TXT vs VTV: Correlation
Textron (TXT) and Vanguard Value ETF (VTV) show a strong relationship: their 3-year correlation of weekly returns is 0.68.
Data as of 2026-08-27 · refreshed every trading day · weekly returns · methodology
How correlated are TXT and VTV?
Over the past 3 years, TXT and VTV moved with a correlation of 0.68, which is strong. Lately the two have drifted apart, with the 1-year correlation at 0.58 versus 0.68 over 3 years. Over 5 years the correlation is 0.69, and the annualized covariance of weekly returns is 206.5 %².
Few assets follow TXT as closely as VTV, which ranks #2 of 39 tracked partners. Correlation aside, the last 12 months split them widely, with VTV ahead by 25.0 points (+0.7% versus +25.7%). The relationship is regime-dependent: the rolling one-year correlation swung between 0.39 and 0.89 over the past three years, so this pair behaves very differently depending on the market environment. One caveat on sizing: TXT is 2.1 times as volatile as the other leg, so an equal-dollar split is far from equal-risk.
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.
TXT vs VTV: side by side
| TXT (Textron) | VTV (Vanguard Value ETF) | |
|---|---|---|
| 1-year return | +0.7% | +25.7% |
| 5-year return | +15.1% | +79.1% |
| Volatility (ann.) | 25.4% | 11.9% |
| Beta vs S&P 500 | 0.89 | 0.65 |
| Max drawdown (3Y) | -37.3% | -14.5% |
| Market cap | $14.2B | – |
| P/E (trailing) | 15.7 | – |
| Dividend yield | 0.10% | 1.86% |
| Expense ratio | – | 0.03% |
| Assets under management | – | $256.4B |
| Sector / category | Industrials | ETF · US Style |
On the fund side, VTV sits in the Large Value category at Vanguard, with $256.4B under management, 308 holdings, a 0.03% expense ratio, a 1.86% trailing dividend yield.
Year-by-year returns
| Year | TXT | VTV |
|---|---|---|
| 2022 | -8.2% | -2.1% |
| 2023 | +13.7% | +9.3% |
| 2024 | -4.8% | +16.0% |
| 2025 | +14.1% | +15.3% |
| 2026 | -5.5% | +19.3% |
Calendar-year price returns; the current year is year-to-date as of the data date above.
Are TXT and VTV good diversifiers for each other?
Only partially. A correlation of 0.68 means TXT and VTV 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 TXT and VTV?
Using weekly returns as of 2026-08-27: 0.68 over 3 years, with 0.58 over the last year and 0.69 over 5 years.
Is VTV a good diversifier for TXT?
Only partially. A correlation of 0.68 means TXT and VTV share most of their swings. Pairing them dampens volatility somewhat, but it will not protect against a common drawdown.
What does a correlation of 0.68 mean?
On the −1 to +1 scale, 0.68 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/txt-vs-vtv.json
Markdown for the live badge, attribution link included:
[](https://www.pairbook.io/pair/txt-vs-vtv/)
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Related comparisons
Hubs: TXT correlations · VTV correlations
