LOW vs MCD: Correlation
How closely do Lowe's (LOW) and McDonald's (MCD) trade together? Their weekly returns over three years give a correlation of 0.45, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are LOW and MCD?
Over the past 3 years, LOW and MCD moved with a correlation of 0.45, which is moderate. Recent behaviour matches the longer record: 0.42 over 1 year against 0.45 over 3. Over 5 years the correlation is 0.40, and the annualized covariance of weekly returns is 199.8 %².
Among the 46 assets we track against LOW, MCD ranks #24 by 3-year correlation. Their 12-month results are close: -18.4% for LOW against -14.5% for MCD. Across three years, the rolling one-year figure varied moderately, from 0.23 to 0.54.
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.
LOW vs MCD: side by side
| LOW (Lowe's) | MCD (McDonald's) | |
|---|---|---|
| 1-year return | -18.4% | -14.5% |
| 5-year return | +11.1% | +23.3% |
| Volatility (ann.) | 24.8% | 17.8% |
| Beta vs S&P 500 | 0.83 | 0.30 |
| Max drawdown (3Y) | -29.0% | -22.8% |
| Market cap | – | $184.0B |
| P/E (trailing) | 17.8 | 21.7 |
| Dividend yield | 2.31% | 2.75% |
| Sector / category | Consumer Discretionary | Consumer Discretionary |
Year-by-year returns
| Year | LOW | MCD |
|---|---|---|
| 2022 | -21.5% | +0.5% |
| 2023 | +14.0% | +15.1% |
| 2024 | +13.0% | +0.1% |
| 2025 | -0.3% | +7.9% |
| 2026 | -12.9% | -13.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are LOW and MCD good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between LOW and MCD?
Using weekly returns as of 2026-08-27: 0.45 over 3 years, with 0.42 over the last year and 0.40 over 5 years.
Is MCD a good diversifier for LOW?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.45 mean?
On the −1 to +1 scale, 0.45 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/low-vs-mcd.json
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Related comparisons
Hubs: LOW correlations · MCD correlations
