Correlation Analysis
Microsoft Corp vs TransDigm Group Incorporated
MSFT vs TDG
+0.923
Very strong positive
When one moves up, the other tends to follow.
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
TransDigm Group Incorporated
↗TDG
TransDigm manufactures and services a broad set of specialized parts for commercial and military aircraft. The firm organizes itself in three segments: power and control, airframes, and a small non-aviation segment, which serves mostly off-road vehicles and mining equipment. It operates as an acquisitive holding company that focuses on buying up smaller firms that make proprietary aerospace products with substantial aftermarket demand. TransDigm regularly employs financial leverage to amplify its operating results.
Market cap 67.2B · 16,500 employees
Time Series
Relative Performance
Who Moves First
in sync
MSFT and TDG tend to move at the same time.
After testing 13 timing shifts, the strongest relationship was +0.923 (they moved in the same direction).
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
+0.691
15 periods · Return correlation when both series rose
Both Falling
-0.071
9 periods · Return correlation when both series fell
Diverging
-0.544
11 periods · Return correlation when series moved apart
R-Squared
85.2%
Share of variance in one series explained by the other.
Trend Agreement
63.0%
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: [0.914, 0.931]
Scatter
XY Regression
Pipeline
Data quality details
Pipeline
Data quality details
Pipeline Summary
1,254 paired data points 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
Microsoft Corp
MSFT
Market cap 2.8T
Stock · 1,254 raw → 1,254 prepared
Series B
TransDigm Group Incorporated
TDG
Market cap 67.2B · 16,500 employees
Stock · 1,254 raw → 1,254 prepared
Sign agreement
100.0%
How often both values share the same sign.
Zero crossings
7
Estimated crossover points between normalized spreads.
Slope
3.6116
Linear regression slope.
Intercept
-321.4646
Linear regression intercept.
Related Extremes
Highest and Lowest Correlated
Saved 7 hours ago · ID: stock-msft-vs-stock-tdg-daily-20260408-idrkmt