ITW vs MKC: Correlation
Measured on weekly returns over the past three years, Illinois Tool Works (ITW) and McCormick & Company (MKC) carry a correlation of 0.46, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ITW and MKC?
Across a 3-year window, the weekly returns of ITW and MKC correlate at 0.46, moderate. Lately the two have moved closer together, with the 1-year correlation at 0.59 versus 0.46 over 3 years. Stretching to 5 years gives 0.43, with an annualized covariance of 231.6 %².
Among the 81 assets we track against ITW, MKC ranks #61 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months ITW outperformed by 28.5 percentage points (+8.2% for ITW against -20.3% for MKC). Across three years, the rolling one-year figure varied moderately, from 0.19 to 0.66.
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.
ITW vs MKC: side by side
| ITW (Illinois Tool Works) | MKC (McCormick & Company) | |
|---|---|---|
| 1-year return | +8.2% | -20.3% |
| 5-year return | +36.1% | -28.5% |
| Volatility (ann.) | 19.0% | 26.5% |
| Beta vs S&P 500 | 0.64 | 0.24 |
| Max drawdown (3Y) | -20.6% | -44.3% |
| Market cap | $80.2B | $14.7B |
| P/E (trailing) | 25.8 | 9.2 |
| Dividend yield | 2.26% | 3.38% |
| Sector / category | Industrials | Consumer Staples |
Year-by-year returns
| Year | ITW | MKC |
|---|---|---|
| 2022 | -8.5% | -12.7% |
| 2023 | +21.6% | -15.7% |
| 2024 | -1.0% | +14.0% |
| 2025 | -0.4% | -8.3% |
| 2026 | +15.8% | -18.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ITW and MKC good diversifiers for each other?
Reasonably. At 0.46, ITW and MKC keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between ITW and MKC?
The ITW/MKC correlation stands at 0.46 on a 3-year window (1 year: 0.59, 5 years: 0.43), computed from weekly returns as of 2026-08-27.
Is MKC a good diversifier for ITW?
Reasonably. At 0.46, ITW and MKC keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.46 mean?
On the −1 to +1 scale, 0.46 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/itw-vs-mkc.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/itw-vs-mkc/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: ITW correlations · MKC correlations
