tiprankstipranks
Advertisement

EWJ - ETF AI Analysis

Compare

Top Page

EWJ

iShares MSCI Japan ETF (EWJ)

Rating:71Outperform
Price Target:
EWJ, the iShares MSCI Japan ETF, earns a solid overall rating thanks to major holdings like Toyota, Hitachi, and Japan’s leading financial groups, which show strong financial health, positive earnings outlooks, and supportive technical trends. These strengths are partly offset by weaker names such as SoftBank Group and Kioxia, where high leverage, cash flow challenges, and mixed or bearish momentum introduce more uncertainty. The main risk factor is the fund’s concentration in Japanese companies, meaning its performance is closely tied to economic and market conditions in Japan.
Positive Factors
Strong Year-To-Date Performance
The ETF has delivered strong gains so far this year, showing solid momentum in Japanese stocks.
Leading Financial and Technology Holdings
Several major bank and chip-related holdings have shown strong performance, helping support the fund’s overall returns.
Broad Sector Diversification Within Japan
The fund spreads its investments across many sectors, including industrials, financials, technology, and consumer companies, which helps reduce the impact of weakness in any single industry.
Negative Factors
Higher Expense Ratio
The fund’s fees are on the higher side for an ETF, which can slightly reduce the net return investors receive over time.
Heavy Concentration in Japan
With almost all assets in Japanese companies and very little outside exposure, investors are highly dependent on the health of Japan’s economy and stock market.
Mixed Performance Among Top Holdings
Some large positions, including major auto and electronics names, have shown weaker or negative performance, which can drag on the fund’s results if that trend continues.

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

EWJ Summary

EWJ is the iShares MSCI Japan ETF, a fund that follows the MSCI Japan Index to give you broad exposure to the Japanese stock market. It owns many types of companies, including industrial, financial, and technology firms. Well-known names in the fund include Toyota and Sony, along with major Japanese banks. Someone might invest in EWJ to diversify beyond the U.S. and gain growth potential from one of the world’s largest economies in a single, easy-to-buy investment. A key risk is that the value of the ETF can go up and down with the Japanese stock market and currency swings.
How much will it cost me?The iShares MSCI Japan ETF (EWJ) has an expense ratio of 0.5%, meaning you’ll pay $5 per year for every $1,000 invested. This is higher than average for ETFs because it is passively managed but focuses on a specific international market, which can involve higher costs.
What would affect this ETF?The iShares MSCI Japan ETF (EWJ) could benefit from Japan's strong industrial and technology sectors, which are key drivers of innovation and export growth. However, challenges such as global economic slowdowns, rising interest rates, or regulatory changes in Japan could negatively impact its performance, especially for top holdings like Toyota and Sony. Additionally, shifts in consumer demand or geopolitical tensions in the Asia-Pacific region may influence the ETF's returns.

EWJ Top 10 Holdings

EWJ is leaning heavily on Japan’s big banks, with Mitsubishi UFJ, Sumitomo Mitsui, and Mizuho all rising and acting as the fund’s main engines lately. On the growth side, chip-related names like Tokyo Electron and Advantest add a clear tech tilt, though their recent performance has been more mixed, creating some bumps in the ride. Classic industrial and consumer champions such as Toyota and Hitachi have been steady to slightly lagging, while SoftBank and Sony feel like they’re losing steam. Overall, this is a Japan-only play, blending financial strength with cyclical and tech exposure.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Mitsubishi UFJ Financial Group4.91%$1.06B¥41.98T52.62%
76
Outperform
Toyota Motor3.44%$741.26M¥30.83T5.57%
80
Outperform
Tokyo Electron3.32%$715.06M¥28.48T99.70%
73
Outperform
Sumitomo Mitsui Financial Group3.18%$685.71M¥27.34T66.13%
77
Outperform
Hitachi,Ltd.2.67%$575.69M¥21.93T-3.19%
77
Outperform
Sony2.58%$556.65M¥20.20T-10.42%
73
Outperform
Mizuho Financial Group2.48%$534.37M¥21.10T71.36%
77
Outperform
Advantest2.42%$522.44M¥20.19T145.10%
75
Outperform
SoftBank Group2.39%$515.99M¥31.40T66.16%
64
Neutral
Recruit Holdings Co2.03%$437.83M¥16.37T27.87%
67
Neutral

EWJ Technical Analysis

Technical Analysis Sentiment
Negative
Last Price
Price Trends
50DMA
92.41
Negative
100DMA
89.49
Positive
200DMA
86.07
Positive
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For EWJ, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 92.50, equal to the 50-day MA of 92.41, and equal to the 200-day MA of 86.07, indicating a neutral 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 Negative sentiment for EWJ.

EWJ Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$21.57B0.49%
71
Outperform
$17.57B0.19%
71
Outperform
$7.17B0.48%
71
Outperform
$3.85B0.09%
70
Neutral
$688.89M0.45%
70
Neutral
$279.45M0.58%
68
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
EWJ
iShares MSCI Japan ETF
91.51
20.93
29.65%
BBJP
JPMorgan BetaBuilders Japan ETF
DXJ
WisdomTree Japan Hedged Equity Fund
FLJP
Franklin FTSE Japan ETF
DBJP
Xtrackers MSCI Japan Hedged Equity ETF
OPPJ
WisdomTree Japan Opportunities Fund
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: ―
Table of Contents
Advertisement