IP vs PPG: Correlation
International Paper (IP) and PPG Industries (PPG) show a moderate relationship: their 3-year correlation of weekly returns is 0.57.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are IP and PPG?
Over the past 3 years, IP and PPG moved with a correlation of 0.57, which is moderate. The link has tightened recently: the 1-year correlation (0.70) runs above the 3-year figure (0.57). Over 5 years the correlation is 0.56, and the annualized covariance of weekly returns is 545.5 %².
In IP's tracked universe of 29 assets, PPG sits right near the top at #3. The last year tells two different stories: PPG led by 17.3 percentage points, -13.5% for IP against +3.8% for PPG. This link changes with the market regime, having swung between 0.26 and 0.77 on a rolling one-year basis.
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.
IP vs PPG: side by side
| IP (International Paper) | PPG (PPG Industries) | |
|---|---|---|
| 1-year return | -13.5% | +3.8% |
| 5-year return | -11.2% | -22.0% |
| Volatility (ann.) | 37.8% | 25.5% |
| Beta vs S&P 500 | 0.77 | 0.90 |
| Max drawdown (3Y) | -48.6% | -37.4% |
| Market cap | $21.1B | $25.2B |
| P/E (trailing) | – | 16.4 |
| Dividend yield | 4.47% | 2.48% |
| Sector / category | Materials | Materials |
Year-by-year returns
| Year | IP | PPG |
|---|---|---|
| 2022 | -23.0% | -25.7% |
| 2023 | +10.2% | +21.2% |
| 2024 | +55.3% | -18.5% |
| 2025 | -23.8% | -12.0% |
| 2026 | +5.0% | +12.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are IP and PPG good diversifiers for each other?
Only partially. A correlation of 0.57 means IP and PPG share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between IP and PPG?
As of 2026-08-27, the correlation of weekly returns between IP and PPG is 0.57 over 3 years, 0.70 over 1 year and 0.56 over 5 years.
Is PPG a good diversifier for IP?
Only partially. A correlation of 0.57 means IP and PPG share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.57 mean?
On the −1 to +1 scale, 0.57 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/ip-vs-ppg.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/ip-vs-ppg/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: IP correlations · PPG correlations
