PWR vs SMH: Correlation
How closely do Quanta Services (PWR) and VanEck Semiconductor ETF (SMH) trade together? Their weekly returns over three years give a correlation of 0.56, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are PWR and SMH?
Over the past 3 years, PWR and SMH moved with a correlation of 0.56, which is moderate. The past 12 months show a weaker link (0.32) than the 3-year average (0.56). Over 5 years the correlation is 0.51, and the annualized covariance of weekly returns is 637.3 %².
Among the 33 assets we track against PWR, SMH ranks #15 by 3-year correlation. Correlation aside, the last 12 months split them widely, with SMH ahead by 30.0 points (+63.1% versus +93.1%). On a rolling one-year basis the correlation drifted between 0.27 and 0.73, a moderate band.
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.
PWR vs SMH: side by side
| PWR (Quanta Services) | SMH (VanEck Semiconductor ETF) | |
|---|---|---|
| 1-year return | +63.1% | +93.1% |
| 5-year return | +506.1% | +332.8% |
| Volatility (ann.) | 33.9% | 33.7% |
| Beta vs S&P 500 | 1.29 | 1.91 |
| Max drawdown (3Y) | -33.9% | -35.7% |
| Market cap | $93.5B | – |
| P/E (trailing) | 70.4 | – |
| Dividend yield | 0.07% | – |
| Sector / category | Industrials | ETF · Thematic |
Year-by-year returns
| Year | PWR | SMH |
|---|---|---|
| 2022 | +24.6% | -33.5% |
| 2023 | +51.7% | +73.4% |
| 2024 | +46.6% | +39.1% |
| 2025 | +33.7% | +49.2% |
| 2026 | +47.4% | +59.1% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are PWR and SMH good diversifiers for each other?
Only partially. A correlation of 0.56 means PWR and SMH share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
FAQ
What is the correlation between PWR and SMH?
The PWR/SMH correlation stands at 0.56 on a 3-year window (1 year: 0.32, 5 years: 0.51), computed from weekly returns as of 2026-08-27.
Is SMH a good diversifier for PWR?
Only partially. A correlation of 0.56 means PWR and SMH share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.56 mean?
On the −1 to +1 scale, 0.56 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
$ curl https://www.pairbook.io/api/v1/pairs/pwr-vs-smh.json
Drop this badge in a README or notebook; it updates with the data:
[](https://www.pairbook.io/pair/pwr-vs-smh/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: PWR correlations · SMH correlations
