FORM vs TER: Correlation
How closely do FormFactor, Inc. (FORM) and Teradyne (TER) trade together? Their weekly returns over three years give a correlation of 0.71, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are FORM and TER?
Across a 3-year window, the weekly returns of FORM and TER correlate at 0.71, strong. The past 12 months show a tighter link (0.81) than the 3-year average (0.71). Stretching to 5 years gives 0.68, with an annualized covariance of 2171.2 %².
In FORM's tracked universe of 14 assets, TER sits right near the top at #3. Correlation aside, the last 12 months split them widely, with FORM ahead by 57.8 points (+276.6% versus +218.8%).
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.
FORM vs TER: side by side
| FORM (FormFactor, Inc.) | TER (Teradyne) | |
|---|---|---|
| 1-year return | +276.6% | +218.8% |
| 5-year return | +178.6% | +207.9% |
| Volatility (ann.) | 58.1% | 52.5% |
| Beta vs S&P 500 | 2.08 | 1.70 |
| Max drawdown (3Y) | -62.7% | -58.2% |
| Market cap | $8.6B | $58.2B |
| P/E (trailing) | 74.5 | 50.0 |
| Dividend yield | 0.00% | 0.14% |
| Sector / category | US Listed | Information Technology |
Year-by-year returns
| Year | FORM | TER |
|---|---|---|
| 2022 | -51.4% | -46.3% |
| 2023 | +87.6% | +24.8% |
| 2024 | +5.5% | +16.5% |
| 2025 | +26.8% | +54.4% |
| 2026 | +97.6% | +92.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are FORM and TER good diversifiers for each other?
Somewhat, no more. With 0.71 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between FORM and TER?
The FORM/TER correlation stands at 0.71 on a 3-year window (1 year: 0.81, 5 years: 0.68), computed from weekly returns as of 2026-08-27.
Is TER a good diversifier for FORM?
Somewhat, no more. With 0.71 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.71 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/form-vs-ter.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/form-vs-ter/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: FORM correlations · TER correlations
