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FSCC - ETF AI Analysis

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FSCC

Federated Hermes MDT Small Cap Core ETF (FSCC)

Rating:64Neutral
Price Target:
FSCC, the Federated Hermes MDT Small Cap Core ETF, has a solid overall rating driven by strong contributors like SPS Commerce, Powell Industries, Primoris Services, and Jackson Financial, which all show healthy financial performance, growth initiatives, and generally supportive earnings trends. These strengths are partly offset by weaker names such as Maxlinear and Mirum Pharmaceuticals, where negative profitability, cash flow challenges, and high leverage create risks, and by several holdings with valuation concerns or overbought technical signals. The main risk factor is stock-specific: a number of holdings face financial or valuation pressures that could add volatility, even though the fund is diversified across individual companies.
Positive Factors
Strong Recent Performance
The ETF has shown solid gains so far this year and over the past month, indicating positive recent momentum in its small-cap holdings.
Broad Sector Diversification
Holdings are spread across many sectors such as industrials, health care, financials, and technology, which helps reduce the impact if any one industry struggles.
Multiple Strong Top Holdings
Several of the largest positions, including companies in energy, industrials, and health care, have delivered strong year-to-date performance that supports the fund’s overall returns.
Negative Factors
High U.S. Concentration
The fund is invested almost entirely in U.S. companies, offering very limited geographic diversification outside the United States.
Exposure to a Weak Top Holding
One of the top positions has shown weak performance so far this year, which can drag on the ETF’s overall results if it continues to lag.
Moderate Expense Ratio
The fund’s expense ratio is not especially low for an ETF, meaning a noticeable portion of returns goes toward fees each year.

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

FSCC Summary

The Federated Hermes MDT Small Cap Core ETF (FSCC) focuses on smaller U.S. companies that don’t have an underlying index but follow a small-cap “core” theme, meaning it invests across many types of businesses. It holds a wide mix of sectors like industrials, health care, financials, and technology, with examples including American Healthcare REIT and Bloom Energy. Someone might invest in FSCC to seek long-term growth and diversify beyond large, well-known stocks. A key risk is that small-cap stocks can be more volatile, so the ETF’s price can move up and down more sharply than the overall market.
How much will it cost me?The Federated Hermes MDT Small Cap Core ETF (FSCC) has an expense ratio of 0.36%, which means you’ll pay $3.60 per year for every $1,000 invested. This expense ratio is slightly higher than average because the fund is actively managed, requiring more research and expertise to select small-cap stocks with growth potential.
What would affect this ETF?The FSCC ETF, focused on U.S. small-cap companies across diverse sectors like Industrials, Financials, and Health Care, could benefit from economic growth and innovation in these industries, as smaller firms often thrive in expanding markets. However, it may face challenges from rising interest rates, which can increase borrowing costs for small businesses, and economic slowdowns, which tend to impact smaller companies more significantly. Regulatory changes or sector-specific disruptions could also influence the ETF's performance.

FSCC Top 10 Holdings

FSCC leans into U.S. small caps with a noticeable tilt toward industrials and health care, and a few high-octane names are steering returns. Bloom Energy and Powell Industries have been on a tear, giving the fund a powerful boost, while Primoris Services and Sphere Entertainment add to the upside with steadily rising share prices. On the flip side, SPS Commerce has been losing steam, acting as a mild drag. Overall, performance is being driven by a handful of fast-moving industrial and tech-related names rather than any single dominant stock.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
American Healthcare REIT, Inc.2.38%$5.24M$9.61B42.10%
64
Neutral
Bloom Energy1.99%$4.36M$78.49B1245.34%
62
Neutral
Powell Industries1.43%$3.13M$10.66B338.43%
76
Outperform
BrightSpring Health Services, Inc.1.33%$2.91M$11.23B133.02%
67
Neutral
Mirum Pharmaceuticals1.27%$2.79M$6.23B112.72%
56
Neutral
Jackson Financial Incorporation1.17%$2.57M$7.66B30.02%
73
Outperform
BankUnited1.13%$2.49M$3.29B26.24%
74
Outperform
Sphere Entertainment1.12%$2.45M$4.81B247.99%
66
Neutral
EMCOR Group1.03%$2.27M$40.58B86.64%
73
Outperform
SPS Commerce1.01%$2.21M$1.88B-64.47%
77
Outperform

FSCC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
31.81
Positive
100DMA
31.57
Positive
200DMA
30.45
Positive
Market Momentum
MACD
0.50
Positive
RSI
48.21
Neutral
STOCH
6.36
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FSCC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 33.74, equal to the 50-day MA of 31.81, and equal to the 200-day MA of 30.45, indicating a neutral trend. The MACD of 0.50 indicates Positive momentum. The RSI at 48.21 is Neutral, neither overbought nor oversold. The STOCH value of 6.36 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FSCC.

FSCC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$224.22M0.36%
64
Neutral
$673.18M0.79%
70
Outperform
$533.57M0.55%
70
Outperform
$148.76M0.45%
65
Neutral
$147.35M0.70%
73
Outperform
$124.23M0.50%
70
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FSCC
Federated Hermes MDT Small Cap Core ETF
33.09
8.65
35.39%
OSCV
Opus Small Cap Value ETF
SEIS
SEI Select Small Cap ETF
FSML
Franklin Small Cap Enhanced ETF
SCDV
Bahl & Gaynor Small Cap Dividend ETF
SIXS
ETC 6 Meridian Small Cap Equity 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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