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ITA - ETF AI Analysis
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iShares U.S. Aerospace & Defense ETF (ITA)
Rating:69Neutral
Price Target:―
Positive Factors
Strong Recent Performance
The ETF has shown solid gains so far this year and in recent months, indicating positive momentum in the aerospace and defense sector.
Leading Defense and Aerospace Companies
Many of the top holdings, including major defense contractors and aerospace firms, have delivered strong year-to-date performance, helping drive the fund’s returns.
Large Asset Base
The fund manages a substantial amount of assets, which can support liquidity and trading ease for investors.
Negative Factors
High Stock Concentration
A small number of companies, especially the largest holding, make up a big share of the portfolio, increasing the impact if any of them run into trouble.
Single-Sector Focus
Almost all of the ETF is invested in industrials within aerospace and defense, so it may be hit hard if this specific industry faces a downturn.
Limited Geographic Diversification
The fund is almost entirely invested in U.S. companies, offering little exposure to aerospace and defense firms in other regions.
ITA vs. SPDR S&P 500 ETF (SPY)
AUM14.84B
RegionNorth America
Expense Ratio0.38%
Beta1.00
IssueriShares
Inception DateMay 01, 2006
Dividend Yield0.69%
Asset ClassEquity
Index TrackedDJ US Select / Aerospace & Defense
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume885,962
30 Day Avg. Volume725,473
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
263.84Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering41
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
ITA Summary
The iShares U.S. Aerospace & Defense ETF (ITA) tracks the Dow Jones U.S. Select Aerospace & Defense Index, focusing on U.S. companies in the aerospace and defense industry. It holds well-known names like Boeing and Lockheed Martin, along with other firms that make aircraft, defense systems, and related parts and services. Someone might invest in ITA to get targeted exposure to a sector supported by government spending and long-term defense and aviation needs, without having to pick individual stocks. A key risk is that it is heavily concentrated in one sector, so it can rise or fall sharply with changes in defense budgets and industry news.
How much will it cost me?The iShares U.S. Aerospace & Defense ETF (ITA) has an expense ratio of 0.38%, which means you’ll pay $3.80 per year for every $1,000 invested. This expense ratio is slightly higher than average because the ETF focuses on a specific sector (aerospace and defense) and tracks a niche index, which typically requires more specialized management compared to broad-market ETFs.
What would affect this ETF?The iShares U.S. Aerospace & Defense ETF (ITA) could benefit from increased government defense spending, technological advancements in aerospace, and growing global security concerns, which drive demand for its top holdings like Boeing and Lockheed Martin. However, potential risks include budget cuts to defense programs, geopolitical tensions affecting supply chains, and regulatory changes that could impact the profitability of companies in the sector.
ITA Top 10 Holdings
ITA is a pure U.S. aerospace and defense play, and its story right now is all about a powerful core of defense giants with a few more volatile names around the edges. GE Aerospace is more of a steady engine, while RTX, Northrop Grumman, and General Dynamics are helping push the fund higher as defense spending stays strong. Lockheed Martin and L3Harris are also rising, adding extra lift. Boeing, despite its recent rebound, still feels like a bumpy ride, and Axon’s mixed performance has been more of a side story than a main driver.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| GE Aerospace | 19.76% | $2.93B | $321.77B | 50.70% | 72 Outperform | |
| RTX | 16.45% | $2.44B | $269.40B | 55.82% | 74 Outperform | |
| Boeing | 8.14% | $1.21B | $183.02B | 32.40% | 54 Neutral | |
| Lockheed Martin | 5.35% | $792.61M | $145.92B | 37.00% | 70 Outperform | |
| Northrop Grumman | 4.92% | $728.96M | $98.25B | 42.07% | 76 Outperform | |
| L3Harris Technologies | 4.73% | $701.19M | $64.13B | 61.71% | 70 Neutral | |
| Transdigm Group | 4.33% | $640.75M | $80.59B | 5.48% | 69 Neutral | |
| Howmet Aerospace | 4.27% | $632.49M | $83.66B | 64.39% | 67 Neutral | |
| General Dynamics | 4.05% | $599.94M | $94.84B | 36.62% | 80 Outperform | |
| Axon Enterprise | 3.26% | $483.04M | $38.16B | -25.85% | 58 Neutral |
ITA Technical Analysis
Positive
―
Price Trends
218.10
Positive
213.20
Positive
197.20
Positive
Market Momentum
4.41
Positive
54.55
Neutral
12.86
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For ITA, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 234.10, equal to the 50-day MA of 218.10, and equal to the 200-day MA of 197.20, indicating a neutral trend. The MACD of 4.41 indicates Positive momentum. The RSI at 54.55 is Neutral, neither overbought nor oversold. The STOCH value of 12.86 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ITA.
ITA Peer Comparison
Comparison Results
Performance Comparison
ITA
iShares U.S. Aerospace & Defense ETF
232.38
76.58
49.15%
VGT
Vanguard Information Technology ETF
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XLK
Technology Select Sector SPDR Fund
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XLF
Financial Select Sector SPDR Fund
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XLV
Health Care Select Sector SPDR Fund
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XLI
Industrial Select Sector SPDR Fund
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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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