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FEMG - ETF AI Analysis

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FEMG

Fidelity Enhanced Mid Cap Growth ETF (FEMG)

Rating:68Neutral
Price Target:
FEMG, the Fidelity Enhanced Mid Cap Growth ETF, earns a solid overall rating thanks to strong core holdings like Comfort Systems USA (FIX) and Targa Resources (TRGP), which show robust financial performance, healthy revenue growth, and supportive technical trends. Growth-focused names such as Snowflake (SNOW) and Lumentum (LITE) add innovation and AI exposure but face profitability, valuation, and technical challenges that modestly weigh on the fund’s appeal. The main risk factor is the ETF’s tilt toward mid-cap growth and higher-valuation companies, which can make it more sensitive to market pullbacks and shifts in investor sentiment.
Positive Factors
Strong Top Holdings
Many of the largest positions, such as Vertiv, Comfort Systems, and Monolithic Power, have shown strong gains this year, helping drive the ETF’s overall performance.
Broad Sector Diversification
The fund spreads its investments across several sectors, including industrials, technology, consumer cyclical, and health care, which helps reduce the impact if any one industry struggles.
Moderate Expense Ratio
The ETF’s expense ratio is reasonable for an actively managed, enhanced strategy, allowing investors to keep more of their returns compared with many higher-cost funds.
Negative Factors
Heavy U.S. Concentration
Almost all of the fund’s assets are invested in U.S. companies, offering little geographic diversification if other regions perform better or the U.S. market faces a downturn.
Sector Tilts Toward Industrials and Technology
Large weights in industrials and technology mean the ETF could be more sensitive to slowdowns or volatility in these specific areas of the market.
Smaller Asset Base
The fund’s relatively modest size may lead to less trading liquidity and potentially wider bid-ask spreads compared with larger, more established ETFs.

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

FEMG Summary

FEMG, the Fidelity Enhanced Mid Cap Growth ETF, focuses on medium‑sized U.S. companies that are growing quickly. It is built from the Russell Midcap Growth universe but is actively managed, meaning Fidelity’s team picks and weights stocks rather than simply copying an index. The fund holds a mix of sectors like industrials, technology, and consumer companies, including well‑known names such as Hilton Worldwide and Royal Caribbean. Someone might invest in FEMG to seek long‑term growth and diversify beyond large, well‑known blue‑chip stocks. A key risk is that mid‑cap growth stocks can be more volatile and can go up and down more than the overall market.
How much will it cost me?This ETF has an expense ratio of 0.23%, which means you’ll pay about $2.30 per year for every $1,000 you invest. That’s slightly higher than a typical low-cost index ETF because this fund is actively managed, where managers research and select mid-cap growth stocks in an effort to outperform the market.
What would affect this ETF?This ETF could benefit if the U.S. economy stays healthy, business spending on technology and industrial projects grows, and travel and consumer demand remain strong, which would support many of its mid‑cap growth holdings in sectors like industrials, tech, and consumer cyclical. On the downside, higher interest rates, an economic slowdown, or tighter regulations on energy, travel, or tech companies could hurt these same areas, and the fund’s active, concentrated approach means performance may swing more than a broad market ETF.

FEMG Top 10 Holdings

FEMG is leaning hard into U.S. mid-cap growth, with a clear tech and industrial flavor. Cloudflare, Snowflake, and Datadog are doing much of the heavy lifting, riding strong demand for cloud and AI tools and giving the fund a clear digital-infrastructure tilt. On the industrial and energy side, Comfort Systems and Targa Resources have been steady climbers, adding some real-economy muscle. Offsetting that strength, names like Lumentum and Teradyne have been more mixed lately, occasionally tripping up an otherwise forward-leaning, all‑U.S. growth lineup.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Snowflake3.46%$236.17K$114.00B66.52%
54
Neutral
Cloudflare3.42%$233.57K$112.44B51.71%
61
Neutral
Datadog2.69%$183.63K$91.73B91.62%
69
Neutral
Comfort Systems2.13%$145.12K$62.44B170.38%
80
Outperform
Targa Resources2.03%$138.24K$59.14B72.58%
74
Outperform
Fastenal Company1.83%$125.22K$58.55B4.32%
72
Outperform
Vistra Corp1.80%$122.83K$49.72B-26.56%
65
Neutral
Teradyne1.80%$122.75K$65.47B301.36%
71
Outperform
Lumentum Holdings1.75%$119.74K$72.05B714.34%
61
Neutral
Natera1.67%$113.75K$44.67B94.96%
73
Outperform

FEMG Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price
Price Trends
50DMA
26.10
Positive
100DMA
200DMA
Market Momentum
MACD
0.37
Negative
RSI
57.23
Neutral
STOCH
80.75
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FEMG, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 26.25, equal to the 50-day MA of 26.10, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of 0.37 indicates Negative momentum. The RSI at 57.23 is Neutral, neither overbought nor oversold. The STOCH value of 80.75 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FEMG.

FEMG Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$6.84M0.23%
68
Neutral
$47.14M0.55%
69
Neutral
$46.72M0.80%
71
Outperform
$37.17M0.59%
68
Neutral
$24.80M0.30%
69
Neutral
$10.11M0.79%
68
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FEMG
Fidelity Enhanced Mid Cap Growth ETF
26.86
1.74
6.93%
TSCM
TimesSquare Quality Mid Cap Growth ETF
KMID
Virtus KAR Mid-Cap ETF
MMID
MFS Active Mid Cap ETF
JMID
Janus Henderson Mid Cap Growth Alpha ETF
SMCP
SMART Mid Cap 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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