SPY vs SWK: Correlation
SPDR S&P 500 ETF Trust (SPY) and Stanley Black & Decker (SWK) show a moderate relationship: their 3-year correlation of weekly returns is 0.49.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are SPY and SWK?
Over the past 3 years, SPY and SWK moved with a correlation of 0.49, which is moderate. The link has loosened recently: the 1-year correlation (0.37) runs below the 3-year figure (0.49). Over 5 years the correlation is 0.54, and the annualized covariance of weekly returns is 249.5 %².
Among the 4755 assets we track against SPY, SWK ranks #506 by 3-year correlation. Their recent paths diverged sharply: over the last 12 months SWK outperformed by 16.4 percentage points (+20.6% for SPY against +37.0% for SWK). Across three years, the rolling one-year figure varied moderately, from 0.33 to 0.71. Risk is not evenly split, since SWK carries 2.4 times the volatility of the other side.
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 SWK: side by side
| SPY (SPDR S&P 500 ETF Trust) | SWK (Stanley Black & Decker) | |
|---|---|---|
| 1-year return | +20.6% | +37.0% |
| 5-year return | +82.4% | -39.1% |
| Volatility (ann.) | 14.5% | 35.4% |
| Beta vs S&P 500 | 1.00 | 1.19 |
| Max drawdown (3Y) | -18.8% | -48.3% |
| Market cap | – | $15.0B |
| P/E (trailing) | – | 24.4 |
| Dividend yield | 1.01% | 3.33% |
| Expense ratio | 0.09% | – |
| Assets under management | $795.3B | – |
| Sector / category | ETF · US Large Cap | Industrials |
SPY, State Street Investment Management's Large Blend fund, carries $795.3B under management, 504 holdings, a 0.09% expense ratio, a 1.01% trailing dividend yield.
Year-by-year returns
| Year | SPY | SWK |
|---|---|---|
| 2022 | -18.2% | -58.9% |
| 2023 | +26.2% | +35.6% |
| 2024 | +24.9% | -15.2% |
| 2025 | +17.7% | -3.2% |
| 2026 | +13.7% | +36.5% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are SPY and SWK good diversifiers for each other?
A fair diversifier. At 0.49, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
FAQ
What is the correlation between SPY and SWK?
The SPY/SWK correlation stands at 0.49 on a 3-year window (1 year: 0.37, 5 years: 0.54), computed from weekly returns as of 2026-08-27.
Is SWK a good diversifier for SPY?
A fair diversifier. At 0.49, enough of each asset's movement is its own that the pair has smoothed outcomes historically.
What does a correlation of 0.49 mean?
On the −1 to +1 scale, 0.49 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-swk.json
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The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: SPY correlations · SWK correlations
