ALGN vs XLV: Correlation
Align Technology (ALGN) and Health Care Select Sector SPDR Fund (XLV) show a moderate relationship: their 3-year correlation of weekly returns is 0.34.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ALGN and XLV?
On 3 years of weekly data the ALGN/XLV correlation comes out at 0.34, moderate. Lately the two have drifted apart, with the 1-year correlation at 0.15 versus 0.34 over 3 years. The 5-year figure is 0.38, and annualized covariance runs at 222.5 %².
Within ALGN's tracked universe of 37 assets, XLV comes in at #26 by 3-year correlation. The last year tells two different stories: XLV led by 15.6 percentage points, +11.9% for ALGN against +27.5% for XLV. On a rolling one-year basis the correlation drifted between 0.13 and 0.50, a moderate band. Note the risk asymmetry: ALGN runs 3.0 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.
ALGN vs XLV: side by side
| ALGN (Align Technology) | XLV (Health Care Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +11.9% | +27.5% |
| 5-year return | -77.4% | +37.4% |
| Volatility (ann.) | 44.3% | 14.7% |
| Beta vs S&P 500 | 1.51 | 0.42 |
| Max drawdown (3Y) | -66.7% | -17.1% |
| Market cap | $11.3B | – |
| P/E (trailing) | 27.6 | – |
| Dividend yield | 0.00% | 1.56% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $41.7B |
| Sector / category | Health Care | Sector ETF |
On the fund side, XLV sits in the Health category at State Street Investment Management, with $41.7B under management, 61 holdings, a 0.08% expense ratio, a 1.56% trailing dividend yield.
Year-by-year returns
| Year | ALGN | XLV |
|---|---|---|
| 2022 | -67.9% | -2.1% |
| 2023 | +29.9% | +2.1% |
| 2024 | -23.9% | +2.5% |
| 2025 | -25.1% | +14.5% |
| 2026 | +1.7% | +11.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
A structural note: 0.17% of XLV is ALGN itself, so the fund partly moves with the stock by construction.
Are ALGN and XLV good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.34 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between ALGN and XLV?
The ALGN/XLV correlation stands at 0.34 on a 3-year window (1 year: 0.15, 5 years: 0.38), computed from weekly returns as of 2026-08-27.
Is XLV a good diversifier for ALGN?
Yes, to a useful degree: a correlation of 0.34 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.34 mean?
On the −1 to +1 scale, 0.34 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/algn-vs-xlv.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/algn-vs-xlv/)
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Related comparisons
Hubs: ALGN correlations · XLV correlations
