CNH vs ITW: Correlation
Measured on weekly returns over the past three years, CNH Industrial N.V. (CNH) and Illinois Tool Works (ITW) carry a correlation of 0.59, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CNH and ITW?
Across a 3-year window, the weekly returns of CNH and ITW correlate at 0.59, moderate. Recent behaviour matches the longer record: 0.53 over 1 year against 0.59 over 3. Stretching to 5 years gives 0.53, with an annualized covariance of 376.8 %².
Within CNH's tracked universe of 15 assets, ITW comes in at #5 by 3-year correlation. Over the last 12 months ITW came out ahead by 12.6 percentage points (-4.4% against +8.2%). One caveat on sizing: CNH is 1.8 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.
CNH vs ITW: side by side
| CNH (CNH Industrial N.V.) | ITW (Illinois Tool Works) | |
|---|---|---|
| 1-year return | -4.4% | +8.2% |
| 5-year return | -12.0% | +36.1% |
| Volatility (ann.) | 33.5% | 19.0% |
| Beta vs S&P 500 | 0.73 | 0.64 |
| Max drawdown (3Y) | -33.2% | -20.6% |
| Market cap | $18.4B | $80.2B |
| P/E (trailing) | 45.7 | 25.8 |
| Dividend yield | 0.86% | 2.26% |
| Sector / category | US Listed | Industrials |
Year-by-year returns
| Year | CNH | ITW |
|---|---|---|
| 2022 | -3.2% | -8.5% |
| 2023 | -22.0% | +21.6% |
| 2024 | -3.1% | -1.0% |
| 2025 | -17.1% | -0.4% |
| 2026 | +25.2% | +15.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are CNH and ITW good diversifiers for each other?
To a limited degree. At 0.59 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between CNH and ITW?
Using weekly returns as of 2026-08-27: 0.59 over 3 years, with 0.53 over the last year and 0.53 over 5 years.
Is ITW a good diversifier for CNH?
To a limited degree. At 0.59 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.59 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/cnh-vs-itw.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/cnh-vs-itw/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: CNH correlations · ITW correlations
