EW vs LMT: Correlation
Measured on weekly returns over the past three years, Edwards Lifesciences (EW) and Lockheed Martin (LMT) carry a correlation of -0.23, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are EW and LMT?
Over the past 3 years, EW and LMT moved with a correlation of -0.23, which is negative, meaning they tend to move in opposite directions. Recent behaviour matches the longer record: -0.13 over 1 year against -0.23 over 3. Over 5 years the correlation is -0.11, and the annualized covariance of weekly returns is -189.1 %².
Within EW's tracked universe of 30 assets, LMT comes in at #23 by 3-year correlation. The last year tells two different stories: LMT led by 16.7 percentage points, +11.2% for EW against +27.9% for LMT. Do not treat this figure as fixed: across three years the rolling one-year correlation ranged all the way from -0.53 to 0.05.
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.
EW vs LMT: side by side
| EW (Edwards Lifesciences) | LMT (Lockheed Martin) | |
|---|---|---|
| 1-year return | +11.2% | +27.9% |
| 5-year return | -23.8% | +78.9% |
| Volatility (ann.) | 31.6% | 26.0% |
| Beta vs S&P 500 | 0.81 | 0.20 |
| Max drawdown (3Y) | -37.5% | -31.8% |
| Market cap | $51.8B | $130.6B |
| P/E (trailing) | 54.2 | 20.9 |
| Dividend yield | 0.00% | 2.41% |
| Sector / category | Health Care | Industrials |
Year-by-year returns
| Year | EW | LMT |
|---|---|---|
| 2022 | -42.4% | +40.5% |
| 2023 | +2.2% | -4.3% |
| 2024 | -2.9% | +10.0% |
| 2025 | +15.2% | +2.5% |
| 2026 | +5.5% | +18.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are EW and LMT good diversifiers for each other?
By historical standards, yes. A correlation of -0.23 means the two rarely move for the same reasons.
FAQ
What is the correlation between EW and LMT?
Using weekly returns as of 2026-08-27: -0.23 over 3 years, with -0.13 over the last year and -0.11 over 5 years.
Is LMT a good diversifier for EW?
By historical standards, yes. A correlation of -0.23 means the two rarely move for the same reasons.
What does a correlation of -0.23 mean?
On the −1 to +1 scale, -0.23 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/ew-vs-lmt.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/ew-vs-lmt/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: EW correlations · LMT correlations
