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FTXR - ETF AI Analysis

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FTXR

First Trust Nasdaq Transportation ETF (FTXR)

Rating:72Outperform
Price Target:
FTXR, the First Trust Nasdaq Transportation ETF, earns a solid overall rating driven by strong, diversified transportation leaders like Delta Air Lines and CSX, which show robust financial performance, healthy cash flow, and supportive technical trends. Major positions in General Motors, Ford, and Tesla also add to the fund’s appeal through growth and innovation, though their leverage, valuation concerns, and cash flow challenges, along with weaker names like American Airlines, slightly weigh on the rating. The main risk factor is the fund’s concentration in transportation companies that often carry high debt and can be sensitive to economic cycles and operational disruptions.
Positive Factors
Solid Recent Performance
The ETF has shown strong gains so far this year and over the past month, indicating positive recent momentum.
Beneficial Exposure to Key Transport Leaders
Several major transportation and logistics companies in the top holdings have delivered strong year-to-date performance, helping support the fund’s returns.
Focused Industry Theme
The fund’s concentration in transportation-related industrial and consumer cyclical companies offers targeted exposure for investors who want to bet on growth in shipping, autos, and travel.
Negative Factors
High Expense Ratio
The ETF charges a relatively high fee, which can eat into long-term returns compared with lower-cost alternatives.
Concentration in a Single Country
With almost all assets invested in U.S. companies, the fund offers little geographic diversification and is heavily tied to the U.S. economy.
Mixed Performance Among Top Holdings
Some of the largest positions, including major auto makers and Tesla, have shown weak year-to-date performance, which can drag on overall fund results.

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

FTXR Summary

FTXR is the First Trust Nasdaq Transportation ETF, which follows the Nasdaq US Smart Transportation Index. It invests in U.S. transportation-related companies, including car makers, airlines, railroads, trucking, and delivery firms. Well-known holdings include Tesla, General Motors, Ford, UPS, and FedEx. Someone might invest in FTXR to bet on the long-term growth of transportation and logistics as the economy and e-commerce expand, while getting diversification across many companies instead of picking a single stock. A key risk is that it is heavily tied to the transportation sector, so it can rise or fall sharply with fuel costs, the economy, and travel demand.
How much will it cost me?The First Trust Nasdaq Transportation ETF (FTXR) has an expense ratio of 0.6%, meaning you’ll pay $6 per year for every $1,000 invested. This is higher than average because it is actively managed, focusing on specific transportation companies rather than tracking a broad index.
What would affect this ETF?The First Trust Nasdaq Transportation ETF (FTXR) could benefit from trends like increased demand for electric vehicles and advancements in autonomous driving technologies, as well as economic growth driving transportation and logistics needs. However, it may face challenges from rising interest rates, which can increase borrowing costs for companies, or economic slowdowns that reduce consumer and business spending on transportation. Regulatory changes affecting emissions or labor in the transportation sector could also impact its performance.

FTXR Top 10 Holdings

FTXR is heavily geared toward U.S. transportation, with a clear tilt toward autos and logistics rather than a broad global mix. Tesla and Ford are doing much of the heavy lifting, with both stocks rising and helping power the fund’s recent gains, while Delta and FedEx add steady tailwinds from a healthier travel and shipping backdrop. On the flip side, UPS has been losing a bit of altitude and General Motors looks mixed, which keeps overall momentum from really taking off, leaving the ETF somewhat dependent on a handful of big industrial names.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Ford Motor7.79%$86.23M$58.61B42.28%
71
Outperform
General Motors7.66%$84.77M$72.90B67.52%
73
Outperform
Union Pacific7.61%$84.25M$159.28B22.08%
72
Outperform
Tesla7.47%$82.67M$1.50T24.94%
73
Outperform
United Parcel6.48%$71.70M$92.35B8.10%
72
Outperform
United Rentals4.73%$52.35M$66.94B54.60%
73
Outperform
Delta Air Lines4.68%$51.75M$53.76B76.57%
80
Outperform
American Airlines4.17%$46.14M$9.69B44.46%
64
Neutral
CSX4.12%$45.61M$88.01B48.10%
78
Outperform
United Airlines Holdings4.02%$44.48M$36.55B56.11%
74
Outperform

FTXR Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
41.97
Positive
100DMA
41.08
Positive
200DMA
38.77
Positive
Market Momentum
MACD
0.94
Negative
RSI
64.19
Neutral
STOCH
85.18
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FTXR, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 43.83, equal to the 50-day MA of 41.97, and equal to the 200-day MA of 38.77, indicating a bullish trend. The MACD of 0.94 indicates Negative momentum. The RSI at 64.19 is Neutral, neither overbought nor oversold. The STOCH value of 85.18 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FTXR.

FTXR Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$1.10B0.60%
72
Outperform
$7.88B0.58%
70
Outperform
$7.62B0.09%
71
Outperform
$6.14B0.35%
67
Neutral
$2.36B0.38%
70
Outperform
$2.13B0.08%
71
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FTXR
First Trust Nasdaq Transportation ETF
45.50
14.50
46.77%
PPA
Invesco Aerospace & Defense ETF
VIS
Vanguard Industrials ETF
XAR
SPDR S&P Aerospace & Defense ETF
IYT
iShares US Transportation ETF
FIDU
Fidelity MSCI Industrial Index 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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