HWM vs USAR: Correlation
Measured on weekly returns over the past three years, Howmet Aerospace (HWM) and USA Rare Earth, Inc. (USAR) carry a correlation of -0.17, a negative link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are HWM and USAR?
Across a 3-year window, the weekly returns of HWM and USAR correlate at -0.17, negative, meaning they tend to move in opposite directions. Recent behaviour matches the longer record: -0.18 over 1 year against -0.17 over 3. Stretching to 5 years gives n/a, with an annualized covariance of -525.4 %².
Among the 35 assets we track against HWM, USAR ranks #27 by 3-year correlation. The last year tells two different stories: HWM led by 30.0 percentage points, +52.7% for HWM against +22.7% for USAR. One caveat on sizing: USAR is 3.1 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.
HWM vs USAR: side by side
| HWM (Howmet Aerospace) | USAR (USA Rare Earth, Inc.) | |
|---|---|---|
| 1-year return | +52.7% | +22.7% |
| 5-year return | +754.4% | n/a |
| Volatility (ann.) | 32.1% | 98.3% |
| Beta vs S&P 500 | 1.24 | -0.14 |
| Max drawdown (3Y) | -19.4% | -69.2% |
| Market cap | $106.7B | $4.7B |
| P/E (trailing) | 58.2 | – |
| Dividend yield | 0.18% | 0.00% |
| Sector / category | Industrials | US Listed |
Year-by-year returns
| Year | HWM | USAR |
|---|---|---|
| 2022 | +24.2% | – |
| 2023 | +37.8% | – |
| 2024 | +102.7% | +11.1% |
| 2025 | +88.0% | +3.7% |
| 2026 | +30.7% | +61.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are HWM and USAR good diversifiers for each other?
By historical standards, yes. A correlation of -0.17 means the two rarely move for the same reasons.
FAQ
What is the correlation between HWM and USAR?
As of 2026-08-27, the correlation of weekly returns between HWM and USAR is -0.17 over 3 years, -0.18 over 1 year and n/a over 5 years.
Is USAR a good diversifier for HWM?
By historical standards, yes. A correlation of -0.17 means the two rarely move for the same reasons.
What does a correlation of -0.17 mean?
A reading of -0.17 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/hwm-vs-usar.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/hwm-vs-usar/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: HWM correlations · USAR correlations
