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FDM - ETF AI Analysis
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First Trust Dow Jones Select MicroCap Index Fund (FDM)
Rating:68Neutral
Price Target:
$80.00
Positive Factors
Strong Year-to-Date Performance
The ETF has shown solid gains year-to-date, indicating positive momentum for investors.
Sector Diversification
The fund is spread across multiple sectors, including financials, industrials, and consumer cyclical, reducing reliance on any single industry.
Focused Microcap Exposure
The ETF provides targeted exposure to microcap companies, offering unique growth opportunities not found in larger-cap funds.
Negative Factors
High Financial Sector Concentration
Over 40% of the portfolio is allocated to financials, increasing vulnerability to sector-specific risks.
Weak Recent Performance
The ETF has declined over the past month, which may signal short-term volatility or challenges.
Limited Geographic Diversification
With nearly 100% exposure to U.S. companies, the fund lacks international diversification, making it sensitive to domestic market conditions.
FDM vs. SPDR S&P 500 ETF (SPY)
AUM204.34M
RegionNorth America
Expense Ratio0.60%
Beta1.00
IssuerFirst Trust
Inception DateSep 27, 2005
Dividend Yield1.39%
Asset ClassEquity
Index TrackedDJ Select Micro-Cap
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume6,624
30 Day Avg. Volume6,201
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
90.48Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering153
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
FDM Summary
The First Trust Dow Jones Select MicroCap Index Fund (FDM) is an ETF that focuses on micro-cap companies, which are the smallest publicly traded firms in the U.S. market. It follows the Dow Jones Select MicroCap Index and includes businesses across various sectors, such as financials, industrials, and technology. Some of its top holdings include Stoke Therapeutics and Ameresco. Investors might consider FDM for its potential to uncover high-growth opportunities in smaller, innovative companies. However, it’s important to know that micro-cap stocks can be very volatile, meaning their prices can rise and fall quickly, making this ETF a higher-risk investment.
How much will it cost me?The expense ratio for the First Trust Dow Jones Select MicroCap Index Fund (FDM) is 0.6%, which means you’ll pay $6 per year for every $1,000 invested. This is higher than average because the fund is actively managed and focuses on micro-cap stocks, which require more research and management compared to passive funds tracking larger companies.
What would affect this ETF?The First Trust Dow Jones Select MicroCap Index Fund (FDM) could benefit from economic growth and innovation in the U.S., particularly in sectors like financials and technology, which make up a significant portion of its holdings. However, micro-cap stocks are highly sensitive to market volatility, interest rate hikes, and economic downturns, which could negatively impact the fund's performance. Additionally, regulatory changes or challenges in key sectors like healthcare and energy may pose risks to its future growth.
FDM Top 10 Holdings
The First Trust Dow Jones Select MicroCap Index Fund (FDM) is heavily tilted toward financials, which make up the lion’s share of its portfolio, followed by industrials and consumer cyclical stocks. Stoke Therapeutics is a rising star, buoyed by positive developments in its Phase 3 study, while Tetra Technologies is steadily climbing thanks to record earnings and strong strategic moves. On the flip side, Deluxe and Central Pacific Financial are lagging, weighed down by revenue challenges and bearish technical signals. With its U.S.-focused micro-cap exposure, this fund is a high-risk, high-reward play for investors seeking untapped growth potential.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Stoke Therapeutics | 2.01% | $4.10M | $1.51B | 120.36% | 62 Neutral | |
| Tetra Technologies | 1.58% | $3.22M | $1.03B | 105.88% | 80 Outperform | |
| Plymouth Industrial Reit | 1.53% | $3.12M | $1.00B | 21.38% | 72 Outperform | |
| Ameresco | 1.51% | $3.08M | $1.70B | 26.17% | 61 Neutral | |
| Deluxe | 1.40% | $2.85M | $909.60M | -12.92% | 72 Outperform | |
| Universal Insurance Holdings | 1.35% | $2.75M | $964.88M | 53.09% | 74 Outperform | |
| ODP | 1.29% | $2.63M | $839.38M | 10.68% | 64 Neutral | |
| United Fire Group | 1.25% | $2.55M | $946.84M | 45.99% | 75 Outperform | |
| Hanmi Financial | 1.24% | $2.53M | $809.69M | 5.38% | 75 Outperform | |
| GigaCloud Technology, Inc. Class A | 1.23% | $2.51M | $1.13B | 45.83% | 81 Outperform |
FDM Technical Analysis
Positive
―
Price Trends
75.17
Positive
73.85
Positive
69.32
Positive
Market Momentum
0.21
Negative
51.91
Neutral
74.46
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FDM, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 74.90, equal to the 50-day MA of 75.17, and equal to the 200-day MA of 69.32, indicating a bullish trend. The MACD of 0.21 indicates Negative momentum. The RSI at 51.91 is Neutral, neither overbought nor oversold. The STOCH value of 74.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FDM.
FDM Peer Comparison
Comparison Results
Performance Comparison
FDM
First Trust Dow Jones Select MicroCap Index Fund
75.25
7.22
10.61%
IWC
iShares Micro-Cap ETF
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SUSL
iShares ESG MSCI USA Leaders ETF
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SEIM
SEI Enhanced U.S. Large Cap Momentum Factor ETF
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QQXT
First Trust Nasdaq-100 Ex-Technology Sector Index Fund
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VOTE
Engine No. 1 Transform 500 ETF
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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.
Disclaimer
This 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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