ETR vs TAC: Correlation
How closely do Entergy (ETR) and TransAlta Corporation (TAC) trade together? Their weekly returns over three years give a correlation of 0.45, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ETR and TAC?
Over the past 3 years, ETR and TAC moved with a correlation of 0.45, which is moderate. Recent behaviour matches the longer record: 0.46 over 1 year against 0.45 over 3. Over 5 years the correlation is 0.42, and the annualized covariance of weekly returns is 323.9 %².
Within ETR's tracked universe of 38 assets, TAC comes in at #23 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months ETR outperformed by 17.6 percentage points (+21.9% for ETR against +4.3% for TAC). Risk is not evenly split, since TAC carries 1.8 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.
ETR vs TAC: side by side
| ETR (Entergy) | TAC (TransAlta Corporation) | |
|---|---|---|
| 1-year return | +21.9% | +4.3% |
| 5-year return | +132.0% | +36.9% |
| Volatility (ann.) | 19.7% | 36.2% |
| Beta vs S&P 500 | 0.22 | 0.84 |
| Max drawdown (3Y) | -10.6% | -43.3% |
| Market cap | $49.7B | $4.0B |
| P/E (trailing) | 27.2 | – |
| Dividend yield | 2.35% | 2.10% |
| Sector / category | Utilities | US Listed |
Year-by-year returns
| Year | ETR | TAC |
|---|---|---|
| 2022 | +3.6% | -18.0% |
| 2023 | -6.1% | -5.6% |
| 2024 | +56.0% | +74.0% |
| 2025 | +25.3% | -9.5% |
| 2026 | +17.3% | -0.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ETR and TAC good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between ETR and TAC?
Using weekly returns as of 2026-08-27: 0.45 over 3 years, with 0.46 over the last year and 0.42 over 5 years.
Is TAC a good diversifier for ETR?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.45 mean?
On the −1 to +1 scale, 0.45 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/etr-vs-tac.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/etr-vs-tac/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: ETR correlations · TAC correlations
