STLD vs VMC: Correlation
How closely do Steel Dynamics (STLD) and Vulcan Materials Company (VMC) trade together? Their weekly returns over three years give a correlation of 0.45, which is moderate.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are STLD and VMC?
Over the past 3 years, STLD and VMC moved with a correlation of 0.45, which is moderate. Lately the two have drifted apart, with the 1-year correlation at 0.30 versus 0.45 over 3 years. Over 5 years the correlation is 0.45, and the annualized covariance of weekly returns is 387.6 %².
By 3-year correlation, VMC places #19 of the 33 assets tracked against STLD. Their recent paths diverged sharply: over the last 12 months STLD outperformed by 85.0 percentage points (+79.8% for STLD against -5.2% for VMC). The rolling one-year correlation moved between 0.27 and 0.65 over the past three years, a moderate range.
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.
STLD vs VMC: side by side
| STLD (Steel Dynamics) | VMC (Vulcan Materials Company) | |
|---|---|---|
| 1-year return | +79.8% | -5.2% |
| 5-year return | +262.0% | +53.2% |
| Volatility (ann.) | 34.5% | 25.2% |
| Beta vs S&P 500 | 1.13 | 0.82 |
| Max drawdown (3Y) | -28.7% | -24.4% |
| Market cap | $33.8B | $35.5B |
| P/E (trailing) | 21.4 | 32.3 |
| Dividend yield | 0.87% | 0.74% |
| Sector / category | Materials | Materials |
Year-by-year returns
| Year | STLD | VMC |
|---|---|---|
| 2022 | +60.1% | -14.9% |
| 2023 | +22.8% | +30.8% |
| 2024 | -2.0% | +14.1% |
| 2025 | +50.7% | +11.7% |
| 2026 | +39.9% | -3.4% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are STLD and VMC good diversifiers for each other?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
FAQ
What is the correlation between STLD and VMC?
Using weekly returns as of 2026-08-27: 0.45 over 3 years, with 0.30 over the last year and 0.45 over 5 years.
Is VMC a good diversifier for STLD?
Yes, to a useful degree: a correlation of 0.45 leaves real independence between the two, which historically damped combined volatility.
What does a correlation of 0.45 mean?
On the −1 to +1 scale, 0.45 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/stld-vs-vmc.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/stld-vs-vmc/)
The core API is free. Terms and every endpoint in the API documentation.
Related comparisons
Hubs: STLD correlations · VMC correlations
