WDC vs. XLE

Last updated Jun 4, 2026

WDC (Western Digital Corporation) is a stock, while XLE (State Street Energy Select Sector SPDR ETF) is Energy Equities fund tracking the Energy Select Sector Index. Over the past 10 years, WDC returned 34.20%/yr vs 10.22%/yr for XLE. At a 0.31 correlation, their price movements are largely independent.

Performance

WDC vs. XLE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Western Digital Corporation (WDC) and State Street Energy Select Sector SPDR ETF (XLE). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, WDC achieves a 245.04% return, which is significantly higher than XLE's 32.17% return. Over the past 10 years, WDC has outperformed XLE with an annualized return of 34.20%, while XLE has yielded a comparatively lower 10.22% annualized return.

WDC

• 1D: 5.51%
• 1M: 34.30%
• YTD: 245.04%
• 6M: 282.33%
• 1Y: 1,009.68%
• 3Y*: 169.70%
• 5Y*: 59.21%
• 10Y*: 34.20%

XLE

• 1D: 1.29%
• 1M: -1.14%
• YTD: 32.17%
• 6M: 29.80%
• 1Y: 45.00%
• 3Y*: 17.46%
• 5Y*: 20.44%
• 10Y*: 10.22%

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

WDC vs. XLE - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
WDC Western Digital Corporation	245.04%	283.68%	13.86%	65.99%	-51.62%	17.73%	-10.89%	77.14%	-51.90%	19.83%
XLE State Street Energy Select Sector SPDR ETF	32.17%	7.88%	5.56%	-0.63%	64.32%	53.28%	-32.67%	11.74%	-18.22%	-0.89%

Correlation

The correlation between WDC and XLE is -0.08, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.08
Correlation (3Y) Calculated over the trailing 3-year period	0.07
Correlation (5Y) Calculated over the trailing 5-year period	0.21
Correlation (10Y) Calculated over the trailing 10-year period	0.31
Correlation (All Time) Calculated using the full available price history since Dec 23, 1998	0.31

The correlation between WDC and XLE shifts across timeframes, from -0.08 (1 year) to 0.31 (10 years), reflecting how their relationship changes across market environments.

Return for Risk

WDC vs. XLE — Risk / Return Rank

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

WDC

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

XLE

XLE Risk / Return Rank: 63
XLE Sharpe Ratio Rank: 65
XLE Sortino Ratio Rank: 59
XLE Omega Ratio Rank: 56
XLE Calmar Ratio Rank: 73
XLE Martin Ratio Rank: 60

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. XLE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Western Digital Corporation (WDC) and State Street Energy Select Sector SPDR ETF (XLE). 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.

	WDC	XLE	Difference
Sharpe ratio: Return per unit of total volatility	16.12	2.21	+13.91
Sortino ratio: Return per unit of downside risk	7.56	2.84	+4.72
Omega ratio: Gain probability vs. loss probability	2.05	1.35	+0.70
Calmar ratio: Return relative to maximum drawdown	49.55	3.75	+45.80
Martin ratio: Return relative to average drawdown	177.25	10.92	+166.33
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

WDC vs. XLE - Sharpe Ratio Comparison

The current WDC Sharpe Ratio is 16.12, which is higher than the XLE Sharpe Ratio of 2.21. The chart below compares the historical Sharpe Ratios of WDC and XLE, 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

	WDC	XLE	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	16.12	2.21	+13.91
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.23	0.79	+0.44
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.71	0.35	+0.36
Sharpe Ratio (All Time) Calculated using the full available price history	0.21	0.31	-0.10

Drawdowns

WDC vs. XLE - Drawdown Comparison

The maximum WDC drawdown since its inception was -96.20%, which is greater than XLE's maximum drawdown of -71.26%. Use the drawdown chart below to compare losses from any high point for WDC and XLE.

Drawdown Indicators

	WDC	XLE	Difference
Max Drawdown Largest peak-to-trough decline	-96.20%	-71.26%	-24.94%
Max Drawdown (1Y) Largest decline over 1 year	-20.59%	-12.05%	-8.54%
Max Drawdown (3Y) Largest decline over 3 years	-49.65%	-20.14%	-29.51%
Max Drawdown (5Y) Largest decline over 5 years	-60.85%	-26.04%	-34.81%
Max Drawdown (10Y) Largest decline over 10 years	-70.49%	-66.81%	-3.68%
Current Drawdown Current decline from peak	0.00%	-6.15%	+6.15%
Average Drawdown Average peak-to-trough decline	-52.10%	-17.98%	-34.12%
Ulcer Index Depth and duration of drawdowns from previous peaks	5.75%	4.14%	+1.61%

Volatility

WDC vs. XLE - Volatility Comparison

Western Digital Corporation (WDC) has a higher volatility of 17.18% compared to State Street Energy Select Sector SPDR ETF (XLE) at 8.25%. This indicates that WDC's price experiences larger fluctuations and is considered to be riskier than XLE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	WDC	XLE	Difference
Volatility (1M) Calculated over the trailing 1-month period	17.18%	8.25%	+8.93%
Volatility (6M) Calculated over the trailing 6-month period	51.44%	16.58%	+34.86%
Volatility (1Y) Calculated over the trailing 1-year period	63.33%	20.53%	+42.80%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	48.32%	26.02%	+22.30%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	48.38%	29.59%	+18.79%

Dividends

WDC vs. XLE - Dividend Comparison

WDC's dividend yield for the trailing twelve months is around 0.08%, less than XLE's 2.54% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
WDC Western Digital Corporation	0.08%	0.19%	0.00%	0.00%	0.00%	0.00%	1.81%	2.36%	5.41%	2.51%	2.94%	3.33%
XLE State Street Energy Select Sector SPDR ETF	2.54%	3.28%	3.36%	3.55%	3.68%	4.21%	5.62%	6.72%	3.54%	3.03%	2.26%	3.39%

Frequently Asked Questions

Can I hold both WDC and XLE in my portfolio?

WDC and XLE have a correlation of -0.08, 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 XLE?

WDC has higher volatility (17.18%) compared to XLE (8.25%). In terms of maximum drawdown, WDC dropped -96.20% vs XLE's -71.26%.

Which has better risk-adjusted returns?

WDC currently has the higher Sharpe Ratio (16.12 vs 2.21), 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.