AZO vs HD: Correlation
How closely do AutoZone (AZO) and Home Depot (The) (HD) trade together? Their weekly returns over three years give a correlation of 0.36, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are AZO and HD?
Across a 3-year window, the weekly returns of AZO and HD correlate at 0.36, moderate. The relationship has been stable: the 1-year correlation (0.36) sits close to the 3-year figure. Stretching to 5 years gives 0.39, with an annualized covariance of 197.2 %².
Within AZO's tracked universe of 30 assets, HD comes in at #11 by 3-year correlation. The trailing year gives HD the advantage: -30.3% versus -17.4%, a 12.9-point spread. On a rolling one-year basis the correlation drifted between 0.18 and 0.45, a moderate band.
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.
AZO vs HD: side by side
| AZO (AutoZone) | HD (Home Depot (The)) | |
|---|---|---|
| 1-year return | -30.3% | -17.4% |
| 5-year return | +88.5% | +13.8% |
| Volatility (ann.) | 23.2% | 23.6% |
| Beta vs S&P 500 | 0.31 | 0.87 |
| Max drawdown (3Y) | -32.9% | -28.8% |
| Market cap | – | $327.9B |
| P/E (trailing) | 20.6 | 23.4 |
| Dividend yield | 0.00% | 1.38% |
| Sector / category | Consumer Discretionary | Consumer Discretionary |
Year-by-year returns
| Year | AZO | HD |
|---|---|---|
| 2022 | +17.6% | -22.0% |
| 2023 | +4.8% | +12.8% |
| 2024 | +23.8% | +15.0% |
| 2025 | +5.9% | -9.3% |
| 2026 | -13.5% | -3.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are AZO and HD good diversifiers for each other?
Reasonably. At 0.36, AZO and HD keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between AZO and HD?
Using weekly returns as of 2026-08-27: 0.36 over 3 years, with 0.36 over the last year and 0.39 over 5 years.
Is HD a good diversifier for AZO?
Reasonably. At 0.36, AZO and HD keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.36 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/azo-vs-hd.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/azo-vs-hd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: AZO correlations · HD correlations
