FDX vs ITW: Correlation
FedEx (FDX) and Illinois Tool Works (ITW) show a moderate relationship: their 3-year correlation of weekly returns is 0.48.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FDX and ITW?
On 3 years of weekly data the FDX/ITW correlation comes out at 0.48, moderate. Recent behaviour matches the longer record: 0.52 over 1 year against 0.48 over 3. The 5-year figure is 0.49, and annualized covariance runs at 283.5 %².
Among the 36 assets we track against FDX, ITW ranks #18 by 3-year correlation. Correlation aside, the last 12 months split them widely, with FDX ahead by 72.4 points (+80.6% versus +8.2%). On a rolling one-year basis the correlation drifted between 0.33 and 0.75, a moderate band. One caveat on sizing: FDX 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.
FDX vs ITW: side by side
| FDX (FedEx) | ITW (Illinois Tool Works) | |
|---|---|---|
| 1-year return | +80.6% | +8.2% |
| 5-year return | +71.0% | +36.1% |
| Volatility (ann.) | 30.7% | 19.0% |
| Beta vs S&P 500 | 0.89 | 0.64 |
| Max drawdown (3Y) | -35.9% | -20.6% |
| Market cap | $78.4B | $80.2B |
| P/E (trailing) | 18.1 | 25.8 |
| Dividend yield | 1.66% | 2.26% |
| Sector / category | Industrials | Industrials |
Year-by-year returns
| Year | FDX | ITW |
|---|---|---|
| 2022 | -31.6% | -8.5% |
| 2023 | +49.1% | +21.6% |
| 2024 | +13.5% | -1.0% |
| 2025 | +5.1% | -0.4% |
| 2026 | +43.5% | +15.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FDX and ITW good diversifiers for each other?
A fair diversifier. At 0.48, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between FDX and ITW?
The FDX/ITW correlation stands at 0.48 on a 3-year window (1 year: 0.52, 5 years: 0.49), computed from weekly returns as of 2026-08-27.
Is ITW a good diversifier for FDX?
A fair diversifier. At 0.48, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.48 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/fdx-vs-itw.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/fdx-vs-itw/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: FDX correlations · ITW correlations
