SPY vs STM: Correlation
SPDR S&P 500 ETF Trust (SPY) and STMicroelectronics N.V. (STM) show a moderate relationship: their 3-year correlation of weekly returns is 0.50.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SPY and STM?
On 3 years of weekly data the SPY/STM correlation comes out at 0.50, moderate. Little has changed lately, as the 1-year reading of 0.42 lands near the 3-year figure. The 5-year figure is 0.56, and annualized covariance runs at 338.5 %².
Within SPY's tracked universe of 4755 assets, STM comes in at #468 by 3-year correlation. The last year tells two different stories: STM led by 70.4 percentage points, +20.6% for SPY against +91.0% for STM. Note the risk asymmetry: STM runs 3.2 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.
SPY vs STM: side by side
| SPY (SPDR S&P 500 ETF Trust) | STM (STMicroelectronics N.V.) | |
|---|---|---|
| 1-year return | +20.6% | +91.0% |
| 5-year return | +82.4% | +19.4% |
| Volatility (ann.) | 14.5% | 46.5% |
| Beta vs S&P 500 | 1.00 | 1.62 |
| Max drawdown (3Y) | -18.8% | -64.6% |
| Market cap | – | $45.8B |
| P/E (trailing) | – | – |
| Dividend yield | 1.01% | 0.72% |
| Expense ratio | 0.09% | – |
| Assets under management | $795.3B | – |
| Sector / category | ETF · US Large Cap | US Listed |
SPY is a Large Blend fund from State Street Investment Management: $795.3B under management, 504 holdings, a 0.09% expense ratio, a 1.01% trailing dividend yield.
Year-by-year returns
| Year | SPY | STM |
|---|---|---|
| 2022 | -18.2% | -26.8% |
| 2023 | +26.2% | +41.7% |
| 2024 | +24.9% | -49.7% |
| 2025 | +17.7% | +5.3% |
| 2026 | +13.7% | +98.7% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SPY and STM good diversifiers for each other?
To a limited degree. At 0.50 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
FAQ
What is the correlation between SPY and STM?
The SPY/STM correlation stands at 0.50 on a 3-year window (1 year: 0.42, 5 years: 0.56), computed from weekly returns as of 2026-08-27.
Is STM a good diversifier for SPY?
To a limited degree. At 0.50 the two still catch most of the same waves, so the pair smooths returns a little without insulating either from a shared selloff.
What does a correlation of 0.50 mean?
On the −1 to +1 scale, 0.50 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/spy-vs-stm.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/spy-vs-stm/)
Free with attribution; caching and terms are described in the API documentation.
Related comparisons
Hubs: SPY correlations · STM correlations
