CARS vs IWM: Correlation
How closely do Cars.com Inc. (CARS) and iShares Russell 2000 ETF (IWM) trade together? Their weekly returns over three years give a correlation of 0.57, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CARS and IWM?
Over the past 3 years, CARS and IWM moved with a correlation of 0.57, which is moderate. Little has changed lately, as the 1-year reading of 0.55 lands near the 3-year figure. Over 5 years the correlation is 0.50, and the annualized covariance of weekly returns is 473.7 %².
Few assets follow CARS as closely as IWM, which ranks #1 of 14 tracked partners. Correlation aside, the last 12 months split them widely, with IWM ahead by 39.0 points (-10.6% versus +28.4%). Risk is not evenly split, since CARS carries 2.1 times the volatility of the other side.
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.
CARS vs IWM: side by side
| CARS (Cars.com Inc.) | IWM (iShares Russell 2000 ETF) | |
|---|---|---|
| 1-year return | -10.6% | +28.4% |
| 5-year return | -7.8% | +41.5% |
| Volatility (ann.) | 42.1% | 19.8% |
| Beta vs S&P 500 | 1.42 | 1.06 |
| Max drawdown (3Y) | -63.4% | -27.5% |
| Market cap | $0.6B | – |
| P/E (trailing) | 21.0 | – |
| Dividend yield | 0.00% | 0.91% |
| Expense ratio | – | 0.19% |
| Assets under management | – | $80.1B |
| Sector / category | US Listed | ETF · US Small & Mid Cap |
IWM, iShares's Small Blend fund, carries $80.1B under management, 1757 holdings, a 0.19% expense ratio, a 0.91% trailing dividend yield.
Year-by-year returns
| Year | CARS | IWM |
|---|---|---|
| 2022 | -14.4% | -20.5% |
| 2023 | +37.8% | +16.8% |
| 2024 | -8.6% | +11.4% |
| 2025 | -29.6% | +12.7% |
| 2026 | -3.5% | +22.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are CARS and IWM good diversifiers for each other?
Only partially. A correlation of 0.57 means CARS and IWM share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between CARS and IWM?
The CARS/IWM correlation stands at 0.57 on a 3-year window (1 year: 0.55, 5 years: 0.50), computed from weekly returns as of 2026-08-27.
Is IWM a good diversifier for CARS?
Only partially. A correlation of 0.57 means CARS and IWM share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.57 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/cars-vs-iwm.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/cars-vs-iwm/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: CARS correlations · IWM correlations
