# How Diageo (DEO) compares with the whole market and its popular alternatives

> Source: EasyCompare research, https://easycompare.io/research/deo
> Data as of October 20, 2026. Total returns include reinvested dividends. Past performance does not predict future results; nothing here is investment advice.

Built by QuantCommons' quantitative engine, this page is about relative opportunity, not data on DEO alone. It places DEO (Diageo plc) against 13 popular alternatives, its neighboring categories and the entire market of over 10,000 U.S.-listed stocks and ETFs, and surfaces what has done better on consistent outperformance, return for the risk taken, behavior in real market crashes and diversification. The result is a clearer view of where DEO stands in the market, and of the alternatives worth a closer look.

Period covered: DEO's full trading record, from March 1991 through September 2026. All returns include reinvested dividends. Data as of October 20, 2026.

## Key findings

- **Right now:** The slide is DEO's own: it is 51.7% below its high, against 1.3% for the S&P 500. That said, DEO has outpaced the market, rising 11.5% over the past 3 months against 3.9% for the S&P 500 and 3.2% for the Nasdaq 100.
- **Stock or market?:** DEO's 11.5% gain over the past 3 months far outran its industry: the alcoholic beverages ETF XLP (State Street Consumer Staples Select Sector SPDR ETF) rose 4.1%. The S&P 500 rose 3.9%. Last month cut against the tape: DEO rose 9.0% while the S&P 500 fell 0.6%.
- **Past 1 to 3 years:** Over the past year, DEO fell 2.4% while the S&P 500 rose 15.8%. The same gap shows up over 3 years (32.5% against 89.3%). DEO finished behind the S&P 500 in both 2024 and 2025.
- **Long term:** DEO turned $10,000 into $11,200 over the past decade, against $42,100 in the S&P 500. DEO's 10-year return of 11.7% puts it behind 80% of the stocks worth at least $300 million with that much history. The S&P 500 returned 321%.
- **In a crash:** Across seven sell-offs, DEO has typically lost about 81% as much as the S&P 500.
- **Diversification:** Over 10 years, DEO's beta versus the S&P 500 was 0.61: 46% of the S&P 500's gains in rising months and 94% of its losses in falling ones. When the S&P 500 had a down month, DEO usually fell with it (18 of 22 months).
- **Better options**
  - **Popular alternatives:** KO (Coca-Cola), COST (Costco Wholesale) and PEP (PepsiCo) earned more than DEO with less volatility over the past 5 years. KO returned 14.7% a year at 16.8% volatility, against a loss of 11.9% a year at 25.6%.
  - **Nearby categories and themes:** CCEP (Coca-Cola Europacific Partners, food & beverages) and KDP (Keurig Dr Pepper, food & beverages) earned more than DEO with less volatility over the past 5 years. CCEP returned 19.7% a year at 23.2% volatility, against a loss of 11.9% a year at 25.6%.
  - **Whole market:** 1,166 of the 3,633 stocks and funds worth at least $500 million earned more than DEO with less volatility over the past 5 years, among them VTI (Vanguard Morningstar Total Stock Market ETF), VOO (Vanguard S&P 500 ETF) and BRK-B (Berkshire Hathaway).

## How much would $10,000 in DEO have grown?

This chart tracks a hypothetical $10,000 investment in DEO over the past 29 years, with dividends reinvested, alongside the same amount in the S&P 500, investments that ended ahead of DEO over the same span and DEO's popular alternatives, among those that traded for the entire period.

- $10,000 invested in DEO at the end of September 1997 would have grown to $61,057 by September 2026, less than the $132,907 it would have become in SPY, an S&P 500 fund.
- Five of the eight other investments on the chart ended ahead of DEO, and MNST finished highest, at $45,663,831.

## DEO at a glance

This section summarizes the key facts about the stock, its returns over periods from one to ten years and the risk it has carried, with dividends reinvested throughout.

