HPE vs XLK: Correlation
Measured on weekly returns over the past three years, Hewlett Packard Enterprise (HPE) and Technology Select Sector SPDR Fund (XLK) carry a correlation of 0.51, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HPE and XLK?
Over the past 3 years, HPE and XLK moved with a correlation of 0.51, which is moderate. Little has changed lately, as the 1-year reading of 0.42 lands near the 3-year figure. Over 5 years the correlation is 0.51, and the annualized covariance of weekly returns is 538.3 %².
By 3-year correlation, XLK places #8 of the 28 assets tracked against HPE. The last year tells two different stories: HPE led by 101.0 percentage points, +144.4% for HPE against +43.4% for XLK. Across three years, the rolling one-year figure varied moderately, from 0.27 to 0.70. One caveat on sizing: HPE is 1.8 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.
HPE vs XLK: side by side
| HPE (Hewlett Packard Enterprise) | XLK (Technology Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +144.4% | +43.4% |
| 5-year return | +309.3% | +145.2% |
| Volatility (ann.) | 43.8% | 24.0% |
| Beta vs S&P 500 | 1.47 | 1.50 |
| Max drawdown (3Y) | -48.4% | -25.7% |
| Market cap | $72.0B | – |
| P/E (trailing) | 51.3 | – |
| Dividend yield | 0.99% | 0.45% |
| Expense ratio | – | 0.08% |
| Assets under management | – | $115.4B |
| Sector / category | Information Technology | Sector ETF |
On the fund side, XLK sits in the Technology category at State Street Investment Management, with $115.4B under management, 73 holdings, a 0.08% expense ratio, a 0.45% trailing dividend yield.
Year-by-year returns
| Year | HPE | XLK |
|---|---|---|
| 2022 | +4.5% | -27.7% |
| 2023 | +9.7% | +56.0% |
| 2024 | +29.1% | +21.6% |
| 2025 | +15.5% | +24.6% |
| 2026 | +128.6% | +31.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
HPE represents 0.49% of XLK's portfolio, so part of any move in XLK is HPE itself, and the correlation between them is partly mechanical.
Are HPE and XLK good diversifiers for each other?
To a limited degree. At 0.51 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between HPE and XLK?
Using weekly returns as of 2026-08-27: 0.51 over 3 years, with 0.42 over the last year and 0.51 over 5 years.
Is XLK a good diversifier for HPE?
To a limited degree. At 0.51 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.51 mean?
On the −1 to +1 scale, 0.51 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/hpe-vs-xlk.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/hpe-vs-xlk/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: HPE correlations · XLK correlations
