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FESM - ETF AI Analysis
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Fidelity Enhanced Small Cap ETF (FESM)
Rating:63Neutral
Price Target:―
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered solid gains so far this year, indicating strong overall momentum.
Broad Sector Diversification
The fund is spread across multiple sectors, including technology, industrials, and health care, reducing reliance on any single industry.
Low Expense Ratio
With a lower-than-average expense ratio, this ETF allows investors to keep more of their returns.
Negative Factors
High Geographic Concentration
The ETF is heavily focused on U.S. companies, limiting exposure to international markets and diversification.
Underperforming Top Holdings
Several of the largest positions have shown weak year-to-date performance, which could drag on overall returns.
Small Cap Volatility
As a small-cap-focused fund, it may be more sensitive to market fluctuations and economic uncertainty.
FESM vs. SPDR S&P 500 ETF (SPY)
AUM3.18B
RegionNorth America
Expense Ratio0.28%
Beta1.13
IssuerFidelity
Inception DateNov 20, 2023
Dividend Yield1.01%
Asset ClassEquity
Index TrackedNo Underlying Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume287,231
30 Day Avg. Volume467,587
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
45.47Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering577
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
FESM Summary
The Fidelity Enhanced Small Cap ETF (FESM) is an investment fund that focuses on small-cap companies, which are typically smaller, fast-growing businesses. It includes companies like Bloom Energy and Coeur Mining, and covers industries such as technology, healthcare, and financials. This ETF is designed for investors looking to diversify their portfolio and potentially benefit from the growth opportunities that smaller, innovative companies can offer. However, small-cap stocks can be more volatile than larger companies, meaning their prices can rise and fall quickly depending on market conditions.
How much will it cost me?The Fidelity Enhanced Small Cap ETF (FESM) has an expense ratio of 0.28%, which means you’ll pay $2.80 per year for every $1,000 invested. This cost is slightly higher than average for ETFs because it uses an actively managed strategy to select small-cap stocks with strong growth potential. Active management typically involves more research and decision-making, which can increase costs.
What would affect this ETF?The Fidelity Enhanced Small Cap ETF (FESM) could benefit from economic growth and innovation in sectors like technology and health care, which make up a significant portion of its holdings. However, small-cap stocks are often more sensitive to economic downturns, interest rate hikes, and market volatility, which could negatively impact the ETF's performance. Additionally, its focus on U.S.-based companies means it may be affected by domestic regulatory changes or shifts in consumer demand.
FESM Top 10 Holdings
The Fidelity Enhanced Small Cap ETF (FESM) leans heavily into technology, healthcare, and industrials, making up nearly half of its sector exposure. Guardant Health and Bloom Energy are rising stars, with strong earnings momentum driving their performance, though valuation concerns linger. On the flip side, Kratos Defense and Coeur Mining are lagging, weighed down by cash flow challenges and operational setbacks. With its focus on U.S.-based small-cap companies, FESM offers a dynamic but concentrated play on innovation and growth, though its reliance on a few sectors could amplify volatility.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Bloom Energy | 1.16% | $36.59M | $28.19B | 320.58% | 66 Neutral | |
| Fabrinet | 1.05% | $33.11M | $17.14B | 105.85% | 78 Outperform | |
| Credo Technology Group Holding Ltd | 1.03% | $32.65M | $31.80B | 137.15% | 77 Outperform | |
| Hecla Mining Company | 0.96% | $30.26M | $11.37B | 170.02% | 74 Outperform | |
| Kratos Defense | 0.90% | $28.40M | $12.92B | 182.89% | 61 Neutral | |
| Guardant Health | 0.88% | $27.96M | $13.20B | 186.42% | 55 Neutral | |
| Coeur Mining | 0.87% | $27.60M | $10.19B | 115.33% | 70 Outperform | |
| Commercial Metals Company | 0.81% | $25.62M | $7.42B | 7.23% | 69 Neutral | |
| Abercrombie Fitch | 0.80% | $25.37M | $4.47B | -31.47% | 78 Outperform | |
| CareTrust REIT | 0.76% | $24.06M | $8.42B | 30.82% | 78 Outperform |
FESM Technical Analysis
Positive
―
Price Trends
36.91
Positive
35.77
Positive
32.97
Positive
Market Momentum
0.40
Negative
60.78
Neutral
88.69
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FESM, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 36.96, equal to the 50-day MA of 36.91, and equal to the 200-day MA of 32.97, indicating a bullish trend. The MACD of 0.40 indicates Negative momentum. The RSI at 60.78 is Neutral, neither overbought nor oversold. The STOCH value of 88.69 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FESM.
FESM Peer Comparison
Comparison Results
Performance Comparison
FESM
Fidelity Enhanced Small Cap ETF
38.15
3.49
10.07%
CGUS
Capital Group Core Equity ETF
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DFSV
Dimensional US Small Cap Value ETF
―
―
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AVSC
Avantis U.S Small Cap Equity ETF
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―
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BSVO
EA Bridgeway Omni Small-Cap Value ETF
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―
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PSC
Principal U.S. Small-Cap Multi-Factor 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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