- DEO is still 51.7% below its all-time high.
- DEO's deepest decline since it began trading in 1991 was 63.4%, from January 2022 to March 2026. It has not yet climbed back to that peak.
- Over 29 full calendar years, DEO's best was 2000, when it returned 44.9%, and its worst was 2008, when it lost 31.6%. It lost money in 12 of those years.

- Type: Stock, Consumer Staples (Beverages - Alcoholic)
- Trading since: March 14, 1991
- Market value: $52B
- Volatility (5 years): 25.6%; Sharpe ratio: -0.37
- Worst decline ever: −63.4%, from January 4, 2022 to March 24, 2026; not yet back at its high

| Period | DEO total return |
| --- | --- |
| 1 month | +9.0% |
| 3 months | +11.5% |
| 6 months | +15.2% |
| year to date | +9.7% |
| 1 year | −2.4% |
| 3 years | −32.5% |
| 5 years | −46.8% |
| 10 years | +11.7% |

## DEO against the whole market

Where DEO ranks among every stock and fund, and what across the market has done better.

### How does DEO rank among all stocks?

This section ranks DEO on return, volatility, risk-adjusted return and worst decline against every stock worth at least $300 million with enough history.

- On return for the risk taken (the Sharpe ratio), DEO ranks in the bottom 2% of the 2,893 stocks worth at least $300 million.
- DEO is among the steadier stocks: its price swings rank in the top 13% of the 2,893 stocks worth at least $300 million, where the top is the calmest.

| Measure | DEO | Rank |
| --- | --- | --- |
| 1-year return | −2.4% | 2,086 of 3,287 (top 64%) |
| 3-year return | −32.5% | 2,721 of 3,017 (top 91%) |
| 5-year return | −46.8% | 2,361 of 2,893 (top 82%) |
| 10-year return | +11.7% | 1,760 of 2,202 (top 80%) |
| Volatility, 5 years | 25.6% | 380 of 2,893 (top 14%) |
| Sharpe ratio, 5 years | -0.37 | 2,826 of 2,893 (top 98%) |
| Worst decline, past 10 years | −63.4% | 1,019 of 2,187 (top 47%) |

### What has beaten DEO on both return and risk?

Each dot is an investment, placed by how much it earned a year over the past 5 years (higher is better) and how much its price swung, its volatility (further left is calmer).

- 274 stocks and 892 ETFs worth at least $500 million sit in the green region: each earned more than DEO over the past 5 years with smaller price swings. That is 32% of the 3,633 screened.
- Among those with at least half DEO's swings, DXJ has the best return for its risk: 26.6% a year at 19.1% volatility, 26% less than DEO's 25.6%, and a Sharpe ratio (return above cash per unit of volatility) of 1.34 against -0.37 for DEO.
- Among DEO's popular alternatives, KO, COST and SYY are in the region. KO earned 14.7% a year against a loss of 11.9% a year for DEO, at 16.8% volatility, 35% less than DEO's 25.6%.

### Is there a better investment than DEO?

The table below lists investments that beat DEO over the past 5 years on at least one of these measures: a higher annual return with lower volatility, a higher annual return at similar volatility, a similar return with lower volatility, a higher Sharpe ratio with a smaller worst decline, a higher total return in most periods from 3 months to 10 years, or smaller losses in recent market crashes.

- Among DEO's popular alternatives, KO, COST and PEP earned more than DEO with less volatility over the past 5 years. KO returned 14.7% a year at 16.8% volatility, against a loss of 11.9% a year at 25.6%.
- Looking beyond its popular alternatives, CCEP (food & beverages) and KDP (food & beverages) earned more than DEO with less volatility over the past 5 years. CCEP returned 19.7% a year at 23.2% volatility, against a loss of 11.9% a year at 25.6%.
- Across the whole market, 1,166 of the 3,633 stocks and funds worth at least $500 million earned more than DEO with less volatility over the past 5 years, among them VTI, VOO and BRK-B.

