PEP vs RDDT: Correlation
PepsiCo (PEP) and Reddit (RDDT) show a negative relationship: their 3-year correlation of weekly returns is -0.22.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PEP and RDDT?
On 3 years of weekly data the PEP/RDDT correlation comes out at -0.22, negative, meaning they tend to move in opposite directions. The link has loosened recently: the 1-year correlation (-0.38) runs below the 3-year figure (-0.22). The 5-year figure is n/a, and annualized covariance runs at -335.0 %².
Within PEP's tracked universe of 38 assets, RDDT comes in at #33 by 3-year correlation. The last year tells two different stories: PEP led by 25.5 percentage points, -1.6% for PEP against -27.1% for RDDT. The link looks structural: the rolling one-year correlation barely moved, holding between -0.33 and -0.10. Note the risk asymmetry: RDDT runs 3.9 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.
PEP vs RDDT: side by side
| PEP (PepsiCo) | RDDT (Reddit) | |
|---|---|---|
| 1-year return | -1.6% | -27.1% |
| 5-year return | +4.9% | n/a |
| Volatility (ann.) | 19.1% | 75.2% |
| Beta vs S&P 500 | 0.13 | 2.59 |
| Max drawdown (3Y) | -27.5% | -61.4% |
| Market cap | $190.9B | $29.6B |
| P/E (trailing) | 18.6 | 36.1 |
| Dividend yield | 4.04% | 0.00% |
| Sector / category | Consumer Staples | Communication Services |
Year-by-year returns
| Year | PEP | RDDT |
|---|---|---|
| 2022 | +6.8% | – |
| 2023 | -3.3% | – |
| 2024 | -7.6% | – |
| 2025 | -1.8% | +40.6% |
| 2026 | -0.7% | -33.0% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are PEP and RDDT good diversifiers for each other?
Yes. With a correlation of -0.22, PEP and RDDT have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
FAQ
What is the correlation between PEP and RDDT?
As of 2026-08-27, the correlation of weekly returns between PEP and RDDT is -0.22 over 3 years, -0.38 over 1 year and n/a over 5 years.
Is RDDT a good diversifier for PEP?
Yes. With a correlation of -0.22, PEP and RDDT have moved largely independently, which makes them a genuinely diversifying pair by historical standards.
What does a correlation of -0.22 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/pep-vs-rddt.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/pep-vs-rddt/)
No key needed, free to use. Full endpoint list in the API documentation.
Related comparisons
Hubs: PEP correlations · RDDT correlations
