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IYC - ETF AI Analysis

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IYC

iShares U.S. Consumer Discretionary ETF (IYC)

Rating:69Neutral
Price Target:
IYC, the iShares U.S. Consumer Discretionary ETF, earns a solid overall rating thanks to major holdings like Amazon and Tesla, which bring strong financial performance and growth potential to the fund. Retail leaders such as Walmart and Costco further support the rating with robust operations and strategic expansion, although signs of overvaluation and some bearish technical trends in names like Home Depot and Costco slightly weigh on the outlook. The main risk is the fund’s heavy concentration in a single, economically sensitive sector—consumer discretionary—which can make it more volatile during economic slowdowns.
Positive Factors
Large, Well-Known Consumer Leaders
The fund’s biggest positions include major consumer brands like Amazon, Costco, and Walmart, which have shown generally strong or resilient performance and help anchor the portfolio.
Focused Exposure to Consumer Spending
With most of its assets in consumer cyclical and related sectors, the ETF is positioned to benefit when consumer spending and economic conditions improve.
Meaningful Fund Size
The ETF manages over a billion dollars in assets, suggesting it has enough scale and investor interest to support ongoing trading and operations.
Negative Factors
Recent Weak Performance
The fund has delivered negative returns over the past month, three months, and year to date, indicating recent headwinds for its strategy.
High Concentration in a Few Names
A small number of large holdings like Amazon and Tesla make up a significant share of the portfolio, increasing the impact if any of these companies struggle.
Several Top Holdings Are Lagging
Key positions such as Tesla, Netflix, McDonald’s, Disney, and Uber have shown weak year-to-date performance, which has weighed on the overall fund.

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

IYC Summary

The iShares U.S. Consumer Discretionary ETF (IYC) tracks the Russell 1000 Consumer Discretionary Index, focusing on U.S. companies that benefit when people have extra money to spend. It holds well-known names like Amazon and Tesla, along with retailers, restaurants, and entertainment companies. Someone might invest in IYC to seek growth from consumer spending and to get instant diversification across many brands instead of picking individual stocks. A key risk is that these types of companies can be very sensitive to the economy, so the ETF’s price can rise and fall sharply when consumer spending changes.
How much will it cost me?The iShares U.S. Consumer Discretionary ETF (IYC) has an expense ratio of 0.38%, which means you’ll pay $3.80 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is passively managed but focuses on a specific sector, which can require more specialized tracking.
What would affect this ETF?The iShares U.S. Consumer Discretionary ETF (IYC) could benefit from strong consumer spending, driven by economic growth, rising wages, or lower unemployment, which would positively impact its holdings like Amazon and Tesla. However, higher interest rates or economic slowdowns could reduce discretionary spending, negatively affecting sectors like retail and entertainment. Additionally, regulatory changes or supply chain disruptions in industries such as automotive and technology could pose risks to the ETF's performance.

IYC Top 10 Holdings

IYC leans heavily on U.S. consumer names, with Amazon and Tesla acting as the main engines—though both have been sputtering lately, weighing on returns. Big-box giants Walmart and Home Depot are also lagging, reflecting a cooler backdrop for retail and home improvement. Costco and TJX are steadier bright spots, helping cushion the bumps with more resilient performance. With a clear tilt toward consumer cyclical and retail, and all holdings U.S.-based, this ETF is essentially a focused bet on American shoppers and their willingness to spend.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Amazon15.87%$194.65M$2.92T23.26%
71
Outperform
Tesla6.74%$82.60M$1.23T-0.32%
73
Outperform
Home Depot4.23%$51.85M$331.00B-8.31%
66
Neutral
Walmart4.14%$50.76M$884.94B7.83%
78
Outperform
Costco4.07%$49.93M$422.14B-3.38%
72
Outperform
Netflix3.74%$45.89M$298.60B-38.81%
73
Outperform
McDonald's3.17%$38.88M$192.29B-10.14%
65
Neutral
Walt Disney3.03%$37.12M$167.04B-6.69%
75
Outperform
TJX Companies2.90%$35.61M$173.81B22.83%
79
Outperform
Booking Holdings2.70%$33.11M$149.47B-0.84%
63
Neutral

IYC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
100.76
Positive
100DMA
100.57
Positive
200DMA
101.61
Positive
Market Momentum
MACD
0.62
Negative
RSI
63.12
Neutral
STOCH
89.83
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For IYC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 100.50, equal to the 50-day MA of 100.76, and equal to the 200-day MA of 101.61, indicating a bullish trend. The MACD of 0.62 indicates Negative momentum. The RSI at 63.12 is Neutral, neither overbought nor oversold. The STOCH value of 89.83 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IYC.

IYC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$1.21B0.38%
69
Neutral
$9.79B0.09%
72
Outperform
$8.69B0.08%
70
Neutral
$8.62B0.08%
67
Neutral
$6.19B0.09%
69
Neutral
$1.64B0.08%
69
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IYC
iShares U.S. Consumer Discretionary ETF
103.91
3.78
3.78%
VDE
Vanguard Energy ETF
XLRE
Real Estate Select Sector SPDR Fund
XLB
Materials Select Sector SPDR Fund
VCR
Vanguard Consumer Discretionary ETF
FDIS
Fidelity MSCI Consumer Discretionary 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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