AMAT vs KLAC: Correlation
Applied Materials (AMAT) and KLA Corporation (KLAC) show a very strong relationship: their 3-year correlation of weekly returns is 0.88.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AMAT and KLAC?
Over the past 3 years, AMAT and KLAC moved with a correlation of 0.88, which is very strong, meaning they move nearly in lockstep. Little has changed lately, as the 1-year reading of 0.84 lands near the 3-year figure. Over 5 years the correlation is 0.89, and the annualized covariance of weekly returns is 1742.1 %².
KLAC is one of the assets that tracks AMAT most closely: it ranks #1 out of the 34 assets we track against AMAT. Correlation aside, the last 12 months split them widely, with AMAT ahead by 87.1 points (+195.0% versus +107.9%). The rolling one-year correlation stayed in a tight band between 0.80 and 0.94 over the past three years, which points to a structural rather than episodic relationship.
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.
AMAT vs KLAC: side by side
| AMAT (Applied Materials) | KLAC (KLA Corporation) | |
|---|---|---|
| 1-year return | +195.0% | +107.9% |
| 5-year return | +269.5% | +463.9% |
| Volatility (ann.) | 43.5% | 45.6% |
| Beta vs S&P 500 | 1.69 | 1.84 |
| Max drawdown (3Y) | -49.9% | -43.6% |
| Market cap | $382.8B | $240.1B |
| P/E (trailing) | 41.3 | 50.2 |
| Dividend yield | 0.41% | 0.44% |
| Sector / category | Information Technology | Information Technology |
Year-by-year returns
| Year | AMAT | KLAC |
|---|---|---|
| 2022 | -37.5% | -11.2% |
| 2023 | +68.0% | +56.0% |
| 2024 | +1.1% | +9.4% |
| 2025 | +59.6% | +94.5% |
| 2026 | +88.4% | +51.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are AMAT and KLAC good diversifiers for each other?
No: a correlation of 0.88 means AMAT and KLAC tend to fall together, which is precisely when diversification is supposed to help.
FAQ
What is the correlation between AMAT and KLAC?
As of 2026-08-27, the correlation of weekly returns between AMAT and KLAC is 0.88 over 3 years, 0.84 over 1 year and 0.89 over 5 years.
Is KLAC a good diversifier for AMAT?
No: a correlation of 0.88 means AMAT and KLAC tend to fall together, which is precisely when diversification is supposed to help.
What does a correlation of 0.88 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/amat-vs-klac.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/amat-vs-klac/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: AMAT correlations · KLAC correlations
