 12-month results are close: -0.1% for AFRM against -0.1% for LMND.
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.
AFRM vs LMND: side by side
| AFRM (Affirm Holdings, Inc.) | LMND (Lemonade, Inc.) | |
|---|---|---|
| 1-year return | -0.1% | -0.1% |
| 5-year return | -22.2% | -28.5% |
| Volatility (ann.) | 75.0% | 84.2% |
| Beta vs S&P 500 | 2.77 | 2.01 |
| Max drawdown (3Y) | -55.9% | -51.5% |
| Market cap | $26.0B | $4.2B |
| P/E (trailing) | 69.2 | – |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | AFRM | LMND |
|---|---|---|
| 2022 | -90.4% | -67.5% |
| 2023 | +408.2% | +17.9% |
| 2024 | +23.9% | +127.4% |
| 2025 | +22.2% | +94.1% |
| 2026 | +4.1% | -24.2% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are AFRM and LMND good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.49 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between AFRM and LMND?
Using weekly returns as of 2026-08-27: 0.49 over 3 years, with 0.53 over the last year and 0.56 over 5 years.
Is LMND a good diversifier for AFRM?
Yes, to a useful degree: a correlation of 0.49 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.49 mean?
A reading of 0.49 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/afrm-vs-lmnd.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/afrm-vs-lmnd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: AFRM correlations · LMND correlations