The 15 strongest of 1,166 investments that beat DEO over the past 5 years, out of 3,633 stocks and funds worth at least $500 million.

| Investment | Group | Annual return (5 years) | Volatility | Sharpe | Worst decline (10 years) | 10Y return | Correlation with DEO | Better on |
| --- | --- | --- | --- | --- | --- | --- | --- | --- |
| DEO: Diageo plc (this page) |  | −11.9% | 25.6% | -0.37 | −63.4% | +11.7% |  |  |
| [ABBV](https://easycompare.io/research/abbv): AbbVie Inc. | Pharmaceuticals | +26.1% | 23.4% | 1.11 | −45.1% | +603% | 0.16 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [V](https://easycompare.io/research/v): Visa Inc. | Payment Processing | +12.8% | 22.9% | 0.64 | −36.4% | +429% | 0.28 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MA](https://easycompare.io/research/ma): Mastercard Incorporated | Payment Processing | +12.4% | 23.8% | 0.61 | −41.0% | +541% | 0.37 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [PM](https://easycompare.io/research/pm): Philip Morris International Inc. | Tobacco | +21.0% | 23.4% | 0.94 | −42.9% | +242% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [TD](https://easycompare.io/research/td): The Toronto-Dominion Bank | Banks | +15.8% | 20.0% | 0.84 | −42.0% | +310% | 0.19 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [BIL](https://easycompare.io/research/bil): State Street SPDR Bloomberg 1-3 Month T-Bill ETF | Treasury Bonds | +3.7% | 0.3% | 14.05 | −0.2% | +25.8% | -0.02 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Smaller losses in recent crashes |
| [MO](https://easycompare.io/research/mo): Altria Group, Inc. | Tobacco | +17.8% | 21.4% | 0.88 | −53.7% | +140% | 0.14 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [TRV](https://easycompare.io/research/trv): The Travelers Companies, Inc. | Property & Casualty Insurance | +22.4% | 22.3% | 1.02 | −46.3% | +347% | 0.11 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [COR](https://easycompare.io/research/cor): Cencora, Inc. | Health Care Distribution | +24.2% | 22.8% | 1.07 | −32.4% | +406% | 0.20 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MFC](https://easycompare.io/research/mfc): Manulife Financial Corporation | Life Insurance | +22.6% | 24.0% | 0.97 | −57.5% | +373% | 0.29 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [BNS](https://easycompare.io/research/bns): The Bank of Nova Scotia | Banks | +12.9% | 19.9% | 0.71 | −46.9% | +187% | 0.46 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [CTAS](https://easycompare.io/research/ctas): Cintas Corporation | Business Services | +16.5% | 23.1% | 0.78 | −48.4% | +808% | 0.34 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [CME](https://easycompare.io/research/cme): CME Group Inc. | Capital Markets | +11.2% | 20.8% | 0.62 | −37.4% | +319% | 0.31 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [ADP](https://easycompare.io/research/adp): Automatic Data Processing, Inc. | Business Services | +9.0% | 22.9% | 0.49 | −40.8% | +320% | 0.40 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |
| [MSI](https://easycompare.io/research/msi): Motorola Solutions, Inc. | Communications Equipment | +14.8% | 23.6% | 0.71 | −32.8% | +625% | 0.36 | Higher return, lower volatility; Higher Sharpe, smaller worst decline; Higher return in most periods |

## DEO against its popular alternatives

The investments people most often weigh against DEO, compared period by period and year by year.

### How do DEO's risk and return compare with its alternatives?

This map plots each investment's annual return over the past 5 years against its volatility, the size of its typical price swings.

- Seven of the 13 popular alternatives, led by COST, MNST and KO, were both more rewarding and calmer than DEO over the past 5 years, earning a higher annual return with lower volatility.
- Over the past 5 years, DEO returned -11.9% a year, less than the S&P 500's 12.7%, with higher volatility (25.6% against 17.1%).

### Has DEO consistently beaten its popular alternatives?

This section compares DEO with the investments people most often weigh against it, checking each one over eight periods from one month to ten years.

