AMAT vs QQQ: Correlation
Applied Materials (AMAT) and Invesco QQQ Trust (QQQ) show a strong relationship: their 3-year correlation of weekly returns is 0.63.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AMAT and QQQ?
Across a 3-year window, the weekly returns of AMAT and QQQ correlate at 0.63, strong. The link has loosened recently: the 1-year correlation (0.48) runs below the 3-year figure (0.63). Stretching to 5 years gives 0.70, with an annualized covariance of 539.7 %².
Within AMAT's tracked universe of 34 assets, QQQ comes in at #18 by 3-year correlation. The last year tells two different stories: AMAT led by 168.7 percentage points, +195.0% for AMAT against +26.3% for QQQ. Across three years, the rolling one-year figure varied moderately, from 0.41 to 0.81. One caveat on sizing: AMAT is 2.2 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.
AMAT vs QQQ: side by side
| AMAT (Applied Materials) | QQQ (Invesco QQQ Trust) | |
|---|---|---|
| 1-year return | +195.0% | +26.3% |
| 5-year return | +269.5% | +95.4% |
| Volatility (ann.) | 43.5% | 19.6% |
| Beta vs S&P 500 | 1.69 | 1.28 |
| Max drawdown (3Y) | -49.9% | -22.8% |
| Market cap | $382.8B | – |
| P/E (trailing) | 41.3 | – |
| Dividend yield | 0.41% | 0.44% |
| Expense ratio | – | 0.18% |
| Assets under management | – | $452.8B |
| Sector / category | Information Technology | ETF · US Growth & Tech |
QQQ is a Large Growth fund from Invesco: $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Year-by-year returns
| Year | AMAT | QQQ |
|---|---|---|
| 2022 | -37.5% | -32.6% |
| 2023 | +68.0% | +54.9% |
| 2024 | +1.1% | +25.6% |
| 2025 | +59.6% | +20.8% |
| 2026 | +88.4% | +17.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that QQQ holds AMAT at a 1.69% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are AMAT and QQQ good diversifiers for each other?
Somewhat, no more. With 0.63 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between AMAT and QQQ?
Using weekly returns as of 2026-08-27: 0.63 over 3 years, with 0.48 over the last year and 0.70 over 5 years.
Is QQQ a good diversifier for AMAT?
Somewhat, no more. With 0.63 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.63 mean?
A reading of 0.63 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/amat-vs-qqq.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/amat-vs-qqq/)
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Related comparisons
Hubs: AMAT correlations · QQQ correlations
