DHR vs XLV: Correlation
Danaher Corporation (DHR) and Health Care Select Sector SPDR Fund (XLV) show a strong relationship: their 3-year correlation of weekly returns is 0.71.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are DHR and XLV?
Across a 3-year window, the weekly returns of DHR and XLV correlate at 0.71, strong. Recent behaviour matches the longer record: 0.75 over 1 year against 0.71 over 3. Stretching to 5 years gives 0.70, with an annualized covariance of 307.6 %².
Few assets follow DHR as closely as XLV, which ranks #3 of 49 tracked partners. The last year tells two different stories: XLV led by 21.5 percentage points, +6.0% for DHR against +27.5% for XLV. The rolling one-year correlation moved between 0.43 and 0.83 over the past three years, a moderate range. Risk is not evenly split, since DHR carries 2.0 times the volatility of the other side.
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.
DHR vs XLV: side by side
| DHR (Danaher Corporation) | XLV (Health Care Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +6.0% | +27.5% |
| 5-year return | -23.8% | +37.4% |
| Volatility (ann.) | 29.5% | 14.7% |
| Beta vs S&P 500 | 0.82 | 0.42 |
| Max drawdown (3Y) | -41.7% | -17.1% |
| Market cap | $151.6B | – |
| P/E (trailing) | 38.4 | – |
| Dividend yield | 0.67% | 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 | DHR | XLV |
|---|---|---|
| 2022 | -19.0% | -2.1% |
| 2023 | -1.2% | +2.1% |
| 2024 | -0.3% | +2.5% |
| 2025 | +0.4% | +14.5% |
| 2026 | -5.4% | +11.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
DHR represents 2.17% of XLV's portfolio, so part of any move in XLV is DHR itself, and the correlation between them is partly mechanical.
Are DHR and XLV good diversifiers for each other?
Only partially. A correlation of 0.71 means DHR and XLV share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between DHR and XLV?
The DHR/XLV correlation stands at 0.71 on a 3-year window (1 year: 0.75, 5 years: 0.70), computed from weekly returns as of 2026-08-27.
Is XLV a good diversifier for DHR?
Only partially. A correlation of 0.71 means DHR and XLV share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.71 mean?
On the −1 to +1 scale, 0.71 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/dhr-vs-xlv.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/dhr-vs-xlv/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: DHR correlations · XLV correlations
