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Correlation Analysis

Microsoft Corp vs Home Depot, Inc.

MSFT vs HD

+0.716

Strong positive

When one moves up, the other tends to follow.

MSFT logo

Microsoft Corp

MSFT

Microsoft develops and licenses consumer and enterprise software. It is known for its Windows operating systems and Office productivity suite. The company is organized into three equally sized broad segments: productivity and business processes (legacy Microsoft Office, cloud-based Office 365, Exchange, SharePoint, Skype, LinkedIn, Dynamics), intelligence cloud (infrastructure- and platform-as-a-service offerings Azure, Windows Server OS, SQL Server), and more personal computing (Windows Client, Xbox, Bing search, display advertising, and Surface laptops, tablets, and desktops).

Market cap 2.8T

HD logo

Home Depot, Inc.

HD

Home Depot is the world's largest home improvement specialty retailer, operating 2,359 warehouse-format stores offering more than 30,000 products in store and 1 million products online in the US, Canada, and Mexico. Its stores offer building materials, home improvement products, lawn and garden products, and decor products and provide various services, including home improvement installation services and tool and equipment rentals. The acquisition of Interline Brands in 2015 allowed Home Depot to enter the MRO business, which has been expanded through the tie-up with HD Supply (2020). The 2024 tie-up with SRS will help grow professional demand in roofing, pool, and landscaping projects, while the 2025 purchase of GMS will lift building product sales through 1,250 distribution locations.

Market cap 325.3B

Apr 9, 2021 — Apr 7, 2026Daily1,254 observationsStockStockTechnologyConsumer

Time Series

Rebased to 100

Green: MSFTGray: HD36 of 1,254 points (sampled)

Who Moves First

MSFT leads HD by 6 days

MSFT tends to move before HD.

Best correlation after shifting: +0.717 (13 shifts scanned)

Do They Crash Together?

Correlation by Market Regime

How these series behave when markets are rising, falling, or diverging. A correlation that holds in drawdowns is very different from one that only works in rallies.

Both Rising

-0.149

14 periods · Return correlation when both series rose

Both Falling

+0.347

9 periods · Return correlation when both series fell

Diverging

-0.616

12 periods · Return correlation when series moved apart

R-Squared

51.3%

Share of variance in one series explained by the other.

Trend Agreement

62.5%

How often both series moved in the same direction period-to-period.

Overlap Quality

1,254

Deep shared window — 1,254 usable pairs.

Significance

p < 0.001

95% CI: [0.688, 0.742]

Scatter

XY Regression

208.6250300350400450500549.3270.9280300320340360380400420423.8Microsoft CorpHome Depot, Inc.Data pointsFit (r = 0.716)

Pipeline

Data quality details

Pipeline Summary

1,254 paired observations survived the daily window.

Raw input

1,254

1,254

Normalized

1,254

1,254

Prepared

1,254

1,254

Aligned

1,254

1,254

Invalid removed

0

A: 0 / B: 0

Duplicates removed

0

A: 0 / B: 0

Alignment drops

0

A: 0 / B: 0

Series A

MSFT logo

Microsoft Corp

MSFT

Market cap 2.8T

Stock · 1,254 raw → 1,254 prepared

Series B

HD logo

Home Depot, Inc.

HD

Market cap 325.3B

Stock · 1,254 raw → 1,254 prepared

Sign agreement

100.0%

How often both values share the same sign.

Zero crossings

47

Estimated crossover points between normalized spreads.

Slope

0.3328

Linear regression slope.

Intercept

223.7512

Linear regression intercept.

Related Extremes

Highest and Lowest Correlated

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