NSC vs. XLI

Last updated Jun 23, 2026

NSC (Norfolk Southern Corporation) is a stock, while XLI (Industrial Select Sector SPDR Fund) is Industrials Equities fund tracking the Industrial Select Sector Index. Over the past 10 years, NSC returned 16.27%/yr vs 14.79%/yr for XLI. A 0.65 correlation means they provide meaningful diversification when combined.

Performance

NSC vs. XLI - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Norfolk Southern Corporation (NSC) and Industrial Select Sector SPDR Fund (XLI). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, NSC achieves a 6.27% return, which is significantly lower than XLI's 17.82% return. Over the past 10 years, NSC has outperformed XLI with an annualized return of 16.27%, while XLI has yielded a comparatively lower 14.79% annualized return.

NSC

• 1D: 1.36%
• 1M: -3.29%
• YTD: 6.27%
• 6M: 5.22%
• 1Y: 22.37%
• 3Y*: 14.21%
• 5Y*: 5.12%
• 10Y*: 16.27%

XLI

• 1D: 0.74%
• 1M: 6.10%
• YTD: 17.82%
• 6M: 16.37%
• 1Y: 29.73%
• 3Y*: 22.49%
• 5Y*: 14.10%
• 10Y*: 14.79%

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

NSC vs. XLI - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
NSC Norfolk Southern Corporation	6.27%	25.65%	1.55%	-1.63%	-15.59%	27.26%	24.76%	32.39%	5.22%	36.85%
XLI Industrial Select Sector SPDR Fund	17.82%	19.35%	17.31%	18.13%	-5.57%	21.08%	10.91%	29.08%	-13.25%	23.98%

Correlation

The correlation between NSC and XLI is 0.48, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.48
Correlation (3Y) Calculated over the trailing 3-year period	0.60
Correlation (5Y) Calculated over the trailing 5-year period	0.66
Correlation (10Y) Calculated over the trailing 10-year period	0.70
Correlation (All Time) Calculated using the full available price history since Dec 22, 1998	0.65

The correlation between NSC and XLI shifts across timeframes, from 0.48 (1 year) to 0.70 (10 years), reflecting how their relationship changes across market environments.

Return for Risk

NSC vs. XLI — Risk / Return Rank

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

NSC

NSC Risk / Return Rank: 73
NSC Sharpe Ratio Rank: 75
NSC Sortino Ratio Rank: 71
NSC Omega Ratio Rank: 71
NSC Calmar Ratio Rank: 73
NSC Martin Ratio Rank: 77

XLI

XLI Risk / Return Rank: 54
XLI Sharpe Ratio Rank: 57
XLI Sortino Ratio Rank: 56
XLI Omega Ratio Rank: 52
XLI Calmar Ratio Rank: 51
XLI Martin Ratio Rank: 57

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.

NSC vs. XLI - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Norfolk Southern Corporation (NSC) and Industrial Select Sector SPDR Fund (XLI). 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.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.

	NSC	XLI	Difference
Sharpe ratio: Return per unit of total volatility	1.12	1.84	-0.72
Sortino ratio: Return per unit of downside risk	1.71	2.61	-0.90
Omega ratio: Gain probability vs. loss probability	1.22	1.32	-0.09
Calmar ratio: Return relative to maximum drawdown	1.80	2.45	-0.64
Martin ratio: Return relative to average drawdown	5.25	9.64	-4.39

NSC vs. XLI - Sharpe Ratio Comparison

The current NSC Sharpe Ratio is 1.12, which is lower than the XLI Sharpe Ratio of 1.84. The chart below compares the historical Sharpe Ratios of NSC and XLI, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Drawdowns

NSC vs. XLI - Drawdown Comparison

The maximum NSC drawdown since its inception was -67.74%, which is greater than XLI's maximum drawdown of -62.26%. Use the drawdown chart below to compare losses from any high point for NSC and XLI.

Drawdown Indicators

	NSC	XLI	Difference
Max Drawdown Largest peak-to-trough decline	-67.74%	-62.26%	-5.48%
Max Drawdown (1Y) Largest decline over 1 year	-12.47%	-12.21%	-0.26%
Max Drawdown (3Y) Largest decline over 3 years	-25.11%	-18.49%	-6.62%
Max Drawdown (5Y) Largest decline over 5 years	-35.64%	-21.64%	-14.00%
Max Drawdown (10Y) Largest decline over 10 years	-44.42%	-42.33%	-2.09%
Current Drawdown Current decline from peak	-6.60%	0.00%	-6.60%
Average Drawdown Average peak-to-trough decline	-15.13%	-9.19%	-5.94%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.27%	3.09%	+1.18%

Volatility

NSC vs. XLI - Volatility Comparison

Norfolk Southern Corporation (NSC) has a higher volatility of 8.20% compared to Industrial Select Sector SPDR Fund (XLI) at 5.80%. This indicates that NSC's price experiences larger fluctuations and is considered to be riskier than XLI based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	NSC	XLI	Difference
Volatility (1M) Calculated over the trailing 1-month period	8.20%	5.80%	+2.40%
Volatility (6M) Calculated over the trailing 6-month period	16.28%	13.50%	+2.78%
Volatility (1Y) Calculated over the trailing 1-year period	20.07%	16.22%	+3.85%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	25.09%	17.53%	+7.56%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	27.56%	20.05%	+7.51%

Dividends

NSC vs. XLI - Dividend Comparison

NSC's dividend yield for the trailing twelve months is around 1.78%, more than XLI's 1.37% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
NSC Norfolk Southern Corporation	1.78%	1.87%	2.30%	2.28%	2.01%	1.40%	1.58%	1.85%	2.03%	1.68%	2.18%	2.79%
XLI Industrial Select Sector SPDR Fund	1.37%	1.29%	1.44%	1.63%	1.63%	1.25%	1.55%	1.94%	2.15%	1.77%	2.07%	2.15%

Frequently Asked Questions

Can I hold both NSC and XLI in my portfolio?

NSC and XLI have a correlation of 0.48, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, NSC or XLI?

NSC has higher volatility (8.20%) compared to XLI (5.80%). In terms of maximum drawdown, NSC dropped -67.74% vs XLI's -62.26%.

Which has better risk-adjusted returns?

XLI currently has the higher Sharpe Ratio (1.84 vs 1.12), 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.