AMAT vs TER: Correlation
How closely do Applied Materials (AMAT) and Teradyne (TER) trade together? Their weekly returns over three years give a correlation of 0.61, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AMAT and TER?
On 3 years of weekly data the AMAT/TER correlation comes out at 0.61, strong. Little has changed lately, as the 1-year reading of 0.57 lands near the 3-year figure. The 5-year figure is 0.66, and annualized covariance runs at 1386.3 %².
By 3-year correlation, TER places #20 of the 34 assets tracked against AMAT. Correlation aside, the last 12 months split them widely, with TER ahead by 23.8 points (+195.0% versus +218.8%). The rolling one-year correlation moved between 0.49 and 0.82 over the past three years, a moderate range.
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 TER: side by side
| AMAT (Applied Materials) | TER (Teradyne) | |
|---|---|---|
| 1-year return | +195.0% | +218.8% |
| 5-year return | +269.5% | +207.9% |
| Volatility (ann.) | 43.5% | 52.5% |
| Beta vs S&P 500 | 1.69 | 1.70 |
| Max drawdown (3Y) | -49.9% | -58.2% |
| Market cap | $382.8B | $58.2B |
| P/E (trailing) | 41.3 | 50.0 |
| Dividend yield | 0.41% | 0.14% |
| Sector / category | Information Technology | Information Technology |
Year-by-year returns
| Year | AMAT | TER |
|---|---|---|
| 2022 | -37.5% | -46.3% |
| 2023 | +68.0% | +24.8% |
| 2024 | +1.1% | +16.5% |
| 2025 | +59.6% | +54.4% |
| 2026 | +88.4% | +92.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are AMAT and TER good diversifiers for each other?
Somewhat, no more. With 0.61 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between AMAT and TER?
Using weekly returns as of 2026-08-27: 0.61 over 3 years, with 0.57 over the last year and 0.66 over 5 years.
Is TER a good diversifier for AMAT?
Somewhat, no more. With 0.61 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.61 mean?
On the −1 to +1 scale, 0.61 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/amat-vs-ter.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/amat-vs-ter/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: AMAT correlations · TER correlations
