ITW vs PPG: Correlation
Measured on weekly returns over the past three years, Illinois Tool Works (ITW) and PPG Industries (PPG) carry a correlation of 0.70, a strong link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are ITW and PPG?
Across a 3-year window, the weekly returns of ITW and PPG correlate at 0.70, strong. Little has changed lately, as the 1-year reading of 0.68 lands near the 3-year figure. Stretching to 5 years gives 0.68, with an annualized covariance of 341.2 %².
Among the 81 assets we track against ITW, PPG ranks #7 by 3-year correlation. Twelve-month performance is nearly a tie, at +8.2% for ITW and +3.8% for PPG. The link looks structural: the rolling one-year correlation barely moved, holding between 0.57 and 0.79.
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 PPG: side by side
| ITW (Illinois Tool Works) | PPG (PPG Industries) | |
|---|---|---|
| 1-year return | +8.2% | +3.8% |
| 5-year return | +36.1% | -22.0% |
| Volatility (ann.) | 19.0% | 25.5% |
| Beta vs S&P 500 | 0.64 | 0.90 |
| Max drawdown (3Y) | -20.6% | -37.4% |
| Market cap | $80.2B | $25.2B |
| P/E (trailing) | 25.8 | 16.4 |
| Dividend yield | 2.26% | 2.48% |
| Sector / category | Industrials | Materials |
Year-by-year returns
| Year | ITW | PPG |
|---|---|---|
| 2022 | -8.5% | -25.7% |
| 2023 | +21.6% | +21.2% |
| 2024 | -1.0% | -18.5% |
| 2025 | -0.4% | -12.0% |
| 2026 | +15.8% | +12.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are ITW and PPG good diversifiers for each other?
Only partially. A correlation of 0.70 means ITW 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 ITW and PPG?
The ITW/PPG correlation stands at 0.70 on a 3-year window (1 year: 0.68, 5 years: 0.68), computed from weekly returns as of 2026-08-27.
Is PPG a good diversifier for ITW?
Only partially. A correlation of 0.70 means ITW 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 0.70 mean?
On the −1 to +1 scale, 0.70 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-ppg.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/itw-vs-ppg/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: ITW correlations · PPG correlations
