CNP vs PPL: Correlation
Measured on weekly returns over the past three years, CenterPoint Energy (CNP) and PPL Corporation (PPL) carry a correlation of 0.64, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CNP and PPL?
On 3 years of weekly data the CNP/PPL correlation comes out at 0.64, strong. The link has tightened recently: the 1-year correlation (0.77) runs above the 3-year figure (0.64). The 5-year figure is 0.71, and annualized covariance runs at 190.4 %².
Among the 28 assets we track against CNP, PPL ranks #8 by 3-year correlation. The trailing year gives CNP the advantage: +6.5% versus -3.0%, a 9.5-point spread. This link changes with the market regime, having swung between 0.37 and 0.87 on a rolling one-year basis.
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.
CNP vs PPL: side by side
| CNP (CenterPoint Energy) | PPL (PPL Corporation) | |
|---|---|---|
| 1-year return | +6.5% | -3.0% |
| 5-year return | +75.6% | +41.1% |
| Volatility (ann.) | 17.2% | 17.4% |
| Beta vs S&P 500 | 0.12 | 0.13 |
| Max drawdown (3Y) | -18.1% | -13.3% |
| Market cap | $25.9B | $25.9B |
| P/E (trailing) | 23.5 | 20.7 |
| Dividend yield | 2.27% | 3.18% |
| Sector / category | Utilities | Utilities |
Year-by-year returns
| Year | CNP | PPL |
|---|---|---|
| 2022 | +10.0% | +0.4% |
| 2023 | -2.1% | -3.8% |
| 2024 | +14.3% | +24.0% |
| 2025 | +23.7% | +11.4% |
| 2026 | +4.2% | -0.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are CNP and PPL good diversifiers for each other?
Somewhat, no more. With 0.64 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between CNP and PPL?
The CNP/PPL correlation stands at 0.64 on a 3-year window (1 year: 0.77, 5 years: 0.71), computed from weekly returns as of 2026-08-27.
Is PPL a good diversifier for CNP?
Somewhat, no more. With 0.64 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.64 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/cnp-vs-ppl.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/cnp-vs-ppl/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: CNP correlations · PPL correlations
