FANG vs MGY: Correlation
Measured on weekly returns over the past three years, Diamondback Energy (FANG) and Magnolia Oil & Gas Corporation (MGY) carry a correlation of 0.80, a very strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FANG and MGY?
On 3 years of weekly data the FANG/MGY correlation comes out at 0.80, very strong, meaning they move nearly in lockstep. Recent behaviour matches the longer record: 0.80 over 1 year against 0.80 over 3. The 5-year figure is 0.83, and annualized covariance runs at 870.5 %².
Within FANG's tracked universe of 41 assets, MGY comes in at #10 by 3-year correlation. Correlation aside, the last 12 months split them widely, with FANG ahead by 29.0 points (+39.6% versus +10.6%).
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.
FANG vs MGY: side by side
| FANG (Diamondback Energy) | MGY (Magnolia Oil & Gas Corporation) | |
|---|---|---|
| 1-year return | +39.6% | +10.6% |
| 5-year return | +224.9% | +92.1% |
| Volatility (ann.) | 34.1% | 32.0% |
| Beta vs S&P 500 | 0.32 | 0.40 |
| Max drawdown (3Y) | -42.1% | -31.5% |
| Market cap | $56.1B | $6.5B |
| P/E (trailing) | 38.0 | 11.5 |
| Dividend yield | 2.13% | 2.50% |
| Sector / category | Energy | US Listed |
Year-by-year returns
| Year | FANG | MGY |
|---|---|---|
| 2022 | +35.3% | +26.5% |
| 2023 | +19.7% | -7.3% |
| 2024 | +10.3% | +12.2% |
| 2025 | -5.6% | -3.8% |
| 2026 | +35.7% | +24.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FANG and MGY good diversifiers for each other?
Not really. At 0.80, the two trade almost as one position, and owning both buys little extra protection.
FAQ
What is the correlation between FANG and MGY?
As of 2026-08-27, the correlation of weekly returns between FANG and MGY is 0.80 over 3 years, 0.80 over 1 year and 0.83 over 5 years.
Is MGY a good diversifier for FANG?
Not really. At 0.80, the two trade almost as one position, and owning both buys little extra protection.
What does a correlation of 0.80 mean?
On the −1 to +1 scale, 0.80 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/fang-vs-mgy.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/fang-vs-mgy/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: FANG correlations · MGY correlations
