tiprankstipranks
Advertisement

FDL - ETF AI Analysis

Compare

Top Page

FDL

First Trust Morningstar Dividend Leaders Index Fund (FDL)

Rating:73Outperform
Price Target:
FDL, the First Trust Morningstar Dividend Leaders Index Fund, earns a solid overall rating thanks to large positions in stable, cash-generating dividend payers like Exxon Mobil, Chevron, Verizon, Merck, and PepsiCo, which combine strong financial performance with generally positive outlooks. The fund is somewhat held back by names like Altria and UPS, where technical weakness, leverage, and slower revenue growth add uncertainty. A key risk is its heavy concentration in a few sectors such as energy, telecom, and healthcare, which can make the fund more sensitive to downturns in those areas.
Positive Factors
Strong Energy Leaders at the Top
Large positions in major energy companies like Exxon Mobil and Chevron have shown strong gains, helping support the fund’s recent performance.
Defensive Sector Tilt
Heavy exposure to sectors such as Health Care, Consumer Defensive, and Utilities can provide some stability during market downturns.
Solid Recent Performance Trend
The fund has delivered steady gains over the past month, three months, and year-to-date, indicating positive recent momentum.
Negative Factors
High Concentration in Energy
A large portion of the portfolio is in the Energy sector, which increases the fund’s sensitivity to swings in oil and gas markets.
Mixed Results Among Top Holdings
Some major positions, such as Verizon and Comcast, have shown weak performance, which can drag on overall returns.
Limited Geographic Diversification
With almost all assets invested in U.S. companies, the fund offers little exposure to international markets.

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

FDL Summary

FDL is an ETF that follows the Morningstar Dividend Leaders Index, focusing on U.S. companies that pay relatively high and steady dividends. It holds well-known names like Exxon Mobil and PepsiCo, along with other large firms in energy, health care, consumer staples, and more. Someone might invest in FDL to seek regular income from dividends while spreading money across many established companies instead of picking individual stocks. A key risk is that the fund is heavily tilted toward dividend-paying sectors like energy and may go up or down significantly with those parts of the market.
How much will it cost me?The First Trust Morningstar Dividend Leaders Index Fund (FDL) has an expense ratio of 0.43%, meaning you’ll pay $4.30 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is passively managed but focuses on a niche strategy of high dividend yield stocks, which can require more specialized tracking.
What would affect this ETF?FDL could benefit from stable or rising energy prices, as its top holdings include Exxon Mobil and Chevron, which are major players in the energy sector. Additionally, strong consumer spending and demand for healthcare products could positively impact companies like Pfizer and PepsiCo. However, rising interest rates or economic slowdowns may negatively affect dividend-paying stocks, particularly in sectors like utilities and consumer defensive, which rely on stable cash flows. Regulatory changes in healthcare or energy could also pose risks to key holdings.

FDL Top 10 Holdings

FDL is being powered by a trio of U.S. energy giants, with Exxon Mobil, Chevron, and ConocoPhillips all rising and effectively acting as the fund’s engine room. Verizon is also pulling its weight, adding steady telecom income and a bit of momentum. On the flip side, defensive names like PepsiCo and UPS have been lagging lately, creating a mild drag. With a clear tilt toward energy and other classic dividend payers, and a portfolio rooted firmly in U.S. stocks, this ETF leans into income over high-flying growth stories.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Exxon Mobil11.16%$812.06M$669.93B35.48%
74
Outperform
Chevron9.33%$678.55M$393.91B18.58%
71
Outperform
Verizon7.39%$537.30M$208.31B10.39%
81
Outperform
Pfizer6.26%$455.16M$162.34B15.59%
74
Outperform
Merck & Company5.49%$399.12M$298.76B39.54%
80
Outperform
PepsiCo4.70%$341.72M$211.35B3.71%
78
Outperform
Altria Group4.50%$327.03M$109.48B14.64%
64
Neutral
Bristol-Myers Squibb3.15%$229.22M$125.71B3.57%
78
Outperform
Conocophillips3.02%$219.56M$156.92B21.00%
78
Outperform
United Parcel2.93%$212.91M$83.14B-11.15%
72
Outperform

FDL Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
49.37
Positive
100DMA
46.52
Positive
200DMA
44.23
Positive
Market Momentum
MACD
0.29
Negative
RSI
56.76
Neutral
STOCH
71.87
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FDL, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 49.80, equal to the 50-day MA of 49.37, and equal to the 200-day MA of 44.23, indicating a bullish trend. The MACD of 0.29 indicates Negative momentum. The RSI at 56.76 is Neutral, neither overbought nor oversold. The STOCH value of 71.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FDL.

FDL Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$7.32B0.43%
73
Outperform
$8.44B0.15%
69
Neutral
$7.98B0.61%
71
Outperform
$6.98B0.07%
67
Neutral
$1.41B0.38%
71
Outperform
$1.00B0.54%
67
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FDL
First Trust Morningstar Dividend Leaders Index Fund
50.24
10.06
25.04%
FDVV
Fidelity High Dividend ETF
FVD
First Trust Value Line Dividend Index Fund
SPYD
SPDR Portfolio S&P 500 High Dividend ETF
DHS
WisdomTree U.S. High Dividend Fund
PEY
Invesco High Yield Equity Dividend Achievers 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: ―
Table of Contents
Advertisement