- Four of the 13 popular alternatives, led by KO, COST and MNST, outperformed DEO in at least 3 of 5 short-term and 2 of 3 long-term timeframes.
- KO outperformed DEO in every long-term period and in all but one short-term period, the most consistent record in the group.
- KO, COST and MNST earned more for the risk they took than DEO (a higher Sharpe ratio) and fell less in their worst decline of the past 10 years.

| Investment | 1Y return | 3Y return | 5Y return | 10Y return | Periods ahead of DEO | Verdict | Sharpe |
| --- | --- | --- | --- | --- | --- | --- | --- |
| DEO: Diageo plc (this page) | −2.4% | −32.5% | −46.8% | +11.7% |  |  | -0.37 |
| [KO](https://easycompare.io/research/ko): The Coca-Cola Company | +40.2% | +86.8% | +98.2% | +204% | 4/5 short-term, 3/3 long-term | all-weather | 0.91 |
| [COST](https://easycompare.io/research/cost): Costco Wholesale Corporation | +6.9% | +87.2% | +123% | +685% | 3/5 short-term, 3/3 long-term | consistent | 0.82 |
| [MNST](https://easycompare.io/research/mnst): Monster Beverage Corporation | +34.9% | +88.2% | +121% | +285% | 3/5 short-term, 3/3 long-term | consistent | 0.77 |
| [ABEV](https://easycompare.io/research/abev): Ambev S.A. | +53.0% | +62.0% | +60.4% | −21.1% | 3/5 short-term, 2/3 long-term | consistent | 0.46 |
| [SYY](https://easycompare.io/research/syy): Sysco Corporation | +6.7% | +37.6% | +18.7% | +126% | 2/5 short-term, 3/3 long-term |  | 0.27 |
| [PEP](https://easycompare.io/research/pep): PepsiCo, Inc. | −9.2% | −6.7% | −2.3% | +72.6% | 0/5 short-term, 3/3 long-term |  | 0.07 |
| [BUD](https://easycompare.io/research/bud): Anheuser-Busch InBev SA/NV | +36.7% | +66.6% | +58.7% | −20.0% | 2/5 short-term, 2/3 long-term |  | 0.50 |
| CCU: Compañía Cervecerías Unidas S.A. | −12.1% | +7.9% | −15.1% | −19.6% | 0/5 short-term, 2/3 long-term |  | 0.03 |
| TAP: Molson Coors Beverage Company | −9.9% | −23.7% | +4.6% | −51.6% | 0/5 short-term, 2/3 long-term |  | 0.17 |
| STZ: Constellation Brands, Inc. | −3.3% | −38.5% | −33.2% | −6.6% | 1/5 short-term, 1/3 long-term |  | -0.19 |
| SAM: The Boston Beer Company, Inc. | −16.3% | −50.1% | −64.0% | +17.9% | 0/5 short-term, 1/3 long-term |  | -0.34 |
| BF-B: Brown-Forman Corporation | +0.5% | −45.0% | −54.9% | −4.6% | 2/5 short-term, 0/3 long-term |  | -0.36 |
| MGPI: MGP Ingredients, Inc. | −37.8% | −83.8% | −76.0% | −58.0% | 1/5 short-term, 0/3 long-term |  | -0.51 |

### How did DEO do year by year?

This table shows each investment's total return in every full calendar year since 1997, along with where DEO ranked among its popular alternatives each year.

- DEO finished ahead of the S&P 500 in 15 of its 29 full calendar years, and behind it in each of the last three.
- Among its popular alternatives, MNST came out ahead of DEO most often, in 21 of the 29 years both traded.
- Ranked against its popular alternatives each year, DEO finished in the top quarter in six of 29 years and in the bottom quarter in six. In 2025, it ranked 11 of 14.

| Year | DEO | SPY |
| --- | --- | --- |
| 2025 | −29.3% | +17.7% |
| 2024 | −10.1% | +24.9% |
| 2023 | −16.3% | +26.2% |
| 2022 | −17.4% | −18.2% |
| 2021 | +41.7% | +28.7% |
| 2020 | −3.3% | +18.3% |
| 2019 | +21.4% | +31.2% |
| 2018 | −0.4% | −4.6% |
| 2017 | +44.2% | +21.7% |
| 2016 | −1.9% | +12.0% |

## Risk and diversification

How DEO has fallen, how it held up in crashes beside the S&P 500 and its popular alternatives, and what moves independently of it.

