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BAI - ETF AI Analysis

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BAI

iShares A.I. Innovation and Tech Active ETF (BAI)

Rating:60Neutral
Price Target:
BAI, the iShares A.I. Innovation and Tech Active ETF, has a solid overall rating driven mainly by strong, AI-focused leaders like Alphabet, Nvidia, Broadcom, TSMC, and Micron, all of which show robust financial performance and positive outlooks tied to AI and advanced technologies. However, several holdings face high valuation concerns and some operational or cash flow risks, and the fund is heavily concentrated in AI and semiconductor-related names, which increases exposure to sector-specific downturns and volatility.
Positive Factors
Strong AUM Base
The fund manages a large pool of assets, suggesting solid investor interest and stability.
Leading AI and Tech Holdings
Several top positions like TSMC, Lam Research, Tower, Fabrinet, Celestica, AMD, and Alphabet have shown strong recent performance, helping support the ETF’s returns.
Focused Tech Exposure
A high weight in technology and related sectors gives investors targeted exposure to companies driving AI and innovation.
Negative Factors
High Concentration in Top Holdings
A small group of stocks makes up a meaningful share of the portfolio, which increases the impact if any of them perform poorly.
Mixed Performance Among Key Names
Important holdings such as Nvidia, Broadcom, and Microsoft have shown weaker recent performance, which can drag on overall fund results.
Above-Average Expense Ratio
The fund’s fee is relatively high for an ETF, which can slowly reduce net returns over time compared with lower-cost options.

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

BAI Summary

The iShares A.I. Innovation and Tech Active ETF (BAI) is a fund that focuses on companies involved in artificial intelligence and robotics, rather than tracking a traditional index. It mainly holds U.S. technology stocks and is actively managed, meaning professionals pick the companies they believe will benefit most from the growth of AI. Well-known holdings include Nvidia and Microsoft. Someone might invest in this ETF to seek long-term growth from the expanding use of AI across many industries. A key risk is that it is heavily concentrated in tech, so its price can rise and fall more than the overall stock market.
How much will it cost me?The iShares A.I. Innovation and Tech Active ETF (BAI) has an expense ratio of 0.55%, which means you’ll pay $5.50 per year for every $1,000 invested. This is higher than average because it’s actively managed, meaning professional managers select stocks to try to outperform the market.
What would affect this ETF?The iShares A.I. Innovation and Tech Active ETF could benefit from growing global demand for AI and robotics technologies, as well as advancements in semiconductor and software innovation driven by top holdings like Nvidia and Microsoft. However, it may face challenges from regulatory scrutiny on AI development, potential economic slowdowns impacting tech spending, or rising interest rates that could pressure growth-focused investments. Its global exposure and focus on transformative industries position it well for long-term growth but also make it sensitive to sector-specific risks.

BAI Top 10 Holdings

This ETF is leaning hard into the global AI hardware boom, with a heavy tilt toward chipmakers and equipment names. Nvidia and Broadcom have been losing a bit of steam lately, acting more like a brake than an engine, while TSMC is holding steady after a mixed stretch. The real spark plugs right now are Lam Research, Micron, and Tower, which have been rising on strong AI and semiconductor demand. With most of the action in tech and semis across the U.S., Israel, and Asia, the fund is clearly betting on the AI supply chain rather than consumer apps.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Nvidia6.80%$689.37M$4.42T59.26%
76
Outperform
Broadcom6.04%$612.12M$1.66T103.50%
76
Outperform
TSMC4.95%$501.93M$1.59T130.49%
81
Outperform
Tower4.82%$488.91M₪69.82B477.00%
76
Outperform
Lumentum Holdings4.29%$435.58M$63.98B1544.98%
61
Neutral
Lam Research4.25%$430.99M$307.81B271.05%
77
Outperform
Alphabet Class A4.17%$423.35M$3.82T99.94%
85
Outperform
Fabrinet3.19%$323.86M$21.86B202.22%
78
Outperform
Micron2.87%$290.75M$458.68B480.63%
79
Outperform
Advanced Micro Devices2.85%$288.62M$377.96B139.38%
73
Outperform

BAI Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
34.41
Positive
100DMA
34.09
Positive
200DMA
33.07
Positive
Market Momentum
MACD
0.41
Negative
RSI
63.82
Neutral
STOCH
92.72
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For BAI, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 34.20, equal to the 50-day MA of 34.41, and equal to the 200-day MA of 33.07, indicating a bullish trend. The MACD of 0.41 indicates Negative momentum. The RSI at 63.82 is Neutral, neither overbought nor oversold. The STOCH value of 92.72 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for BAI.

BAI Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$10.90B0.55%
60
Neutral
$6.12B0.75%
56
Neutral
$2.09B0.65%
62
Neutral
$1.95B0.75%
67
Neutral
$1.55B0.76%
57
Neutral
$1.09B0.75%
52
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
BAI
iShares A.I. Innovation and Tech Active ETF
37.35
16.82
81.93%
ARKK
Ark Innovation Etf
FWD
AB Disruptors ETF
ARKQ
ARK Autonomous Technology & Robotics ETF
ARKW
ARK Next Generation Internet ETF
ARKG
ARK Genomic Revolution 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.
DisclaimerThis 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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