BBY vs HD: Correlation
How closely do Best Buy (BBY) and Home Depot (The) (HD) trade together? Their weekly returns over three years give a correlation of 0.39, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are BBY and HD?
Across a 3-year window, the weekly returns of BBY and HD correlate at 0.39, moderate. Lately the two have drifted apart, with the 1-year correlation at 0.28 versus 0.39 over 3 years. Stretching to 5 years gives 0.48, with an annualized covariance of 346.7 %².
Within BBY's tracked universe of 33 assets, HD comes in at #19 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months BBY outperformed by 34.3 percentage points (+16.9% for BBY against -17.4% for HD). The rolling one-year correlation moved between 0.32 and 0.74 over the past three years, a moderate range. Note the risk asymmetry: BBY runs 1.6 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
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.
BBY vs HD: side by side
| BBY (Best Buy) | HD (Home Depot (The)) | |
|---|---|---|
| 1-year return | +16.9% | -17.4% |
| 5-year return | -11.2% | +13.8% |
| Volatility (ann.) | 37.6% | 23.6% |
| Beta vs S&P 500 | 0.97 | 0.87 |
| Max drawdown (3Y) | -44.3% | -28.8% |
| Market cap | – | $327.9B |
| P/E (trailing) | 16.2 | 23.4 |
| Dividend yield | 0.00% | 1.38% |
| Sector / category | Consumer Discretionary | Consumer Discretionary |
Year-by-year returns
| Year | BBY | HD |
|---|---|---|
| 2022 | -17.5% | -22.0% |
| 2023 | +2.5% | +12.8% |
| 2024 | +14.4% | +15.0% |
| 2025 | -17.8% | -9.3% |
| 2026 | +28.4% | -3.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are BBY and HD good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.39 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between BBY and HD?
The BBY/HD correlation stands at 0.39 on a 3-year window (1 year: 0.28, 5 years: 0.48), computed from weekly returns as of 2026-08-27.
Is HD a good diversifier for BBY?
Yes, to a useful degree: a correlation of 0.39 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.39 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/bby-vs-hd.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/bby-vs-hd/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: BBY correlations · HD correlations
