LOCO vs QQQ: Correlation
Measured on weekly returns over the past three years, El Pollo Loco Holdings, Inc. (LOCO) and Invesco QQQ Trust (QQQ) carry a correlation of 0.31, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are LOCO and QQQ?
Across a 3-year window, the weekly returns of LOCO and QQQ correlate at 0.31, moderate. The past 12 months show a weaker link (0.07) than the 3-year average (0.31). Stretching to 5 years gives 0.31, with an annualized covariance of 207.0 %².
QQQ is close to the least connected end of LOCO's tracked universe, ranking #9 of 12. Correlation aside, the last 12 months split them widely, with LOCO ahead by 16.0 points (+42.3% versus +26.3%). Risk is not evenly split, since LOCO carries 1.7 times the volatility of the other side.
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.
LOCO vs QQQ: side by side
| LOCO (El Pollo Loco Holdings, Inc.) | QQQ (Invesco QQQ Trust) | |
|---|---|---|
| 1-year return | +42.3% | +26.3% |
| 5-year return | -3.0% | +95.4% |
| Volatility (ann.) | 33.9% | 19.6% |
| Beta vs S&P 500 | 0.82 | 1.28 |
| Max drawdown (3Y) | -35.9% | -22.8% |
| Market cap | $0.5B | – |
| P/E (trailing) | 13.3 | – |
| Dividend yield | 0.00% | 0.44% |
| Expense ratio | – | 0.18% |
| Assets under management | – | $452.8B |
| Sector / category | US Listed | ETF · US Growth & Tech |
QQQ is a Large Growth fund from Invesco: $452.8B under management, 104 holdings, a 0.18% expense ratio, a 0.44% trailing dividend yield.
Year-by-year returns
| Year | LOCO | QQQ |
|---|---|---|
| 2022 | -19.0% | -32.6% |
| 2023 | -11.4% | +54.9% |
| 2024 | +30.8% | +25.6% |
| 2025 | -9.4% | +20.8% |
| 2026 | +45.3% | +17.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are LOCO and QQQ good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.31 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between LOCO and QQQ?
As of 2026-08-27, the correlation of weekly returns between LOCO and QQQ is 0.31 over 3 years, 0.07 over 1 year and 0.31 over 5 years.
Is QQQ a good diversifier for LOCO?
Yes, to a useful degree: a correlation of 0.31 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.31 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/loco-vs-qqq.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/loco-vs-qqq/)
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Related comparisons
Hubs: LOCO correlations · QQQ correlations
