CVS vs XLV: Correlation
CVS Health (CVS) and Health Care Select Sector SPDR Fund (XLV) show a moderate relationship: their 3-year correlation of weekly returns is 0.35.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are CVS and XLV?
Over the past 3 years, CVS and XLV moved with a correlation of 0.35, which is moderate. The relationship has been stable: the 1-year correlation (0.32) sits close to the 3-year figure. Over 5 years the correlation is 0.40, and the annualized covariance of weekly returns is 176.8 %².
Among the 32 assets we track against CVS, XLV ranks #12 by 3-year correlation. Over the last 12 months CVS came out ahead by 5.8 percentage points (+33.3% against +27.5%). The rolling one-year correlation moved between 0.24 and 0.56 over the past three years, a moderate range. One caveat on sizing: CVS is 2.3 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.
CVS vs XLV: side by side
| CVS (CVS Health) | XLV (Health Care Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +33.3% | +27.5% |
| 5-year return | +29.6% | +37.4% |
| Volatility (ann.) | 34.4% | 14.7% |
| Beta vs S&P 500 | 0.40 | 0.42 |
| Max drawdown (3Y) | -44.0% | -17.1% |
| Market cap | $118.8B | – |
| P/E (trailing) | 24.8 | – |
| Dividend yield | 2.82% | 1.56% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $41.7B |
| Sector / category | Health Care | Sector ETF |
On the fund side, XLV sits in the Health category at State Street Investment Management, with $41.7B under management, 61 holdings, a 0.08% expense ratio, a 1.56% trailing dividend yield.
Year-by-year returns
| Year | CVS | XLV |
|---|---|---|
| 2022 | -7.6% | -2.1% |
| 2023 | -12.5% | +2.1% |
| 2024 | -40.8% | +2.5% |
| 2025 | +84.3% | +14.5% |
| 2026 | +19.8% | +11.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
Keep in mind that XLV holds CVS at a 1.92% weight, which makes a slice of this correlation mechanical rather than coincidental.
Are CVS and XLV good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.35 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between CVS and XLV?
The CVS/XLV correlation stands at 0.35 on a 3-year window (1 year: 0.32, 5 years: 0.40), computed from weekly returns as of 2026-08-27.
Is XLV a good diversifier for CVS?
Yes, to a useful degree: a correlation of 0.35 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.35 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/cvs-vs-xlv.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/cvs-vs-xlv/)
Free with attribution; caching and terms are described in the API documentation.
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Hubs: CVS correlations · XLV correlations
