PANW vs QQQ: Correlation
Palo Alto Networks (PANW) and Invesco QQQ Trust (QQQ) show a moderate relationship: their 3-year correlation of weekly returns is 0.48.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PANW and QQQ?
On 3 years of weekly data the PANW/QQQ correlation comes out at 0.48, moderate. Recent behaviour matches the longer record: 0.42 over 1 year against 0.48 over 3. The 5-year figure is 0.51, and annualized covariance runs at 395.6 %².
Within PANW's tracked universe of 30 assets, QQQ comes in at #16 by 3-year correlation. Correlation aside, the last 12 months split them widely, with PANW ahead by 77.8 points (+104.1% versus +26.3%). The rolling one-year correlation moved between 0.38 and 0.74 over the past three years, a moderate range. One caveat on sizing: PANW is 2.1 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
PANW vs QQQ: side by side
| PANW (Palo Alto Networks) | QQQ (Invesco QQQ Trust) | |
|---|---|---|
| 1-year return | +104.1% | +26.3% |
| 5-year return | +400.7% | +95.4% |
| Volatility (ann.) | 42.0% | 19.6% |
| Beta vs S&P 500 | 1.32 | 1.28 |
| Max drawdown (3Y) | -36.0% | -22.8% |
| Market cap | $312.0B | – |
| P/E (trailing) | 294.5 | – |
| Dividend yield | 0.00% | 0.44% |
| Expense ratio | – | 0.18% |
| Assets under management | – | $452.8B |
| Sector / category | Information Technology | 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 | PANW | QQQ |
|---|---|---|
| 2022 | -24.8% | -32.6% |
| 2023 | +111.3% | +54.9% |
| 2024 | +23.4% | +25.6% |
| 2025 | +1.2% | +20.8% |
| 2026 | +107.8% | +17.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Fund exposure
PANW represents 1.23% of QQQ's portfolio, so part of any move in QQQ is PANW itself, and the correlation between them is partly mechanical.
Are PANW and QQQ good diversifiers for each other?
Reasonably. At 0.48, PANW and QQQ keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
FAQ
What is the correlation between PANW and QQQ?
Using weekly returns as of 2026-08-27: 0.48 over 3 years, with 0.42 over the last year and 0.51 over 5 years.
Is QQQ a good diversifier for PANW?
Reasonably. At 0.48, PANW and QQQ keep a meaningful degree of independence, and combining them has historically reduced portfolio volatility.
What does a correlation of 0.48 mean?
A reading of 0.48 sits on a scale from −1 (opposite moves) through 0 (unrelated) to +1 (identical moves). Correlation captures direction, not magnitude or performance.
Use this data
$ curl https://www.pairbook.io/api/v1/pairs/panw-vs-qqq.json
Embed this badge (it refreshes with the data), with attribution:
[](https://www.pairbook.io/pair/panw-vs-qqq/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: PANW correlations · QQQ correlations
