MLM vs WMS: Correlation
How closely do Martin Marietta Materials (MLM) and Advanced Drainage Systems, Inc. (WMS) trade together? Their weekly returns over three years give a correlation of 0.63, which is strong.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MLM and WMS?
Over the past 3 years, MLM and WMS moved with a correlation of 0.63, which is strong. The past 12 months show a tighter link (0.76) than the 3-year average (0.63). Over 5 years the correlation is 0.58, and the annualized covariance of weekly returns is 557.8 %².
Among the 36 assets we track against MLM, WMS ranks #8 by 3-year correlation. On 12-month performance WMS holds a 9.4-point edge, -13.8% against -4.4%. Note the risk asymmetry: WMS runs 1.6 times the annualized volatility of the other leg, so equal-weighting the two is not an equal-risk position.
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.
MLM vs WMS: side by side
| MLM (Martin Marietta Materials) | WMS (Advanced Drainage Systems, Inc.) | |
|---|---|---|
| 1-year return | -13.8% | -4.4% |
| 5-year return | +42.4% | +22.1% |
| Volatility (ann.) | 23.9% | 37.1% |
| Beta vs S&P 500 | 0.85 | 1.31 |
| Max drawdown (3Y) | -26.8% | -45.8% |
| Market cap | $37.5B | $10.5B |
| P/E (trailing) | 34.4 | 23.6 |
| Dividend yield | 0.62% | 0.52% |
| Sector / category | Materials | US Listed |
Year-by-year returns
| Year | MLM | WMS |
|---|---|---|
| 2022 | -22.7% | -39.5% |
| 2023 | +48.6% | +72.4% |
| 2024 | +4.1% | -17.5% |
| 2025 | +21.3% | +26.0% |
| 2026 | -14.9% | -3.9% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MLM and WMS good diversifiers for each other?
Somewhat, no more. With 0.63 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between MLM and WMS?
Using weekly returns as of 2026-08-27: 0.63 over 3 years, with 0.76 over the last year and 0.58 over 5 years.
Is WMS a good diversifier for MLM?
Somewhat, no more. With 0.63 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.63 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/mlm-vs-wms.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/mlm-vs-wms/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: MLM correlations · WMS correlations
