DDOG vs NOW: Correlation
How closely do Datadog (DDOG) and ServiceNow (NOW) trade together? Their weekly returns over three years give a correlation of 0.50, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are DDOG and NOW?
Across a 3-year window, the weekly returns of DDOG and NOW correlate at 0.50, moderate. Little has changed lately, as the 1-year reading of 0.44 lands near the 3-year figure. Stretching to 5 years gives 0.60, with an annualized covariance of 1185.0 %².
Among the 30 assets we track against DDOG, NOW ranks #11 by 3-year correlation. The last year tells two different stories: DDOG led by 106.5 percentage points, +84.4% for DDOG against -22.1% for NOW. The rolling one-year correlation moved between 0.36 and 0.66 over the past three years, a moderate range.
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.
DDOG vs NOW: side by side
| DDOG (Datadog) | NOW (ServiceNow) | |
|---|---|---|
| 1-year return | +84.4% | -22.1% |
| 5-year return | +77.8% | +7.9% |
| Volatility (ann.) | 54.6% | 43.2% |
| Beta vs S&P 500 | 1.37 | 1.38 |
| Max drawdown (3Y) | -48.6% | -64.5% |
| Market cap | $87.2B | $143.1B |
| P/E (trailing) | 458.4 | 78.7 |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | Information Technology | Information Technology |
Year-by-year returns
| Year | DDOG | NOW |
|---|---|---|
| 2022 | -58.7% | -40.2% |
| 2023 | +65.1% | +82.0% |
| 2024 | +17.7% | +50.1% |
| 2025 | -4.8% | -27.7% |
| 2026 | +78.6% | -9.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are DDOG and NOW good diversifiers for each other?
Somewhat, no more. With 0.50 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between DDOG and NOW?
The DDOG/NOW correlation stands at 0.50 on a 3-year window (1 year: 0.44, 5 years: 0.60), computed from weekly returns as of 2026-08-27.
Is NOW a good diversifier for DDOG?
Somewhat, no more. With 0.50 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.50 mean?
A reading of 0.50 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/ddog-vs-now.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ddog-vs-now/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: DDOG correlations · NOW correlations
