WDC vs. SMH

Last updated Jul 11, 2026

WDC (Western Digital Corporation) is a stock, while SMH (VanEck Semiconductor ETF) is Semiconductors fund tracking the MVIS US Listed Semiconductor 25 Index. Over the past 10 years, WDC returned 32.70%/yr vs 36.59%/yr for SMH. A 0.57 correlation means they provide meaningful diversification when combined.

Performance

WDC vs. SMH - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Western Digital Corporation (WDC) and VanEck Semiconductor ETF (SMH). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, WDC achieves a 238.43% return, which is significantly higher than SMH's 69.67% return. Over the past 10 years, WDC has underperformed SMH with an annualized return of 32.70%, while SMH has yielded a comparatively higher 36.59% annualized return.

WDC

• 1D: 0.78%
• 1M: 18.87%
• 6M: 190.84%
• YTD: 238.43%
• 1Y: 797.88%
• 3Y*: 172.28%
• 5Y*: 61.64%
• 10Y*: 32.70%

SMH

• 1D: 0.54%
• 1M: 7.03%
• 6M: 56.99%
• YTD: 69.67%
• 1Y: 113.18%
• 3Y*: 59.96%
• 5Y*: 37.42%
• 10Y*: 36.59%

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

WDC vs. SMH - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
WDC Western Digital Corporation	238.43%	283.68%	13.86%	65.99%	-51.62%	17.73%	-10.89%	77.14%	-51.90%	19.83%
SMH VanEck Semiconductor ETF	69.67%	49.17%	39.10%	73.38%	-33.53%	42.13%	55.53%	64.45%	-9.05%	38.48%

Correlation

The correlation between WDC and SMH is 0.65, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.65
Correlation (3Y) Calculated over the trailing 3-year period	0.65
Correlation (5Y) Calculated over the trailing 5-year period	0.67
Correlation (10Y) Calculated over the trailing 10-year period	0.64
Correlation (All Time) Calculated using the full available price history since Jun 5, 2000	0.57

The correlation between WDC and SMH has been stable across timeframes, ranging from 0.57 to 0.67 - a consistent structural relationship.

Return for Risk

WDC vs. SMH — Risk / Return Rank

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

WDC

WDC Risk / Return Rank: 99
WDC Sharpe Ratio Rank: 100
WDC Sortino Ratio Rank: 99
WDC Omega Ratio Rank: 98
WDC Calmar Ratio Rank: 100
WDC Martin Ratio Rank: 100

SMH

SMH Risk / Return Rank: 94
SMH Sharpe Ratio Rank: 95
SMH Sortino Ratio Rank: 90
SMH Omega Ratio Rank: 91
SMH Calmar Ratio Rank: 96
SMH Martin Ratio Rank: 96

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.

WDC vs. SMH - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Western Digital Corporation (WDC) and VanEck Semiconductor ETF (SMH). 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.

	WDC	SMH	Difference
Sharpe ratio: Return per unit of total volatility	11.09	3.13	+7.96
Sortino ratio: Return per unit of downside risk	5.78	3.35	+2.43
Omega ratio: Gain probability vs. loss probability	1.78	1.47	+0.31
Calmar ratio: Return relative to maximum drawdown	28.08	7.62	+20.46
Martin ratio: Return relative to average drawdown	105.61	25.13	+80.47

WDC vs. SMH - Sharpe Ratio Comparison

The current WDC Sharpe Ratio is 11.09, which is higher than the SMH Sharpe Ratio of 3.13. The chart below compares the historical Sharpe Ratios of WDC and SMH, 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

WDC vs. SMH - Drawdown Comparison

The maximum WDC drawdown since its inception was -96.20%, which is greater than SMH's maximum drawdown of -84.96%. Use the drawdown chart below to compare losses from any high point for WDC and SMH.

Drawdown Indicators

	WDC	SMH	Difference
Max Drawdown Largest peak-to-trough decline	-96.20%	-84.96%	-11.24%
Max Drawdown (1Y) Largest decline over 1 year	-28.69%	-14.93%	-13.76%
Max Drawdown (3Y) Largest decline over 3 years	-49.65%	-35.74%	-13.91%
Max Drawdown (5Y) Largest decline over 5 years	-57.38%	-45.30%	-12.08%
Max Drawdown (10Y) Largest decline over 10 years	-70.49%	-45.30%	-25.19%
Current Drawdown Current decline from peak	-21.93%	-8.65%	-13.28%
Average Drawdown Average peak-to-trough decline	-52.00%	-40.95%	-11.05%
Ulcer Index Depth and duration of drawdowns from previous peaks	7.61%	4.52%	+3.09%

Volatility

WDC vs. SMH - Volatility Comparison

Western Digital Corporation (WDC) has a higher volatility of 34.61% compared to VanEck Semiconductor ETF (SMH) at 18.27%. This indicates that WDC's price experiences larger fluctuations and is considered to be riskier than SMH based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	WDC	SMH	Difference
Volatility (1M) Calculated over the trailing 1-month period	34.61%	18.27%	+16.34%
Volatility (6M) Calculated over the trailing 6-month period	58.05%	31.01%	+27.04%
Volatility (1Y) Calculated over the trailing 1-year period	72.69%	36.41%	+36.28%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	50.84%	36.12%	+14.72%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	49.35%	33.10%	+16.25%

Dividends

WDC vs. SMH - Dividend Comparison

WDC's dividend yield for the trailing twelve months is around 0.09%, less than SMH's 0.18% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
SMH VanEck Semiconductor ETF	0.18%	0.31%	0.44%	0.60%	1.18%	0.51%	0.69%	1.50%	1.88%	1.43%	0.80%	2.14%
WDC Western Digital Corporation	0.09%	0.19%	0.00%	0.00%	0.00%	0.00%	1.81%	2.36%	5.41%	2.51%	2.94%	3.33%

Frequently Asked Questions

Can I hold both WDC and SMH in my portfolio?

WDC and SMH have a correlation of 0.65, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, WDC or SMH?

WDC has higher volatility (34.61%) compared to SMH (18.27%). In terms of maximum drawdown, WDC dropped -96.20% vs SMH's -84.96%.

Which has better risk-adjusted returns?

WDC currently has the higher Sharpe Ratio (11.09 vs 3.13), 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.