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JEDI - ETF AI Analysis

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JEDI

Defiance Drone and Modern Warfare ETF (JEDI)

Rating:66Neutral
Price Target:
JEDI, the Defiance Drone and Modern Warfare ETF, has a solid overall rating driven mainly by strong, diversified defense and technology names like CACI International, Leidos, RTX, Thales, Saab, and Elbit Systems, which all show robust financial performance, healthy backlogs, and positive earnings commentary. However, holdings such as Rocket Lab, Kratos Defense, and AeroVironment introduce some drag on the rating due to profitability, cash flow, and bearish technical trends, and the fund’s focus on defense and modern warfare means investors are exposed to sector-specific and geopolitical risks.
Positive Factors
Strong Recent Performance
The ETF has shown strong gains so far this year and in recent months, indicating solid momentum in its strategy.
Leading Defense and Drone Companies
Many of the top holdings, such as key defense and aerospace names, have delivered strong year-to-date results that support the fund’s performance.
Global Exposure Within a Focused Theme
While centered on modern warfare and drones, the fund still spreads its investments across several countries, which helps reduce reliance on any single market.
Negative Factors
High Expense Ratio
The fund charges a relatively high fee, which can eat into long-term returns compared with lower-cost ETFs.
Sector Concentration in Industrials
With most assets in industrials and a large tilt toward defense-related companies, the ETF is heavily exposed to downturns in this specific area of the market.
Meaningful Single-Stock and Country Concentration
A small group of holdings and a heavy tilt toward U.S. stocks make the fund more sensitive to issues affecting those companies and the U.S. market.

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

JEDI Summary

JEDI is the Defiance Drone and Modern Warfare ETF, which follows the BITA Drone & Modern Warfare Select Index. It focuses on companies involved in drones, advanced weapons, and military technology, mainly in the industrials and tech sectors. The fund holds well-known names like RTX and Palantir Technologies, along with specialized defense firms. Someone might invest in JEDI if they believe spending on defense and high-tech warfare will keep growing and want targeted exposure to that theme. A key risk is that it is heavily concentrated in defense and tech stocks, so its price can swing sharply with changes in military budgets and global tensions.
How much will it cost me?The Defiance Drone and Modern Warfare ETF (JEDI) has an expense ratio of 0.69%, meaning you’ll pay $6.90 per year for every $1,000 invested. This is higher than average because the fund is actively managed and focuses on a specialized niche in aerospace and defense technology, which requires more research and management expertise.
What would affect this ETF?The JEDI ETF could benefit from increased government spending on defense and advancements in drone and cybersecurity technologies, as these areas are central to its holdings and sector focus. However, it may face challenges from geopolitical tensions, regulatory changes, or reduced defense budgets in developed markets, which could negatively impact its growth potential.

JEDI Top 10 Holdings

JEDI is firmly hitched to the modern war machine, with a heavy tilt toward aerospace and defense names across developed markets. RTX, L3Harris, Thales, Saab, and Elbit are doing most of the heavy lifting, with steady to rising performance powered by strong backlogs and defense spending. On the flip side, Rocket Lab and Kratos are more volatile high‑beta bets, recently lagging as profitability and cash flow worries creep in. Leidos and AeroVironment have also been soft lately, subtly putting the brakes on the fund’s otherwise forward momentum.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
L3Harris Technologies7.84%$6.86M$68.80B72.92%
70
Neutral
Elbit Systems7.72%$6.76M₪143.28B148.29%
73
Outperform
Rocket Lab USA7.66%$6.71M$39.43B337.10%
57
Neutral
RTX7.65%$6.69M$274.58B53.24%
74
Outperform
Saab AB6.50%$5.69Mkr376.42B80.46%
70
Outperform
Thales6.18%$5.41M€52.08B-1.52%
73
Outperform
Kratos Defense5.89%$5.16M$17.38B192.72%
60
Neutral
Palantir Technologies5.83%$5.10M$365.38B77.43%
74
Outperform
Caci International5.43%$4.76M$13.44B57.16%
78
Outperform
Leidos Holdings5.11%$4.47M$21.08B21.87%
77
Outperform

JEDI Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
27.43
Negative
100DMA
25.83
Positive
200DMA
Market Momentum
MACD
0.08
Negative
RSI
51.74
Neutral
STOCH
68.68
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For JEDI, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 26.82, equal to the 50-day MA of 27.43, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of 0.08 indicates Negative momentum. The RSI at 51.74 is Neutral, neither overbought nor oversold. The STOCH value of 68.68 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for JEDI.

JEDI Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$90.22M0.69%
66
Neutral
$83.57M0.50%
65
Neutral
$78.63M0.45%
66
Neutral
$52.00M0.35%
75
Outperform
$32.01M0.35%
66
Neutral
$14.22M0.49%
69
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
JEDI
Defiance Drone and Modern Warfare ETF
27.09
1.36
5.29%
AGNG
Global X Aging Population ETF
WCBR
WisdomTree Cybersecurity Fund
FDIQ
Invesco Bloomberg Financial Data Providers ETF
WISE
Themes Generative Artificial Intelligence ETF
FOWF
Pacer Solactive Whitney Future of Warfare 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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