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IAT - ETF AI Analysis

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IAT

iShares U.S. Regional Banks ETF (IAT)

Rating:74Outperform
Price Target:
IAT, the iShares U.S. Regional Banks ETF, has a solid overall rating driven by strong, well-positioned regional banks with healthy earnings and generally attractive valuations. Major holdings like US Bancorp, M&T Bank, Huntington Bancshares, and Regions Financial contribute positively through robust financial performance, strategic growth moves, and supportive earnings calls. The main risk is that the fund is heavily concentrated in U.S. regional banks, which can face shared pressures such as revenue growth challenges, overbought technical conditions, and sector-specific headwinds.
Positive Factors
Strong Recent Performance
The ETF has shown solid gains so far this year and in recent months, indicating positive momentum in regional bank stocks.
Leading Bank Holdings Performing Well
Several of the largest positions, such as PNC Financial, US Bancorp, and other major regional banks, have delivered strong year-to-date results that support the fund’s overall performance.
Focused Exposure to U.S. Financials
The fund’s near-total focus on U.S. financial companies gives investors a targeted way to benefit when the regional banking sector is doing well.
Negative Factors
High Concentration in Top Holdings
A large share of the fund is invested in just a few banks, which increases the impact that problems at those specific companies could have on the ETF.
Sector Concentration Risk
Almost all assets are in the financial sector, so any broad weakness in U.S. regional banks could significantly hurt the fund.
Moderate Expense Ratio
The fund’s expense ratio is not especially low, meaning fees may take a noticeable bite out of long-term returns compared with cheaper ETFs.

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

IAT Summary

IAT is the iShares U.S. Regional Banks ETF, which follows the DJ US Select Regional Banks index. It invests in a basket of U.S. regional banks, giving you exposure to financial companies that focus on serving local communities. Well-known holdings include PNC Financial and US Bancorp. Someone might invest in IAT to gain diversified access to regional banks that can benefit when the economy grows and interest rates rise. However, this ETF is heavily focused on bank stocks, so its value can go up or down sharply with changes in the financial sector and the broader market.
How much will it cost me?The iShares U.S. Regional Banks ETF (IAT) has an expense ratio of 0.38%, meaning you’ll pay $3.80 per year for every $1,000 invested. This is slightly higher than the average for passively managed ETFs because it focuses on a specific niche—regional banks—which requires more targeted management.
What would affect this ETF?The iShares U.S. Regional Banks ETF (IAT) could benefit from rising interest rates, which often improve bank profitability by increasing the margin between lending and borrowing rates. Additionally, localized economic growth in the U.S. may positively impact regional banks due to their strong community ties. However, challenges such as stricter banking regulations or economic slowdowns in specific regions could negatively affect the ETF's performance, as regional banks are more sensitive to localized economic and regulatory pressures.

IAT Top 10 Holdings

IAT is essentially a pure play on U.S. regional banks, with performance largely steered by heavyweights PNC Financial and US Bancorp, both rising on solid earnings and a friendlier rate backdrop. Fifth Third, M&T Bank, and Citizens Financial are also pulling their weight, adding steady momentum to the fund. On the flip side, Huntington Bancshares and KeyCorp have been more mixed lately, occasionally dragging on returns as investors worry about credit quality and funding costs. With nearly all exposure in U.S. financials, this ETF is a focused bet on America’s hometown lenders.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
PNC Financial14.88%$99.99M$100.15B28.02%
71
Outperform
US Bancorp14.66%$98.51M$99.67B38.10%
76
Outperform
Truist Financial9.52%$63.97M$64.49B13.38%
70
Outperform
Fifth Third Bancorp6.36%$42.72M$52.03B34.01%
71
Outperform
M&T Bank4.66%$31.30M$36.18B28.81%
76
Outperform
Citizens Financial4.62%$31.08M$30.40B45.24%
75
Outperform
Huntington Bancshares4.31%$28.95M$35.19B3.09%
80
Outperform
Regions Financial4.17%$28.03M$26.34B16.80%
79
Outperform
KeyCorp3.31%$22.21M$24.45B21.97%
69
Neutral
First Citizens BancShares3.19%$21.41M$24.77B3.08%
73
Outperform

IAT Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
60.15
Positive
100DMA
57.73
Positive
200DMA
55.72
Positive
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For IAT, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 63.31, equal to the 50-day MA of 60.15, and equal to the 200-day MA of 55.72, indicating a bullish trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IAT.

IAT Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$669.45M0.38%
74
Outperform
$630.45M0.35%
71
Outperform
$531.89M0.48%
62
Neutral
$500.20M0.38%
75
Outperform
$444.04M0.35%
68
Neutral
$404.59M5.39%
64
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IAT
iShares U.S. Regional Banks ETF
63.47
13.47
26.94%
KIE
SPDR S&P Insurance ETF
REM
iShares Mortgage Real Estate ETF
IAK
iShares U.S. Insurance ETF
KCE
SPDR S&P Capital Markets ETF
KBWD
Invesco KBW High Dividend Yield Financial 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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