HD vs NCLH: Correlation
Measured on weekly returns over the past three years, Home Depot (The) (HD) and Norwegian Cruise Line Holdings (NCLH) carry a correlation of 0.44, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HD and NCLH?
Over the past 3 years, HD and NCLH moved with a correlation of 0.44, which is moderate. Recent behaviour matches the longer record: 0.44 over 1 year against 0.44 over 3. Over 5 years the correlation is 0.36, and the annualized covariance of weekly returns is 518.5 %².
Within HD's tracked universe of 54 assets, NCLH comes in at #34 by 3-year correlation. The last year tells two different stories: HD led by 15.7 percentage points, -17.4% for HD against -33.1% for NCLH. The rolling one-year correlation stayed in a tight band between 0.33 and 0.54 over the past three years, which points to a structural rather than episodic relationship. One caveat on sizing: NCLH is 2.1 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.
HD vs NCLH: side by side
| HD (Home Depot (The)) | NCLH (Norwegian Cruise Line Holdings) | |
|---|---|---|
| 1-year return | -17.4% | -33.1% |
| 5-year return | +13.8% | -34.4% |
| Volatility (ann.) | 23.6% | 49.9% |
| Beta vs S&P 500 | 0.87 | 1.52 |
| Max drawdown (3Y) | -28.8% | -49.1% |
| Market cap | $327.9B | $7.6B |
| P/E (trailing) | 23.4 | 10.1 |
| Dividend yield | 1.38% | 0.00% |
| Sector / category | Consumer Discretionary | Consumer Discretionary |
Year-by-year returns
| Year | HD | NCLH |
|---|---|---|
| 2022 | -22.0% | -41.0% |
| 2023 | +12.8% | +63.7% |
| 2024 | +15.0% | +28.4% |
| 2025 | -9.3% | -13.3% |
| 2026 | -3.1% | -25.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are HD and NCLH good diversifiers for each other?
Reasonably. At 0.44, HD and NCLH keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between HD and NCLH?
Using weekly returns as of 2026-08-27: 0.44 over 3 years, with 0.44 over the last year and 0.36 over 5 years.
Is NCLH a good diversifier for HD?
Reasonably. At 0.44, HD and NCLH keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.44 mean?
On the −1 to +1 scale, 0.44 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/hd-vs-nclh.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/hd-vs-nclh/)
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Related comparisons
Hubs: HD correlations · NCLH correlations
