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CGDG - ETF AI Analysis

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CGDG

Capital Group Dividend Growers ETF (CGDG)

Rating:68Neutral
Price Target:
CGDG, the Capital Group Dividend Growers ETF, appears to be a solid, quality-focused fund, supported by strong holdings like TSM and AstraZeneca, which benefit from robust financial performance, positive earnings sentiment, and strategic positioning in advanced technologies and healthcare. Broadcom and Welltower also add strength through their focus on AI semiconductors and senior housing, though their high valuations introduce some risk. The main risk factor for the ETF is exposure to several holdings with premium valuations or leverage and debt concerns, such as Philip Morris and AbbVie, which can limit upside if growth or financial stability disappoints.
Positive Factors
Strong Recent Performance
The ETF has delivered steady gains so far this year and over the past few months, showing positive momentum for investors.
Leading Holdings Performing Well
Several of the largest positions, including major technology, energy, and healthcare names, have shown strong year-to-date performance, helping support the fund’s returns.
Broad Global and Sector Diversification
The fund spreads its investments across many countries and sectors, which helps reduce the impact if any single region or industry runs into trouble.
Negative Factors
Moderate Expense Ratio
The fund’s fee is not especially low for an ETF, which means a small but ongoing drag on long-term returns compared with cheaper options.
Heavy Tilt Toward Financials and Technology
A relatively large share of assets in financial and technology stocks could hurt performance if these sectors face a downturn.
Some Top Holdings Are Underperforming
A few notable positions, such as a major pharmaceutical stock, have shown weak recent performance, which can offset gains from stronger holdings.

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

CGDG Summary

The Capital Group Dividend Growers ETF (CGDG) focuses on companies from around the world that have a history of steadily raising their dividend payments. It doesn’t track a single index, but instead follows a “dividend growth” theme across many sectors, with a tilt toward financial and technology firms. Well-known holdings include Broadcom and Philip Morris. Investors might consider CGDG if they want a mix of income and long-term growth from a diversified basket of stocks. A key risk is that stock prices and dividend payments can still go up and down with the overall market.
How much will it cost me?The Capital Group Dividend Growers ETF (CGDG) has an expense ratio of 0.47%, which means you’ll pay $4.70 per year for every $1,000 invested. This expense ratio is slightly higher than average because the fund is actively managed, meaning experts are selecting stocks rather than tracking an index. Active management often involves more research and decision-making, which can increase costs.
What would affect this ETF?The Capital Group Dividend Growers ETF (CGDG) could benefit from global economic growth and increased demand for dividend-paying stocks, especially in sectors like technology and financials, which make up a significant portion of its holdings. However, rising interest rates or economic downturns could negatively impact dividend-paying companies and sectors like consumer cyclical and real estate, potentially affecting the ETF's performance.

CGDG Top 10 Holdings

CGDG leans heavily into global dividend powerhouses, with chipmakers Broadcom and TSMC setting much of the tone: Broadcom has been rising again after a choppy stretch, while TSMC’s recent wobble means its earlier strength is doing more of the heavy lifting. On the defensive side, Philip Morris and British American Tobacco have been steady-to-rising anchors, even as AstraZeneca’s lagging share price slightly dulls the health care edge. Real estate name Welltower and energy player TotalEnergies are both climbing, giving the fund a diversified, globally spread mix rather than a pure U.S. tech story.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Philip Morris4.14%$225.65M$311.99B22.36%
61
Neutral
Broadcom4.09%$222.81M$1.81T22.37%
76
Outperform
TSMC3.79%$206.69M$1.82T54.24%
81
Outperform
AstraZeneca2.38%$129.45M$268.02B14.23%
80
Outperform
Welltower2.28%$124.37M$171.94B44.90%
77
Outperform
AbbVie2.01%$109.30M$465.02B39.08%
66
Neutral
British American Tobacco1.92%$104.49M£100.71B18.86%
71
Outperform
TotalEnergies SE1.84%$100.50M€164.69B39.31%
78
Outperform
RTX1.69%$92.18M$294.59B35.89%
74
Outperform
DBS Group Holdings1.51%$82.35MS$210.03B49.27%
78
Outperform

CGDG Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
37.43
Positive
100DMA
36.81
Positive
200DMA
36.10
Positive
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For CGDG, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 37.99, equal to the 50-day MA of 37.43, and equal to the 200-day MA of 36.10, indicating a bullish trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for CGDG.

CGDG Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$5.44B0.47%
68
Neutral
$6.63B0.47%
71
Outperform
$2.98B0.40%
64
Neutral
$2.91B0.47%
70
Outperform
$1.72B0.40%
63
Neutral
$1.59B0.40%
67
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
CGDG
Capital Group Dividend Growers ETF
38.43
5.96
18.36%
JGLO
JPMorgan Global Select Equity ETF
BDYN
iShares Dynamic Equity Active ETF
CGGE
Capital Group Global Equity ETF
BDVL
iShares Disciplined Volatility Equity Active ETF Trust Unit
BFLX
iShares Flexible Equity Active 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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