### What were DEO's worst declines?

A drawdown is the decline from a peak to the lowest point before a new high.

- Not every decline was the market's doing: DEO fell 63.4% from January 2022 to March 2026, while the S&P 500 rose 45.0%.
- The slowest recovery came after DEO fell 34.9% from June 1992 to November 1993; it did not regain that peak until April 1997, three years later.
- In three of DEO's four worst declines, the S&P 500 held up better over the same dates.

| Decline | Peak | Low | Back at the high | SPY over the same dates | Market event |
| --- | --- | --- | --- | --- | --- |
| −63.4% | January 4, 2022 | March 24, 2026 | not yet | +45.0% | 2022 bear market |
| −53.2% | November 6, 2007 | March 9, 2009 | May 6, 2011 | −53.9% | 2008 financial crisis |
| −48.0% | July 16, 1998 | March 14, 2000 | December 21, 2001 | +17.4% | dot-com bust |
| −41.1% | September 4, 2019 | March 23, 2020 | April 6, 2021 | −23.0% | Covid crash |
| −34.9% | June 1, 1992 | November 11, 1993 | April 21, 1997 | — |  |

### How did DEO do in stock market crashes?

This section measures how far DEO, the S&P 500 and each alternative fell from peak to trough during every major market crash since 2000.

- DEO fell less than the S&P 500 in seven of the ten crashes it has traded through. The clearest case was the dot-com bust, when DEO fell 22.3% and the S&P 500 fell 47.5%.
- Among its popular alternatives, PEP held up best, falling less than DEO in six of the ten crashes they both traded through.

| Crash | Dates | DEO fall | SPY fall |
| --- | --- | --- | --- |
| Dot-com bust | March 10, 2000 to October 9, 2002 | −22.3% | −47.5% |
| Global financial crisis | October 9, 2007 to March 9, 2009 | −53.2% | −55.2% |
| Flash crash | May 6, 2010 to May 7, 2010 | −0.8% | −1.5% |
| Euro debt crisis | July 22, 2011 to October 3, 2011 | −12.9% | −17.9% |
| China devaluation & oil rout | August 10, 2015 to February 11, 2016 | −12.9% | −12.8% |
| Volmageddon | February 2, 2018 to February 9, 2018 | −4.9% | −6.5% |
| Q4 2018 selloff | September 21, 2018 to December 24, 2018 | −8.3% | −19.3% |
| COVID crash | February 19, 2020 to March 23, 2020 | −36.2% | −33.7% |
| 2022 bear market | January 4, 2022 to October 12, 2022 | −24.7% | −24.5% |
| SVB / regional bank stress | March 8, 2023 to March 13, 2023 | −0.5% | −3.4% |

### How closely does DEO move with the S&P 500?

Upside capture measures how much of the S&P 500's gains an investment kept in the months the market rose, and downside capture how much of its losses it took in the months the market fell.

- KO took just 44% of the S&P 500's losses, against 94% for DEO, while still keeping 57% of its gains.
- Over the past 10 years, DEO captured 46% of the S&P 500's gains in rising months and 94% of its losses in falling months, with a beta of 0.61. Its share of the market's losses was larger than its share of the gains.
- Six of the 13 popular alternatives had a higher capture ratio (upside capture divided by downside capture) than DEO's 0.48, led by COST, KO and MNST.

