HPQ vs XLK: Correlation
Measured on weekly returns over the past three years, HP Inc. (HPQ) and Technology Select Sector SPDR Fund (XLK) carry a correlation of 0.48, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HPQ and XLK?
On 3 years of weekly data the HPQ/XLK correlation comes out at 0.48, moderate. Recent behaviour matches the longer record: 0.39 over 1 year against 0.48 over 3. The 5-year figure is 0.50, and annualized covariance runs at 391.9 %².
Within HPQ's tracked universe of 28 assets, XLK comes in at #17 by 3-year correlation. Correlation aside, the last 12 months split them widely, with XLK ahead by 28.5 points (+14.9% versus +43.4%). On a rolling one-year basis the correlation drifted between 0.20 and 0.69, a moderate band.
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.
HPQ vs XLK: side by side
| HPQ (HP Inc.) | XLK (Technology Select Sector SPDR Fund) | |
|---|---|---|
| 1-year return | +14.9% | +43.4% |
| 5-year return | +19.9% | +145.2% |
| Volatility (ann.) | 34.2% | 24.0% |
| Beta vs S&P 500 | 1.15 | 1.50 |
| Max drawdown (3Y) | -51.2% | -25.7% |
| Market cap | $26.7B | – |
| P/E (trailing) | 11.3 | – |
| Dividend yield | 0.00% | 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 | HPQ | XLK |
|---|---|---|
| 2022 | -26.4% | -27.7% |
| 2023 | +16.1% | +56.0% |
| 2024 | +12.1% | +21.6% |
| 2025 | -28.7% | +24.6% |
| 2026 | +36.8% | +31.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
HPQ represents 0.19% of XLK's portfolio, so part of any move in XLK is HPQ itself, and the correlation between them is partly mechanical.
Are HPQ and XLK good diversifiers for each other?
Reasonably. At 0.48, HPQ and XLK keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between HPQ and XLK?
As of 2026-08-27, the correlation of weekly returns between HPQ and XLK is 0.48 over 3 years, 0.39 over 1 year and 0.50 over 5 years.
Is XLK a good diversifier for HPQ?
Reasonably. At 0.48, HPQ and XLK keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.48 mean?
A reading of 0.48 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/hpq-vs-xlk.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/hpq-vs-xlk/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: HPQ correlations · XLK correlations
