KBH vs MTH: Correlation
KB Home (KBH) and Meritage Homes Corporation (MTH) show a very strong relationship: their 3-year correlation of weekly returns is 0.89.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are KBH and MTH?
Across a 3-year window, the weekly returns of KBH and MTH correlate at 0.89, very strong, meaning they move nearly in lockstep. The relationship has been stable: the 1-year correlation (0.90) sits close to the 3-year figure. Stretching to 5 years gives 0.88, with an annualized covariance of 1246.2 %².
Few assets follow KBH as closely as MTH, which ranks #2 of 27 tracked partners. The trailing year gives MTH the advantage: -12.1% versus -7.0%, a 5.1-point spread.
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.
KBH vs MTH: side by side
| KBH (KB Home) | MTH (Meritage Homes Corporation) | |
|---|---|---|
| 1-year return | -12.1% | -7.0% |
| 5-year return | +37.4% | +34.0% |
| Volatility (ann.) | 35.8% | 39.0% |
| Beta vs S&P 500 | 0.78 | 0.90 |
| Max drawdown (3Y) | -48.3% | -43.0% |
| Market cap | – | $4.6B |
| P/E (trailing) | 13.6 | 15.0 |
| Dividend yield | 1.78% | 2.52% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | KBH | MTH |
|---|---|---|
| 2022 | -27.5% | -24.5% |
| 2023 | +99.0% | +90.5% |
| 2024 | +6.6% | -10.2% |
| 2025 | -12.7% | -12.3% |
| 2026 | -1.7% | +8.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are KBH and MTH good diversifiers for each other?
No: a correlation of 0.89 means KBH and MTH tend to fall together, which is precisely when diversification is supposed to help.
FAQ
What is the correlation between KBH and MTH?
As of 2026-08-27, the correlation of weekly returns between KBH and MTH is 0.89 over 3 years, 0.90 over 1 year and 0.88 over 5 years.
Is MTH a good diversifier for KBH?
No: a correlation of 0.89 means KBH and MTH tend to fall together, which is precisely when diversification is supposed to help.
What does a correlation of 0.89 mean?
A reading of 0.89 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/kbh-vs-mth.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/kbh-vs-mth/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: KBH correlations · MTH correlations
