MRK vs NVS: Correlation
Measured on weekly returns over the past three years, Merck & Co. (MRK) and Novartis AG (NVS) carry a correlation of 0.51, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are MRK and NVS?
Across a 3-year window, the weekly returns of MRK and NVS correlate at 0.51, moderate. The link has tightened recently: the 1-year correlation (0.65) runs above the 3-year figure (0.51). Stretching to 5 years gives 0.48, with an annualized covariance of 281.3 %².
By 3-year correlation, NVS places #7 of the 34 assets tracked against MRK. The last year tells two different stories: MRK led by 58.2 percentage points, +83.8% for MRK against +25.6% for NVS.
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.
MRK vs NVS: side by side
| MRK (Merck & Co.) | NVS (Novartis AG) | |
|---|---|---|
| 1-year return | +83.8% | +25.6% |
| 5-year return | +128.5% | +103.5% |
| Volatility (ann.) | 27.9% | 19.6% |
| Beta vs S&P 500 | 0.28 | 0.25 |
| Max drawdown (3Y) | -43.4% | -20.0% |
| Market cap | $368.9B | $293.9B |
| P/E (trailing) | 121.6 | 23.4 |
| Dividend yield | 2.17% | 2.96% |
| Sector / category | Health Care | US Listed |
Year-by-year returns
| Year | MRK | NVS |
|---|---|---|
| 2022 | +49.4% | +8.1% |
| 2023 | +1.0% | +16.1% |
| 2024 | -6.3% | +0.0% |
| 2025 | +9.8% | +47.0% |
| 2026 | +44.1% | +15.6% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are MRK and NVS good diversifiers for each other?
Somewhat, no more. With 0.51 correlation, most large moves hit both names, and the diversification benefit stays modest.
FAQ
What is the correlation between MRK and NVS?
Using weekly returns as of 2026-08-27: 0.51 over 3 years, with 0.65 over the last year and 0.48 over 5 years.
Is NVS a good diversifier for MRK?
Somewhat, no more. With 0.51 correlation, most large moves hit both names, and the diversification benefit stays modest.
What does a correlation of 0.51 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/mrk-vs-nvs.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/mrk-vs-nvs/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: MRK correlations · NVS correlations
