ALGM vs SOXX: Correlation
Allegro MicroSystems, Inc. (ALGM) and iShares Semiconductor ETF (SOXX) show a strong relationship: their 3-year correlation of weekly returns is 0.69.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ALGM and SOXX?
Across a 3-year window, the weekly returns of ALGM and SOXX correlate at 0.69, strong. Recent behaviour matches the longer record: 0.72 over 1 year against 0.69 over 3. Stretching to 5 years gives 0.69, with an annualized covariance of 1369.6 %².
Few assets follow ALGM as closely as SOXX, which ranks #1 of 11 tracked partners. The last year tells two different stories: SOXX led by 90.5 percentage points, +19.5% for ALGM against +110.0% for SOXX. One caveat on sizing: ALGM 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.
ALGM vs SOXX: side by side
| ALGM (Allegro MicroSystems, Inc.) | SOXX (iShares Semiconductor ETF) | |
|---|---|---|
| 1-year return | +19.5% | +110.0% |
| 5-year return | +23.1% | +247.5% |
| Volatility (ann.) | 56.9% | 35.2% |
| Beta vs S&P 500 | 1.83 | 1.93 |
| Max drawdown (3Y) | -57.2% | -41.4% |
| Market cap | $7.0B | – |
| P/E (trailing) | 537.0 | – |
| Dividend yield | 0.00% | 0.29% |
| Expense ratio | – | 0.33% |
| Assets under management | – | $44.7B |
| Sector / category | US Listed | ETF · Thematic |
On the fund side, SOXX sits in the Technology category at iShares, with $44.7B under management, 30 holdings, a 0.33% expense ratio, a 0.29% trailing dividend yield.
Year-by-year returns
| Year | ALGM | SOXX |
|---|---|---|
| 2022 | -17.0% | -35.1% |
| 2023 | +0.8% | +67.1% |
| 2024 | -27.8% | +12.9% |
| 2025 | +20.7% | +40.7% |
| 2026 | +42.5% | +74.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ALGM and SOXX good diversifiers for each other?
Somewhat, no more. With 0.69 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between ALGM and SOXX?
Using weekly returns as of 2026-08-27: 0.69 over 3 years, with 0.72 over the last year and 0.69 over 5 years.
Is SOXX a good diversifier for ALGM?
Somewhat, no more. With 0.69 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.69 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/algm-vs-soxx.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/algm-vs-soxx/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ALGM correlations · SOXX correlations
