LMND vs MDGL: Correlation
Lemonade, Inc. (LMND) and Madrigal Pharmaceuticals, Inc. (MDGL) show a moderate relationship: their 3-year correlation of weekly returns is 0.43.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are LMND and MDGL?
Over the past 3 years, LMND and MDGL moved with a correlation of 0.43, which is moderate. The relationship has been stable: the 1-year correlation (0.35) sits close to the 3-year figure. Over 5 years the correlation is 0.07, and the annualized covariance of weekly returns is 2170.2 %².
Within LMND's tracked universe of 11 assets, MDGL comes in at #6 by 3-year correlation. The last year tells two different stories: MDGL led by 28.0 percentage points, -0.1% for LMND against +27.9% for MDGL.
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.
LMND vs MDGL: side by side
| LMND (Lemonade, Inc.) | MDGL (Madrigal Pharmaceuticals, Inc.) | |
|---|---|---|
| 1-year return | -0.1% | +27.9% |
| 5-year return | -28.5% | +554.5% |
| Volatility (ann.) | 84.2% | 60.2% |
| Beta vs S&P 500 | 2.01 | 0.71 |
| Max drawdown (3Y) | -51.5% | -38.8% |
| Market cap | $4.2B | $12.6B |
| P/E (trailing) | – | – |
| Dividend yield | 0.00% | 0.00% |
| Sector / category | US Listed | US Listed |
Year-by-year returns
| Year | LMND | MDGL |
|---|---|---|
| 2022 | -67.5% | +242.5% |
| 2023 | +17.9% | -20.3% |
| 2024 | +127.4% | +33.4% |
| 2025 | +94.1% | +88.7% |
| 2026 | -24.2% | -6.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are LMND and MDGL good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.43 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between LMND and MDGL?
Using weekly returns as of 2026-08-27: 0.43 over 3 years, with 0.35 over the last year and 0.07 over 5 years.
Is MDGL a good diversifier for LMND?
Yes, to a useful degree: a correlation of 0.43 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.43 mean?
A reading of 0.43 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
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Related comparisons
Hubs: LMND correlations · MDGL correlations