Measured over the past 10 years of monthly returns against SPY.

| Investment | Upside capture | Downside capture | Beta |
| --- | --- | --- | --- |
| DEO: Diageo plc (this page) | 46.0% | 94.0% | 0.61 |
| [KO](https://easycompare.io/research/ko): The Coca-Cola Company | 57.0% | 44.0% | 0.47 |
| [COST](https://easycompare.io/research/cost): Costco Wholesale Corporation | 93.0% | 50.0% | 0.77 |
| [MNST](https://easycompare.io/research/mnst): Monster Beverage Corporation | 87.0% | 87.0% | 0.80 |
| [ABEV](https://easycompare.io/research/abev): Ambev S.A. | 49.0% | 121% | 0.85 |
| [SYY](https://easycompare.io/research/syy): Sysco Corporation | 76.0% | 100% | 1.02 |
| [PEP](https://easycompare.io/research/pep): PepsiCo, Inc. | 48.0% | 65.0% | 0.48 |
| [BUD](https://easycompare.io/research/bud): Anheuser-Busch InBev SA/NV | 51.0% | 125% | 1.04 |
| CCU: Compañía Cervecerías Unidas S.A. | 51.0% | 117% | 0.73 |
| TAP: Molson Coors Beverage Company | 23.0% | 103% | 0.75 |
| STZ: Constellation Brands, Inc. | 48.0% | 111% | 0.79 |
| SAM: The Boston Beer Company, Inc. | 47.0% | 90.0% | 0.81 |
| BF-B: Brown-Forman Corporation | 34.0% | 80.0% | 0.56 |
| MGPI: MGP Ingredients, Inc. | 56.0% | 177% | 0.95 |

### What diversifies DEO?

Correlation measures how closely two investments move together, on a scale from 1 (in lockstep) through 0 (unrelated) to -1 (in opposite directions).

- Moving a fifth of the money in DEO into MCK would have cut the portfolio's volatility by 19% over the past 5 years and raised its annual return (-12.9% for DEO alone, -3.9% for the mix).
- Among large ETFs, LVHI, DXJ and EMLP have moved largely independently of DEO over the past 5 years, with correlations of 0.36 or lower, and each still earned a positive 5-year return.
- FIX made money in eight of the 12 calendar years in which DEO lost money.

| Investment | Correlation with DEO | 5Y return | Volatility | Sharpe | Rose in DEO's 12 down years |
| --- | --- | --- | --- | --- | --- |
| LVHI: Franklin International Low Volatility High Dividend Index ETF | 0.36 | +119% | 11.1% | 1.48 | 4 of 12 |
| DXJ: WisdomTree Japan Hedged Equity Fund | 0.26 | +225% | 19.1% | 1.34 | 8 of 12 |
| EMLP: First Trust North American Energy Infrastructure Fund | 0.17 | +101% | 14.5% | 1.04 | 6 of 12 |
| HDV: iShares Core High Dividend ETF | 0.31 | +83.3% | 13.0% | 1.00 | 6 of 12 |
| [SMH](https://easycompare.io/research/smh): VanEck Semiconductor ETF | 0.22 | +323% | 36.9% | 0.97 | 6 of 12 |
| DBEF: Xtrackers MSCI EAFE Hedged Equity ETF | 0.41 | +85.0% | 13.8% | 0.96 | 7 of 12 |
| [GLD](https://easycompare.io/research/gld): SPDR Gold Shares | 0.27 | +126% | 18.9% | 0.96 | 6 of 12 |
| SPMO: Invesco S&P 500 Momentum ETF | 0.23 | +136% | 20.8% | 0.93 | 5 of 12 |

## Common questions

### What was DEO's worst drawdown?

DEO's deepest decline since it began trading in 1991 was 63.4%, from January 2022 to March 2026. It has not yet climbed back to that peak.

### What were DEO's best and worst years?

Over 29 full calendar years, DEO's best year was 2000, when it returned 44.9%. Its worst was 2008, with a return of -31.6%.

### Is there a better investment than DEO?

Among DEO's popular alternatives, KO, COST and PEP earned more than DEO with less volatility over the past 5 years. KO returned 14.7% a year at 16.8% volatility, against a loss of 11.9% a year at 25.6%. Looking beyond its popular alternatives, CCEP (food & beverages) and KDP (food & beverages) earned more than DEO with less volatility over the past 5 years. CCEP returned 19.7% a year at 23.2% volatility, against a loss of 11.9% a year at 25.6%.

