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HLAL - ETF AI Analysis

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HLAL

Wahed FTSE USA Shariah ETF (HLAL)

Rating:76Outperform
Price Target:
HLAL’s rating reflects a portfolio led by high-quality tech giants like Apple, Microsoft, and Alphabet, whose strong financial performance, growth in cloud and AI, and positive earnings outlooks provide a solid foundation for the fund. These strengths are partly offset by holdings such as Tesla and Eli Lilly, where high valuations, leverage, and cash flow challenges introduce some risk. The main risk factor is the fund’s meaningful concentration in large U.S. technology and growth-oriented companies, which can increase sensitivity to shifts in tech sentiment and valuation.
Positive Factors
Large and Growing Fund Size
The ETF manages a sizable pool of assets, which can support better trading liquidity and fund stability for investors.
Strong Exposure to Leading Technology and Growth Companies
A big portion of the fund is invested in major technology and communication services names, including several top global companies that have shown strong or improving performance.
Sector Diversification Beyond Tech
While tech is a major focus, the ETF also holds meaningful positions in health care, consumer, industrial, and energy stocks, which helps spread risk across different parts of the economy.
Negative Factors
High Concentration in a Few Mega-Cap Stocks
A small number of large companies like Apple, Microsoft, and Alphabet make up a big share of the portfolio, so the fund’s results are heavily tied to how these specific stocks perform.
Mixed Performance Among Top Holdings
Several of the largest positions, including Apple, Microsoft, Meta, and Tesla, have shown weak year-to-date performance, which has weighed on the fund’s overall returns.
Higher Expense Ratio for a Passive U.S. Equity ETF
The fund’s ongoing fee is relatively high for a U.S.-focused index ETF, which can slowly reduce investors’ net returns over time.

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

HLAL Summary

HLAL is the Wahed FTSE USA Shariah ETF, which follows the FTSE USA Shariah Index. It invests in a broad mix of U.S. companies that meet Islamic guidelines, avoiding businesses tied to alcohol, gambling, and traditional banks. The fund is heavily invested in technology and communication companies, with well-known holdings like Apple and Microsoft, plus firms such as Alphabet and Tesla. Someone might consider HLAL for diversified access to U.S. stock market growth while staying aligned with Shariah and ethical values. A key risk is that it is concentrated in tech-related stocks, so its price can swing up and down more than the overall market.
How much will it cost me?The Wahed FTSE USA Shariah ETF (HLAL) has an expense ratio of 0.50%, which means you’ll pay $5 per year for every $1,000 invested. This is higher than the average for passively managed ETFs because it involves specialized screening to ensure Shariah compliance, which adds to the cost.
What would affect this ETF?The Wahed FTSE USA Shariah ETF (HLAL) could benefit from continued growth in the U.S. technology sector, which makes up a significant portion of its holdings, as well as increasing interest in socially responsible and Shariah-compliant investing. However, it may face challenges from rising interest rates or economic slowdowns that could negatively impact growth-oriented sectors like technology and communication services, which are heavily weighted in the ETF. Regulatory changes or geopolitical tensions affecting the U.S. market could also influence its performance.

HLAL Top 10 Holdings

HLAL is heavily hitched to U.S. Big Tech, with Apple, Microsoft, Alphabet, and Meta all losing steam lately and acting as a headwind for the fund. Tesla is also dragging performance, adding more volatility to this tech-tilted, growth-heavy mix. Offsetting some of that weakness, Exxon Mobil and Micron have been rising, giving the portfolio a lift from energy and semiconductor strength. With all holdings based in the U.S. and a clear tilt toward technology and communication services, HLAL’s story is very much about American growth giants, for better or worse.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Apple13.32%$95.38M$3.80T50.13%
79
Outperform
Microsoft9.61%$68.82M$2.77T5.17%
79
Outperform
Alphabet Class A5.79%$41.47M$3.62T107.32%
85
Outperform
Broadcom5.03%$35.98M$1.49T101.52%
76
Outperform
Alphabet Class C4.72%$33.77M$3.62T99.45%
82
Outperform
Meta Platforms4.27%$30.59M$1.45T12.26%
76
Outperform
Tesla3.80%$27.19M$1.32T59.03%
73
Outperform
Eli Lilly & Co2.53%$18.11M$875.90B27.65%
72
Outperform
Exxon Mobil2.44%$17.47M$680.72B62.12%
74
Outperform
Johnson & Johnson2.03%$14.51M$580.40B60.65%
78
Outperform

HLAL Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
61.76
Negative
100DMA
61.82
Negative
200DMA
59.32
Positive
Market Momentum
MACD
-0.69
Negative
RSI
47.86
Neutral
STOCH
78.36
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For HLAL, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 60.13, equal to the 50-day MA of 61.76, and equal to the 200-day MA of 59.32, indicating a neutral trend. The MACD of -0.69 indicates Negative momentum. The RSI at 47.86 is Neutral, neither overbought nor oversold. The STOCH value of 78.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HLAL.

HLAL Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$729.66M0.50%
76
Outperform
$975.12M0.10%
75
Outperform
$910.84M0.59%
69
Neutral
$857.36M1.30%
62
Neutral
$836.08M0.27%
71
Outperform
$737.48M0.15%
73
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
HLAL
Wahed FTSE USA Shariah ETF
60.13
17.43
40.82%
SUSL
iShares ESG MSCI USA Leaders ETF
SYLD
Cambria Shareholder Yield ETF
ULTY
YieldMax Ultra Option Income Strategy ETF
AUSF
Global X Adaptive U.S. Factor ETF
FDMO
Fidelity Momentum Factor 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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