PH vs TDG: Correlation
Measured on weekly returns over the past three years, Parker Hannifin (PH) and TransDigm Group (TDG) carry a correlation of 0.40, a moderate link.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PH and TDG?
On 3 years of weekly data the PH/TDG correlation comes out at 0.40, moderate. The past 12 months show a weaker link (0.18) than the 3-year average (0.40). The 5-year figure is 0.57, and annualized covariance runs at 274.8 %².
Within PH's tracked universe of 57 assets, TDG comes in at #46 by 3-year correlation. The last year tells two different stories: PH led by 41.9 percentage points, +32.8% for PH against -9.1% for TDG. Do not treat this figure as fixed: across three years the rolling one-year correlation ranged all the way from 0.15 to 0.74.
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.
PH vs TDG: side by side
| PH (Parker Hannifin) | TDG (TransDigm Group) | |
|---|---|---|
| 1-year return | +32.8% | -9.1% |
| 5-year return | +256.4% | +136.5% |
| Volatility (ann.) | 26.6% | 25.5% |
| Beta vs S&P 500 | 1.16 | 0.91 |
| Max drawdown (3Y) | -26.8% | -25.3% |
| Market cap | $127.5B | $65.6B |
| P/E (trailing) | 36.5 | 36.6 |
| Dividend yield | 0.71% | 0.00% |
| Sector / category | Industrials | Industrials |
Year-by-year returns
| Year | PH | TDG |
|---|---|---|
| 2022 | -6.9% | +1.8% |
| 2023 | +60.8% | +66.6% |
| 2024 | +39.6% | +32.3% |
| 2025 | +39.5% | +12.2% |
| 2026 | +15.5% | -10.8% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are PH and TDG good diversifiers for each other?
A fair diversifier. At 0.40, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between PH and TDG?
The PH/TDG correlation stands at 0.40 on a 3-year window (1 year: 0.18, 5 years: 0.57), computed from weekly returns as of 2026-08-27.
Is TDG a good diversifier for PH?
A fair diversifier. At 0.40, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.40 mean?
On the −1 to +1 scale, 0.40 describes how much the two returns move together: +1 is lockstep, 0 is independence, negative values mean opposite directions. It says nothing about which performed better.
Use this data
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Related comparisons
Hubs: PH correlations · TDG correlations
