ETN vs SMH: Correlation
Measured on weekly returns over the past three years, Eaton Corporation (ETN) and VanEck Semiconductor ETF (SMH) carry a correlation of 0.65, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ETN and SMH?
Across a 3-year window, the weekly returns of ETN and SMH correlate at 0.65, strong. The past 12 months show a weaker link (0.52) than the 3-year average (0.65). Stretching to 5 years gives 0.63, with an annualized covariance of 663.4 %².
Among the 44 assets we track against ETN, SMH ranks #13 by 3-year correlation. The last year tells two different stories: SMH led by 73.4 percentage points, +19.7% for ETN against +93.1% for SMH. On a rolling one-year basis the correlation drifted between 0.33 and 0.80, a moderate band.
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.
ETN vs SMH: side by side
| ETN (Eaton Corporation) | SMH (VanEck Semiconductor ETF) | |
|---|---|---|
| 1-year return | +19.7% | +93.1% |
| 5-year return | +164.1% | +332.8% |
| Volatility (ann.) | 30.2% | 33.7% |
| Beta vs S&P 500 | 1.33 | 1.91 |
| Max drawdown (3Y) | -34.5% | -35.7% |
| Market cap | $161.6B | – |
| P/E (trailing) | 42.4 | – |
| Dividend yield | 1.02% | – |
| Sector / category | Industrials | ETF · Thematic |
Year-by-year returns
| Year | ETN | SMH |
|---|---|---|
| 2022 | -7.2% | -33.5% |
| 2023 | +56.2% | +73.4% |
| 2024 | +39.5% | +39.1% |
| 2025 | -2.8% | +49.2% |
| 2026 | +31.7% | +59.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ETN and SMH good diversifiers for each other?
To a limited degree. At 0.65 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between ETN and SMH?
The ETN/SMH correlation stands at 0.65 on a 3-year window (1 year: 0.52, 5 years: 0.63), computed from weekly returns as of 2026-08-27.
Is SMH a good diversifier for ETN?
To a limited degree. At 0.65 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.65 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/etn-vs-smh.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/etn-vs-smh/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: ETN correlations · SMH correlations
