AMZN vs MSFT: Correlation
Measured on weekly returns over the past three years, Amazon (AMZN) and Microsoft (MSFT) carry a correlation of 0.63, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AMZN and MSFT?
Over the past 3 years, AMZN and MSFT moved with a correlation of 0.63, which is strong. The relationship has been stable: the 1-year correlation (0.61) sits close to the 3-year figure. Over 5 years the correlation is 0.64, and the annualized covariance of weekly returns is 536.2 %².
By 3-year correlation, MSFT places #16 of the 38 assets tracked against AMZN. The trailing year gives AMZN the advantage: +11.8% versus +0.5%, a 11.3-point spread. The rolling one-year correlation moved between 0.41 and 0.79 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.
AMZN vs MSFT: side by side
| AMZN (Amazon) | MSFT (Microsoft) | |
|---|---|---|
| 1-year return | +11.8% | +0.5% |
| 5-year return | +49.8% | +73.3% |
| Volatility (ann.) | 31.0% | 27.5% |
| Beta vs S&P 500 | 1.48 | 1.12 |
| Max drawdown (3Y) | -30.9% | -34.5% |
| Market cap | $2,764.1B | $3,750.3B |
| P/E (trailing) | 20.9 | 28.1 |
| Dividend yield | 0.00% | 0.73% |
| Sector / category | Consumer Discretionary | Information Technology |
Year-by-year returns
| Year | AMZN | MSFT |
|---|---|---|
| 2022 | -49.6% | -28.0% |
| 2023 | +80.9% | +58.2% |
| 2024 | +44.4% | +12.9% |
| 2025 | +5.2% | +15.6% |
| 2026 | +11.0% | +5.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are AMZN and MSFT 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 AMZN and MSFT?
Using weekly returns as of 2026-08-27: 0.63 over 3 years, with 0.61 over the last year and 0.64 over 5 years.
Is MSFT a good diversifier for AMZN?
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?
On the −1 to +1 scale, 0.63 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/amzn-vs-msft.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/amzn-vs-msft/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: AMZN correlations · MSFT correlations
