HOV vs VXZ: Correlation
How closely do Hovnanian Enterprises, Inc. (HOV) and iPath Series B S&P 500 VIX Mid-Term Futures ETN (VXZ) trade together? Their weekly returns over three years give a correlation of -0.41, which is negative.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HOV and VXZ?
Across a 3-year window, the weekly returns of HOV and VXZ correlate at -0.41, negative, meaning they tend to move in opposite directions. Lately the two have moved closer together, with the 1-year correlation at -0.28 versus -0.41 over 3 years. Stretching to 5 years gives -0.46, with an annualized covariance of -708.5 %².
VXZ is close to the least connected end of HOV's tracked universe, ranking #21 of 21. Over the last 12 months HOV came out ahead by 6.8 percentage points (-9.3% against -16.1%). One caveat on sizing: HOV is 2.7 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.
HOV vs VXZ: side by side
| HOV (Hovnanian Enterprises, Inc.) | VXZ (iPath Series B S&P 500 VIX Mid-Term Futures ETN) | |
|---|---|---|
| 1-year return | -9.3% | -16.1% |
| 5-year return | +19.3% | -53.1% |
| Volatility (ann.) | 67.9% | 25.6% |
| Beta vs S&P 500 | 1.58 | -1.31 |
| Max drawdown (3Y) | -63.1% | -36.4% |
| Market cap | $0.7B | – |
| P/E (trailing) | 123.0 | – |
| Dividend yield | 0.00% | – |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | HOV | VXZ |
|---|---|---|
| 2022 | -66.9% | +0.5% |
| 2023 | +269.8% | -44.0% |
| 2024 | -14.0% | -12.7% |
| 2025 | -27.1% | +5.7% |
| 2026 | +29.9% | -10.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are HOV and VXZ good diversifiers for each other?
Yes. With a correlation of -0.41, HOV and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between HOV and VXZ?
The HOV/VXZ correlation stands at -0.41 on a 3-year window (1 year: -0.28, 5 years: -0.46), computed from weekly returns as of 2026-08-27.
Is VXZ a good diversifier for HOV?
Yes. With a correlation of -0.41, HOV and VXZ have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.41 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/hov-vs-vxz.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/hov-vs-vxz/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: HOV correlations · VXZ correlations
