KO vs MCD: Correlation
Coca-Cola Company (The) (KO) and McDonald's (MCD) show a moderate relationship: their 3-year correlation of weekly returns is 0.48.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are KO and MCD?
Across a 3-year window, the weekly returns of KO and MCD correlate at 0.48, moderate. Little has changed lately, as the 1-year reading of 0.45 lands near the 3-year figure. Stretching to 5 years gives 0.57, with an annualized covariance of 132.4 %².
Among the 43 assets we track against KO, MCD ranks #8 by 3-year correlation. Correlation aside, the last 12 months split them widely, with KO ahead by 47.6 points (+33.1% versus -14.5%). The rolling one-year correlation moved between 0.39 and 0.71 over the past three years, a moderate range.
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.
KO vs MCD: side by side
| KO (Coca-Cola Company (The)) | MCD (McDonald's) | |
|---|---|---|
| 1-year return | +33.1% | -14.5% |
| 5-year return | +83.8% | +23.3% |
| Volatility (ann.) | 15.4% | 17.8% |
| Beta vs S&P 500 | 0.11 | 0.30 |
| Max drawdown (3Y) | -15.5% | -22.8% |
| Market cap | $383.2B | $184.0B |
| P/E (trailing) | 27.0 | 21.7 |
| Dividend yield | 2.31% | 2.75% |
| Sector / category | Consumer Staples | Consumer Discretionary |
Year-by-year returns
| Year | KO | MCD |
|---|---|---|
| 2022 | +10.6% | +0.5% |
| 2023 | -4.4% | +15.1% |
| 2024 | +8.9% | +0.1% |
| 2025 | +15.6% | +7.9% |
| 2026 | +29.1% | -13.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are KO and MCD good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.48 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between KO and MCD?
The KO/MCD correlation stands at 0.48 on a 3-year window (1 year: 0.45, 5 years: 0.57), computed from weekly returns as of 2026-08-27.
Is MCD a good diversifier for KO?
Yes, to a useful degree: a correlation of 0.48 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.48 mean?
Correlation ranges from −1 to +1. Values near +1 mean two assets move together, near 0 that they move independently, and negative values that they tend to move in opposite directions. It measures co-movement, not performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/ko-vs-mcd.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/ko-vs-mcd/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: KO correlations · MCD correlations