### Is DEO more volatile than the S&P 500?

Yes. DEO's volatility over the past 5 years was 25.6%, 1.5 times the S&P 500's 17.1%. Volatility measures how widely returns swing around their average: in roughly two years out of three, DEO's return lands within 25.6% of its average, either way. The higher it is, the rougher the ride and the harder it is to hold through a slump.

### What is DEO's Sharpe ratio?

DEO's Sharpe ratio over the past 5 years was -0.37, against 0.79 for the S&P 500, so DEO earned less for each unit of risk than an index fund did. The Sharpe ratio is the return earned above cash for each unit of volatility: two investments with the same return are not equal if one got there with far bigger swings.

### How correlated is DEO with the S&P 500?

Over the past 5 years, DEO's monthly returns had a correlation of 0.39 with the S&P 500. Correlation runs from 1 (moving in lockstep) through 0 (unrelated) to −1 (moving in opposite directions). They are only loosely linked, which makes it a real diversifier next to an index fund. In the table, the correlation column measures each option against DEO instead: the lower it is, the more that option would diversify a DEO holding.

### What are the best alternatives to DEO?

Of the 13 popular alternatives we compared, four outperformed DEO in at least 3 of 5 short-term and 2 of 3 long-term timeframes, with dividends reinvested: KO, COST and MNST.

### Did DEO outperform the S&P 500?

DEO finished ahead of the S&P 500 (SPY) in 15 of 29 full calendar years. In 2025, it returned -29.3%, against +17.7% for the index.

### How did DEO do in stock market crashes?

DEO fell less than the S&P 500 (SPY) in seven of the ten major crashes it has traded through, and further in one. The clearest case was the dot-com bust, when DEO fell 22.3% and the S&P 500 fell 47.5%.

### What diversifies DEO?

These had a low correlation with DEO over the past 5 years and still earned a positive 5-year return: among large ETFs, LVHI (correlation 0.36), DXJ (correlation 0.26) and EMLP (correlation 0.17); among large stocks, CAH (correlation 0.06), CLS (correlation -0.09) and FIX (correlation 0.24). A correlation near zero means the two have moved largely independently.

## More research

- [Coca-Cola (KO) Performance, Alternatives and Market Rank](https://easycompare.io/research/ko)
- [Costco Wholesale (COST) Performance, Alternatives and Market Rank](https://easycompare.io/research/cost)
- [Monster Beverage (MNST) Performance, Alternatives and Market Rank](https://easycompare.io/research/mnst)
- [Ambev (ABEV) Performance, Alternatives and Market Rank](https://easycompare.io/research/abev)
- [Sysco (SYY) Performance, Alternatives and Market Rank](https://easycompare.io/research/syy)
- [PepsiCo (PEP) Performance, Alternatives and Market Rank](https://easycompare.io/research/pep)
- [Anheuser-Busch InBev SA/NV (BUD) Performance, Alternatives and Market Rank](https://easycompare.io/research/bud)
- [Schwab U.S. Dividend Equity ETF (SCHD) Performance, Alternatives and Market Rank](https://easycompare.io/research/schd)
- [NVIDIA (NVDA) Performance, Alternatives and Market Rank](https://easycompare.io/research/nvda)
- [Apple (AAPL) Performance, Alternatives and Market Rank](https://easycompare.io/research/aapl)
- [Alphabet (GOOG) Performance, Alternatives and Market Rank](https://easycompare.io/research/goog)
- [Microsoft (MSFT) Performance, Alternatives and Market Rank](https://easycompare.io/research/msft)

## Explore further

- Full page with charts: https://easycompare.io/research/deo
- All research pages: https://easycompare.io/llms.txt
- Compare the entire market against DEO live: https://betterthanspy.com/?b=DEO&utm_source=easycompare&utm_medium=research