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DFMC - ETF AI Analysis

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DFMC

U.S. Micro Cap Portfolio ETF (DFMC)

Rating:61Neutral
Price Target:
DFMC, the U.S. Micro Cap Portfolio ETF, earns a solid overall rating thanks to several strong core holdings like Adtalem Global Education, First Bancorp Puerto Rico, Powell Industries, Plexus, and MYR Group, which all show healthy financial performance, reasonable valuations or dividends, and supportive earnings call commentary. Some holdings such as Enova, AAR, Enpro, and United States Lime & Minerals introduce caution through signs of overbought or bearish technical momentum, high valuations, or leverage, which slightly weigh on the fund’s appeal. The main risk factor is the ETF’s focus on micro-cap companies, where individual stocks can be more volatile and sensitive to shifts in market sentiment and business execution.
Positive Factors
Strong Recent Performance
The ETF has shown strong gains so far this year and in recent months, suggesting positive momentum in its micro-cap holdings.
Well-Performing Top Holdings
Many of the largest positions, such as Argan, Plexus, and Powell Industries, have delivered strong year-to-date gains, helping drive the fund’s results.
Broad Sector Diversification
Holdings spread across financials, industrials, technology, consumer, health care, and other sectors help reduce the impact if any one industry weakens.
Negative Factors
High U.S. Concentration
With the vast majority of assets in U.S. companies, the fund is heavily tied to the health of the U.S. economy and market.
Micro-Cap Volatility Risk
Because it focuses on very small companies, the ETF may experience larger price swings and higher risk than funds holding bigger, more established firms.
Moderate Expense Ratio
The fund’s fees are not especially low, which means a noticeable portion of returns goes toward covering the expense ratio each year.

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

DFMC Summary

DFMC, the U.S. Micro Cap Portfolio ETF, is an actively managed fund that invests in very small U.S. companies across many sectors, including financials, industrials, technology, and health care. It doesn’t track a set index, but instead follows a micro‑cap value and quality theme, picking smaller firms that appear reasonably priced and profitable. Top holdings include companies like Plexus and Powell Industries. Someone might invest in DFMC to seek higher long‑term growth and add diversification beyond large, well-known stocks. However, micro‑cap stocks can be very volatile and harder to trade, so the ETF’s price can swing sharply up and down.
How much will it cost me?This ETF has an expense ratio of 0.41%, which means you’ll pay about $4.10 per year for every $1,000 invested. That’s higher than the cost of many index (passive) ETFs because this fund is actively managed and focuses on harder-to-research micro-cap stocks.
What would affect this ETF?This ETF could benefit if the U.S. economy stays healthy, interest rates stabilize or fall, and smaller companies in areas like financials, industrials, and technology see stronger profits and renewed investor interest, since it focuses on very small U.S. stocks across many sectors. On the negative side, a recession, higher borrowing costs, tighter financial regulations, or a sharp drop in risk appetite could hurt micro-cap companies the most, leading to larger price swings and liquidity challenges for this fund.

DFMC Top 10 Holdings

DFMC’s story is all about tiny U.S. companies punching above their weight. Industrial names like Argan and Powell Industries have been big long-term winners, even if they’ve cooled off lately and occasionally tug on returns. Financials such as First Bancorp Puerto Rico and Enova are rising and give the fund a solid backbone, while AAR and Enpro add steady industrial muscle. With no single stock dominating and a broad mix across financials, industrials, and tech, the ETF is diversified but firmly rooted in the U.S. micro-cap arena.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Argan0.76%$61.84M$7.24B125.80%
73
Outperform
Plexus0.58%$47.00M$6.45B74.95%
75
Outperform
Powell Industries0.52%$42.58M$7.19B125.52%
76
Outperform
First Bancorp Puerto Rico0.39%$31.92M$4.31B28.18%
76
Outperform
Covista0.38%$31.19M$4.36B-1.88%
79
Outperform
Enova International0.36%$29.32M$5.91B113.13%
71
Outperform
AAR0.36%$28.95M$5.33B77.82%
72
Outperform
Enpro0.35%$28.64M$6.62B37.41%
64
Neutral
United States Lime & Minerals0.33%$26.76M$3.45B-2.16%
63
Neutral
MYR Group0.33%$26.48M$4.95B67.51%
76
Outperform

DFMC Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price
Price Trends
50DMA
60.31
Positive
100DMA
57.74
Positive
200DMA
Market Momentum
MACD
0.35
Positive
RSI
50.68
Neutral
STOCH
8.72
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For DFMC, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 61.19, equal to the 50-day MA of 60.31, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of 0.35 indicates Positive momentum. The RSI at 50.68 is Neutral, neither overbought nor oversold. The STOCH value of 8.72 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for DFMC.

DFMC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$284.45M0.41%
61
Neutral
$962.24M0.18%
71
Outperform
$953.93M0.75%
71
Outperform
$859.94M0.35%
74
Outperform
$859.88M0.50%
74
Outperform
$850.23M0.29%
73
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DFMC
U.S. Micro Cap Portfolio ETF
60.98
10.64
21.14%
VFMF
Vanguard U.S. Multifactor ETF
FTQI
First Trust Hedged BuyWrite Income ETF
INFO
Harbor PanAgora Dynamic Large Cap Core ETF
GSPY
Gotham Enhanced 500 ETF
NBCR
Neuberger Berman Core Equity 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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