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IYR - ETF AI Analysis

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IYR

iShares U.S. Real Estate ETF (IYR)

Rating:69Neutral
Price Target:
IYR, the iShares U.S. Real Estate ETF, has a solid overall rating, mainly supported by large positions in Welltower and Prologis, which benefit from strong financial performance, positive earnings calls, and clear growth strategies in their real estate niches. Other key holdings like Equinix, Public Storage, and Realty Income also add strength through robust fundamentals and strategic initiatives, but concerns such as high valuations, bearish technical trends, and elevated leverage in several holdings introduce risk. The main risk factor for the ETF is its concentration in U.S. real estate, where many top holdings face potential overvaluation and debt-related pressures that could weigh on future returns.
Positive Factors
Strong Recent Fund Performance
The ETF has shown solid gains so far this year and in recent months, indicating positive momentum in its portfolio.
Leading Real Estate Holdings
Several of the largest positions, including major data center and healthcare real estate companies, have delivered strong returns, helping drive the fund’s overall performance.
Large, Established Fund
With several billion dollars in assets, the ETF is a sizable, well-established option in the U.S. real estate space, which can support good trading liquidity.
Negative Factors
High Sector Concentration
Almost all of the fund is invested in real estate, so it is heavily exposed to downturns in that single sector.
Limited Geographic Diversification
The ETF is almost entirely focused on U.S. companies, offering little protection if the U.S. real estate market weakens.
Mixed Performance Among Top Holdings
While many top positions are performing well, a few larger holdings have been weak, which can hold back overall returns.

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

IYR Summary

The iShares U.S. Real Estate ETF (IYR) follows the Dow Jones U.S. Real Estate Capped Index, giving you broad exposure to U.S. real estate companies, mainly real estate investment trusts (REITs). It holds well-known names like Prologis and Simon Property, which own warehouses, shopping centers, and other properties. Investors might consider IYR for diversification and potential income from dividends, since many real estate companies regularly pay out cash to shareholders. However, this ETF can be sensitive to changes in interest rates and the real estate market, so its value can go up and down over time.
How much will it cost me?The iShares U.S. Real Estate ETF (IYR) 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 it is a sector-focused fund, which typically requires more active management compared to broad market index ETFs.
What would affect this ETF?The iShares U.S. Real Estate ETF (IYR) could benefit from a strong U.S. economy and increasing demand for real estate, especially in sectors like industrial and data centers, which are represented by top holdings like Prologis and Equinix. However, rising interest rates or economic slowdowns could negatively impact real estate values and REIT performance, as higher borrowing costs and reduced consumer spending may pressure the sector. Regulatory changes or shifts in property tax policies could also influence the ETF's future performance.

IYR Top 10 Holdings

IYR is a pure U.S. real estate play, and its story right now is all about a few heavyweight REITs setting the tone. Healthcare-focused Welltower and logistics giant Prologis are doing the heavy lifting, with steady-to-rising performance that helps anchor the fund. Data-center names Equinix and Digital Realty have been standouts, giving the portfolio a tech-flavored boost within real estate. On the flip side, American Tower has been losing a bit of altitude, and CBRE’s mixed results have kept it from fully joining the rally. Overall, the ETF is concentrated in large, U.S.-listed REIT leaders across specialized property niches.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Welltower9.97%$401.79M$146.25B40.89%
77
Outperform
Prologis9.16%$369.29M$135.56B35.52%
76
Outperform
Equinix4.91%$197.92M$109.35B29.02%
73
Outperform
Digital Realty4.75%$191.59M$68.72B22.44%
69
Neutral
Simon Property4.66%$187.72M$65.35B26.99%
70
Outperform
Realty Income4.25%$171.43M$59.05B9.63%
70
Outperform
American Tower4.20%$169.48M$83.11B-17.04%
71
Outperform
Public Storage3.62%$145.80M$54.12B4.58%
73
Outperform
CBRE Group3.18%$128.38M$43.42B20.48%
70
Outperform
Ventas3.02%$121.56M$40.71B23.65%
68
Neutral

IYR Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
98.67
Positive
100DMA
97.04
Positive
200DMA
95.87
Positive
Market Momentum
MACD
1.27
Negative
RSI
61.79
Neutral
STOCH
56.66
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For IYR, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 100.52, equal to the 50-day MA of 98.67, and equal to the 200-day MA of 95.87, indicating a bullish trend. The MACD of 1.27 indicates Negative momentum. The RSI at 61.79 is Neutral, neither overbought nor oversold. The STOCH value of 56.66 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for IYR.

IYR Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$4.18B0.38%
69
Neutral
$9.81B0.07%
69
Neutral
$7.83B0.08%
69
Neutral
$3.72B0.08%
70
Neutral
$1.67B0.19%
69
Neutral
$1.43B0.08%
69
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
IYR
iShares U.S. Real Estate ETF
101.63
9.65
10.49%
SCHH
Schwab U.S. REIT ETF
XLRE
Real Estate Select Sector SPDR Fund
USRT
iShares Core U.S. REIT ETF
DFAR
Dimensional US Real Estate ETF
FREL
Fidelity MSCI Real Estate 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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