AIFD - ETF AI Analysis

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TCW Artificial Intelligence ETF (AIFD)

Rating:71Outperform

Price Target:―

The TCW Artificial Intelligence ETF (AIFD) benefits from strong contributions by top holdings like Alphabet (GOOGL) and Arista Networks (ANET), both of which are supported by robust financial performance, strategic investments in AI, and positive earnings outlooks. Nvidia (NVDA) and Broadcom (AVGO) also add strength through their leadership in AI semiconductors and data centers, though their high valuations pose some risks. However, weaker holdings like CyberArk Software (CYBR), with profitability challenges and bearish technical indicators, slightly weigh on the fund's overall rating. Investors should also note the ETF's concentration in AI-related sectors, which could amplify risks tied to market volatility in this space.

Positive Factors

Strong Top Holdings

Several key positions, including Nvidia, Broadcom, and Alphabet, have shown strong year-to-date performance, driving the ETF's returns.

Technology Sector Leadership

The ETF is heavily weighted in the technology sector, which has been a strong-performing area of the market.

Healthy Year-to-Date Performance

The fund has delivered solid year-to-date returns, indicating strong momentum in its holdings.

Negative Factors

High Geographic Concentration

With nearly all assets invested in U.S. companies, the ETF lacks diversification across global markets.

Sector Overweight in Technology

Over two-thirds of the portfolio is concentrated in technology, making the fund vulnerable to sector-specific downturns.

Relatively High Expense Ratio

The ETF charges a higher expense ratio compared to many passive funds, which could eat into long-term returns.

AIFD vs. SPDR S&P 500 ETF (SPY)

AUM88.75M

RegionGlobal

Expense Ratio0.75%

Beta1.59

IssuerTCW

Inception DateMay 06, 2024

Dividend YieldN/A

Asset ClassEquity

Index TrackedNo Underlying Index

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume6,077

30 Day Avg. Volume10,315

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

46.00

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering34

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

AIFD Summary

The TCW Artificial Intelligence ETF (AIFD) is an investment fund focused on companies leading the way in Robotics and Artificial Intelligence. It includes well-known names like Nvidia and Amazon, which are involved in cutting-edge technologies such as machine learning and autonomous systems. This ETF is ideal for investors looking to diversify their portfolio and tap into the growth potential of the AI sector, which is reshaping industries globally. However, it’s important to note that the fund is heavily concentrated in technology stocks, meaning its value can fluctuate significantly with changes in the tech market.

How much will it cost me?The TCW Artificial Intelligence ETF (AIFD) has an expense ratio of 0.75%, meaning you’ll pay $7.50 per year for every $1,000 invested. This is higher than average because the fund is actively managed and focuses on a specialized sector, requiring more research and expertise to select investments. It’s designed to target companies leading in Robotics and AI innovation globally.

What would affect this ETF?The TCW Artificial Intelligence ETF (AIFD) could benefit from growing global demand for AI and robotics technologies, as industries increasingly adopt automation and machine learning solutions. However, potential risks include regulatory scrutiny on AI development, geopolitical tensions affecting global technology supply chains, and economic slowdowns that may reduce corporate spending on innovation. The fund's heavy exposure to technology and communication services sectors, along with top holdings like Nvidia and Alphabet, makes it sensitive to shifts in these industries and broader market conditions.

AIFD Top 10 Holdings

The TCW Artificial Intelligence ETF is heavily tilted toward the technology sector, with Nvidia and Alphabet leading the charge thanks to their strategic focus on AI and cloud services. Nvidia’s recent performance has been mixed, with inventory challenges holding it back, while Alphabet’s bullish momentum is fueled by strong earnings and investments in AI. Broadcom and Arista Networks add steady support, though high valuations suggest caution. Amazon’s short-term weakness and CyberArk’s lagging profitability slightly weigh on the fund. Overall, the ETF’s global exposure and tech-heavy lineup position it well for long-term growth in AI innovation.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
LITE	Lumentum Holdings	9.61%	$8.50M	$28.18B	361.18%	61 Neutral
NVDA	Nvidia	7.71%	$6.82M	$4.55T	34.97%	76 Outperform
AVGO	Broadcom	6.23%	$5.51M	$1.63T	49.91%	76 Outperform
GOOGL	Alphabet Class A	5.83%	$5.16M	$3.79T	66.01%	85 Outperform
ANET	Arista Networks	5.27%	$4.66M	$166.96B	12.61%	83 Outperform
AMZN	Amazon	4.48%	$3.96M	$2.58T	8.46%	71 Outperform
CYBR	CyberArk Software	3.47%	$3.07M	$22.71B	35.78%	52 Neutral
VRT	Vertiv Holdings	3.39%	$3.00M	$66.89B	32.70%	77 Outperform
MU	Micron	3.27%	$2.90M	$386.53B	241.56%	79 Outperform
TSM	TSMC	3.18%	$2.81M	$1.40T	53.86%	81 Outperform

AIFD Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

37.40

Positive

100DMA

35.97

Positive

200DMA

31.97

Positive

Market Momentum

MACD

0.38

Negative

RSI

60.83

Neutral

STOCH

81.22

Negative

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For AIFD, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 37.79, equal to the 50-day MA of 37.40, and equal to the 200-day MA of 31.97, indicating a bullish trend. The MACD of 0.38 indicates Negative momentum. The RSI at 60.83 is Neutral, neither overbought nor oversold. The STOCH value of 81.22 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AIFD.

AIFD Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
AIFD	―	―	$88.75M	0.75%	―
AGIX	―	―	$93.43M	0.99%	―
IQM	―	―	$69.10M	0.50%	―
TEKY	―	―	$49.37M	0.50%	―
JHAI	―	―	$15.30M	0.59%	―
PBOT	―	―	$10.27M	0.70%	―

Performance Comparison

AIFD

TCW Artificial Intelligence ETF

38.84

9.27

31.35%

AGIX

KraneShares Artificial Intelligence & Technology ETF

―

IQM

Franklin Intelligent Machines ETF

―

TEKY

Lazard Next Gen Technologies ETF

―

JHAI

Janus Henderson Global Artificial Intelligence ETF

―

PBOT

Pictet AI & Automation ETF

―

Glossary

BuyAn ETF rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF is likely to deliver higher returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldAn ETF rated as a "Hold" s expected to perform in line with the overall market or a specific benchmark. This rating indicates that the ETF is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellAn ETF rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the ETF may deliver lower returns compared to other ETFs in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst ETF Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in ETFs carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.Date of analysis: ―

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