AAP vs. SCHD

Last updated Jun 4, 2026

AAP (Advance Auto Parts, Inc.) is a stock, while SCHD (Schwab U.S. Dividend Equity ETF) is Dividend fund tracking the Dow Jones U.S. Dividend 100 Index. Over the past 10 years, AAP returned -8.00%/yr vs 12.77%/yr for SCHD. At a 0.46 correlation, their price movements are largely independent.

Performance

AAP vs. SCHD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Advance Auto Parts, Inc. (AAP) and Schwab U.S. Dividend Equity ETF (SCHD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, AAP achieves a 46.86% return, which is significantly higher than SCHD's 19.01% return. Over the past 10 years, AAP has underperformed SCHD with an annualized return of -8.00%, while SCHD has yielded a comparatively higher 12.77% annualized return.

AAP

• 1D: -0.92%
• 1M: -0.45%
• YTD: 46.86%
• 6M: 7.82%
• 1Y: 12.08%
• 3Y*: -3.55%
• 5Y*: -19.67%
• 10Y*: -8.00%

SCHD

• 1D: 0.00%
• 1M: 2.70%
• YTD: 19.01%
• 6M: 18.63%
• 1Y: 27.16%
• 3Y*: 15.09%
• 5Y*: 8.36%
• 10Y*: 12.77%

*Multi-year figures are annualized to reflect compound growth (CAGR)

AAP vs. SCHD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
AAP Advance Auto Parts, Inc.	46.86%	-15.01%	-21.10%	-57.62%	-36.50%	54.68%	-0.90%	1.87%	58.22%	-40.93%
SCHD Schwab U.S. Dividend Equity ETF	19.01%	4.34%	11.66%	4.54%	-3.26%	29.87%	15.03%	27.29%	-5.56%	20.85%

Correlation

The correlation between AAP and SCHD is 0.40, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.40
Correlation (3Y) Calculated over the trailing 3-year period	0.43
Correlation (5Y) Calculated over the trailing 5-year period	0.48
Correlation (10Y) Calculated over the trailing 10-year period	0.46
Correlation (All Time) Calculated using the full available price history since Oct 21, 2011	0.46

Return for Risk

AAP vs. SCHD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

AAP

AAP Risk / Return Rank: 47
AAP Sharpe Ratio Rank: 49
AAP Sortino Ratio Rank: 47
AAP Omega Ratio Rank: 45
AAP Calmar Ratio Rank: 47
AAP Martin Ratio Rank: 48

SCHD

SCHD Risk / Return Rank: 80
SCHD Sharpe Ratio Rank: 75
SCHD Sortino Ratio Rank: 84
SCHD Omega Ratio Rank: 73
SCHD Calmar Ratio Rank: 91
SCHD Martin Ratio Rank: 75

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

AAP vs. SCHD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Advance Auto Parts, Inc. (AAP) and Schwab U.S. Dividend Equity ETF (SCHD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	AAP	SCHD	Difference
Sharpe ratio Return per unit of total volatility	0.23	2.49	-2.27
Sortino ratio Return per unit of downside risk	0.73	3.87	-3.13
Omega ratio Gain probability vs. loss probability	1.08	1.45	-0.36
Calmar ratio Return relative to maximum drawdown	0.29	5.91	-5.62
Martin ratio Return relative to average drawdown	0.61	14.53	-13.92
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

AAP vs. SCHD - Sharpe Ratio Comparison

The current AAP Sharpe Ratio is 0.23, which is lower than the SCHD Sharpe Ratio of 2.49. The chart below compares the historical Sharpe Ratios of AAP and SCHD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	AAP	SCHD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	0.23	2.49	-2.27
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	-0.37	0.58	-0.96
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	-0.18	0.77	-0.94
Sharpe Ratio (All Time) Calculated using the full available price history	0.18	0.86	-0.68

Drawdowns

AAP vs. SCHD - Drawdown Comparison

The maximum AAP drawdown since its inception was -86.41%, which is greater than SCHD's maximum drawdown of -33.37%. Use the drawdown chart below to compare losses from any high point for AAP and SCHD.

Drawdown Indicators

	AAP	SCHD	Difference
Max Drawdown Largest peak-to-trough decline	-86.41%	-33.37%	-53.04%
Max Drawdown (1Y) Largest decline over 1 year	-41.44%	-4.61%	-36.83%
Max Drawdown (3Y) Largest decline over 3 years	-64.25%	-16.13%	-48.12%
Max Drawdown (5Y) Largest decline over 5 years	-86.41%	-16.85%	-69.56%
Max Drawdown (10Y) Largest decline over 10 years	-86.41%	-33.37%	-53.04%
Current Drawdown Current decline from peak	-73.69%	-1.40%	-72.29%
Average Drawdown Average peak-to-trough decline	-23.75%	-3.32%	-20.43%
Ulcer Index Depth and duration of drawdowns from previous peaks	19.87%	1.88%	+17.99%

Volatility

AAP vs. SCHD - Volatility Comparison

Advance Auto Parts, Inc. (AAP) has a higher volatility of 22.24% compared to Schwab U.S. Dividend Equity ETF (SCHD) at 2.66%. This indicates that AAP's price experiences larger fluctuations and is considered to be riskier than SCHD based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	AAP	SCHD	Difference
Volatility (1M) Calculated over the trailing 1-month period	22.24%	2.66%	+19.58%
Volatility (6M) Calculated over the trailing 6-month period	38.68%	7.66%	+31.02%
Volatility (1Y) Calculated over the trailing 1-year period	53.67%	10.96%	+42.71%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	53.00%	14.38%	+38.62%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	45.07%	16.72%	+28.35%

Dividends

AAP vs. SCHD - Dividend Comparison

AAP's dividend yield for the trailing twelve months is around 1.75%, less than SCHD's 3.26% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
AAP Advance Auto Parts, Inc.	1.75%	2.54%	2.11%	3.28%	4.08%	1.35%	0.63%	0.15%	0.15%	0.24%	0.14%	0.16%
SCHD Schwab U.S. Dividend Equity ETF	3.26%	3.82%	3.64%	3.49%	3.39%	2.78%	3.16%	2.98%	3.06%	2.63%	2.89%	2.97%

Frequently Asked Questions

Can I hold both AAP and SCHD in my portfolio?

AAP and SCHD have a correlation of 0.40, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, AAP or SCHD?

AAP has higher volatility (22.24%) compared to SCHD (2.66%). In terms of maximum drawdown, AAP dropped -86.41% vs SCHD's -33.37%.

Which has better risk-adjusted returns?

SCHD currently has the higher Sharpe Ratio (2.49 vs 0.23), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.