CSCO vs LITE: Correlation
How closely do Cisco (CSCO) and Lumentum (LITE) trade together? Their weekly returns over three years give a correlation of 0.38, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CSCO and LITE?
Across a 3-year window, the weekly returns of CSCO and LITE correlate at 0.38, moderate. The link has loosened recently: the 1-year correlation (0.25) runs below the 3-year figure (0.38). Stretching to 5 years gives 0.39, with an annualized covariance of 654.3 %².
By 3-year correlation, LITE places #19 of the 30 assets tracked against CSCO. Their recent paths diverged sharply: over the last 12 months LITE outperformed by 592.5 percentage points (+67.3% for CSCO against +659.8% for LITE). This link changes with the market regime, having swung between 0.14 and 0.65 on a rolling one-year basis. One caveat on sizing: LITE is 2.5 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.
CSCO vs LITE: side by side
| CSCO (Cisco) | LITE (Lumentum) | |
|---|---|---|
| 1-year return | +67.3% | +659.8% |
| 5-year return | +118.1% | +998.1% |
| Volatility (ann.) | 26.4% | 65.5% |
| Beta vs S&P 500 | 0.84 | 2.36 |
| Max drawdown (3Y) | -20.2% | -50.6% |
| Market cap | $442.0B | $85.8B |
| P/E (trailing) | 33.8 | – |
| Dividend yield | 1.48% | 0.00% |
| Sector / category | Information Technology | Information Technology |
Year-by-year returns
| Year | CSCO | LITE |
|---|---|---|
| 2022 | -22.5% | -50.7% |
| 2023 | +9.3% | +0.5% |
| 2024 | +21.0% | +60.1% |
| 2025 | +33.5% | +339.1% |
| 2026 | +47.7% | +159.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are CSCO and LITE good diversifiers for each other?
A fair diversifier. At 0.38, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between CSCO and LITE?
Using weekly returns as of 2026-08-27: 0.38 over 3 years, with 0.25 over the last year and 0.39 over 5 years.
Is LITE a good diversifier for CSCO?
A fair diversifier. At 0.38, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.38 mean?
A reading of 0.38 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/csco-vs-lite.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/csco-vs-lite/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: CSCO correlations · LITE correlations
