AVAV vs NOC: Correlation
How closely do AeroVironment, Inc. (AVAV) and Northrop Grumman (NOC) trade together? Their weekly returns over three years give a correlation of 0.34, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AVAV and NOC?
On 3 years of weekly data the AVAV/NOC correlation comes out at 0.34, moderate. The past 12 months show a tighter link (0.51) than the 3-year average (0.34). The 5-year figure is 0.33, and annualized covariance runs at 671.7 %².
Among the 13 assets we track against AVAV, NOC sits near the bottom by co-movement, at rank #9. Correlation aside, the last 12 months split them widely, with NOC ahead by 32.9 points (-38.5% versus -5.6%). One caveat on sizing: AVAV is 2.7 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.
AVAV vs NOC: side by side
| AVAV (AeroVironment, Inc.) | NOC (Northrop Grumman) | |
|---|---|---|
| 1-year return | -38.5% | -5.6% |
| 5-year return | +48.2% | +60.1% |
| Volatility (ann.) | 73.1% | 26.7% |
| Beta vs S&P 500 | 1.82 | 0.24 |
| Max drawdown (3Y) | -66.6% | -35.1% |
| Market cap | $7.7B | $77.4B |
| P/E (trailing) | – | 17.5 |
| Dividend yield | 0.00% | 1.71% |
| Sector / category | US Listed | Industrials |
Year-by-year returns
| Year | AVAV | NOC |
|---|---|---|
| 2022 | +38.1% | +43.0% |
| 2023 | +47.1% | -12.8% |
| 2024 | +22.1% | +1.9% |
| 2025 | +57.2% | +23.6% |
| 2026 | -37.0% | -3.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are AVAV and NOC good diversifiers for each other?
Reasonably. At 0.34, AVAV and NOC keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between AVAV and NOC?
As of 2026-08-27, the correlation of weekly returns between AVAV and NOC is 0.34 over 3 years, 0.51 over 1 year and 0.33 over 5 years.
Is NOC a good diversifier for AVAV?
Reasonably. At 0.34, AVAV and NOC keep a meaningful degree of independence, and combining them has historically reduced portfolio 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/avav-vs-noc.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/avav-vs-noc/)
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Related comparisons
Hubs: AVAV correlations · NOC correlations
