MCO vs TYL: Correlation
Measured on weekly returns over the past three years, Moody's Corporation (MCO) and Tyler Technologies (TYL) carry a correlation of 0.54, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MCO and TYL?
Across a 3-year window, the weekly returns of MCO and TYL correlate at 0.54, moderate. The link has tightened recently: the 1-year correlation (0.66) runs above the 3-year figure (0.54). Stretching to 5 years gives 0.61, with an annualized covariance of 415.1 %².
Within MCO's tracked universe of 53 assets, TYL comes in at #25 by 3-year correlation. The last year tells two different stories: MCO led by 34.7 percentage points, +0.7% for MCO against -34.0% for TYL. This link changes with the market regime, having swung between 0.16 and 0.68 on a rolling one-year basis.
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.
MCO vs TYL: side by side
| MCO (Moody's Corporation) | TYL (Tyler Technologies) | |
|---|---|---|
| 1-year return | +0.7% | -34.0% |
| 5-year return | +39.4% | -22.5% |
| Volatility (ann.) | 25.8% | 29.6% |
| Beta vs S&P 500 | 1.08 | 0.61 |
| Max drawdown (3Y) | -24.7% | -57.4% |
| Market cap | $88.2B | $15.1B |
| P/E (trailing) | 32.7 | 46.3 |
| Dividend yield | 0.77% | 0.00% |
| Sector / category | Financials | Information Technology |
Year-by-year returns
| Year | MCO | TYL |
|---|---|---|
| 2022 | -28.0% | -40.1% |
| 2023 | +41.5% | +29.7% |
| 2024 | +22.2% | +37.9% |
| 2025 | +8.7% | -21.3% |
| 2026 | +0.3% | -18.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MCO and TYL good diversifiers for each other?
To a limited degree. At 0.54 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between MCO and TYL?
The MCO/TYL correlation stands at 0.54 on a 3-year window (1 year: 0.66, 5 years: 0.61), computed from weekly returns as of 2026-08-27.
Is TYL a good diversifier for MCO?
To a limited degree. At 0.54 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.54 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/mco-vs-tyl.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/mco-vs-tyl/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: MCO correlations · TYL correlations
