DPZ vs MCD: Correlation
Domino's (DPZ) and McDonald's (MCD) show a moderate relationship: their 3-year correlation of weekly returns is 0.40.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are DPZ and MCD?
Over the past 3 years, DPZ and MCD moved with a correlation of 0.40, which is moderate. The link has tightened recently: the 1-year correlation (0.51) runs above the 3-year figure (0.40). Over 5 years the correlation is 0.44, and the annualized covariance of weekly returns is 197.8 %².
Within DPZ's tracked universe of 31 assets, MCD comes in at #12 by 3-year correlation. The trailing year gives MCD the advantage: -25.2% versus -14.5%, a 10.7-point spread. On a rolling one-year basis the correlation drifted between 0.12 and 0.59, a moderate band. One caveat on sizing: DPZ is 1.6 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.
DPZ vs MCD: side by side
| DPZ (Domino's) | MCD (McDonald's) | |
|---|---|---|
| 1-year return | -25.2% | -14.5% |
| 5-year return | -31.2% | +23.3% |
| Volatility (ann.) | 27.8% | 17.8% |
| Beta vs S&P 500 | 0.67 | 0.30 |
| Max drawdown (3Y) | -45.1% | -22.8% |
| Market cap | $11.0B | $184.0B |
| P/E (trailing) | 19.5 | 21.7 |
| Dividend yield | 2.17% | 2.75% |
| Sector / category | Consumer Discretionary | Consumer Discretionary |
Year-by-year returns
| Year | DPZ | MCD |
|---|---|---|
| 2022 | -37.9% | +0.5% |
| 2023 | +20.7% | +15.1% |
| 2024 | +3.2% | +0.1% |
| 2025 | +0.9% | +7.9% |
| 2026 | -19.4% | -13.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are DPZ and MCD good diversifiers for each other?
A fair diversifier. At 0.40, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between DPZ and MCD?
The DPZ/MCD correlation stands at 0.40 on a 3-year window (1 year: 0.51, 5 years: 0.44), computed from weekly returns as of 2026-08-27.
Is MCD a good diversifier for DPZ?
A fair diversifier. At 0.40, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.40 mean?
A reading of 0.40 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/dpz-vs-mcd.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/dpz-vs-mcd/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: DPZ correlations · MCD correlations
