KAT - ETF AI Analysis

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Scharf ETF (KAT)

Rating:66Neutral

Price Target:―

The Scharf ETF (KAT) has a solid overall rating, driven by strong contributions from holdings like Microsoft (MSFT) and Markel (MKL). Microsoft benefits from robust growth in its cloud and AI segments, supported by strategic investments and a positive long-term outlook. Markel adds strength with its strong financial performance and improvements in its insurance segment. However, weaker holdings such as Booking Holdings (BKNG), which faces leverage issues and bearish technical indicators, may have slightly weighed on the fund's rating. A key risk for the ETF is its exposure to companies with high leverage, which could impact performance during periods of financial instability.

Positive Factors

Strong Top Holdings

Several key positions, such as Oracle and McKesson, have delivered strong year-to-date performance, supporting the fund's overall returns.

Sector Diversification

The ETF is spread across multiple sectors, including Health Care, Financials, and Technology, reducing reliance on any single industry.

Steady Asset Growth

The fund has a healthy level of assets under management, indicating investor confidence and stability.

Negative Factors

High Expense Ratio

The ETF charges a relatively high expense ratio, which could eat into investor returns over time.

Geographic Concentration

With over 93% exposure to U.S. companies, the fund lacks significant global diversification.

Mixed Performance in Holdings

Some top holdings, such as Union Pacific, have shown weak year-to-date performance, potentially dragging on overall returns.

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

AUM740.56M

RegionGlobal

Expense Ratio0.75%

Beta0.71

IssuerScharf

Inception DateAug 25, 2025

Dividend YieldN/A

Asset ClassEquity

Index TrackedNo Underlying Index

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume13,200

30 Day Avg. Volume23,579

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

62.28

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering32

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

KAT Summary

The Scharf ETF (Ticker: KAT) is an actively managed fund that invests in companies from various sectors and countries, with a strong focus on the U.S. market. It includes well-known companies like Microsoft and McKesson, and covers industries such as healthcare, technology, and finance. This ETF is designed for investors seeking growth and diversification, as it combines expert research with a global approach to uncover opportunities across different sectors and regions. However, new investors should be aware that the fund’s performance can fluctuate with market conditions, and its active management comes with a higher expense ratio compared to passive ETFs.

How much will it cost me?The Scharf ETF (Ticker: KAT) has an expense ratio of 0.75%, which means you’ll pay $7.50 per year for every $1,000 invested. This is higher than the average for ETFs because it is actively managed, requiring more research and oversight compared to passively managed funds that track an index.

What would affect this ETF?The Scharf ETF (KAT) could benefit from global economic growth, particularly in sectors like healthcare, technology, and financials, which make up a significant portion of its holdings. However, it may face challenges from rising interest rates, which could impact financial stocks, or regulatory changes affecting healthcare and technology industries. Its global exposure also means it could be influenced by geopolitical tensions or varying economic conditions across regions.

KAT Top 10 Holdings

The Scharf ETF is leaning heavily into financials and healthcare, with McKesson and Markel standing out as steady performers, bolstered by strong earnings and strategic initiatives. Technology names like Microsoft are showing mixed signals, with cloud and AI growth offset by valuation concerns. Franco-Nevada from the materials sector is rising on solid profitability and acquisitions, while Zoetis in healthcare is lagging due to bearish trends and market challenges. With a global mix of holdings, the fund’s concentration in financials and healthcare is driving its narrative, but some tech and healthcare names are holding it back.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
MSFT	Microsoft	5.59%	$41.39M	$3.55T	14.12%	79 Outperform
MCK	McKesson	5.30%	$39.24M	$100.55B	40.03%	62 Neutral
UNP	Union Pacific	4.58%	$33.93M	$136.34B	2.06%	72 Outperform
FNV	Franco-Nevada	4.47%	$33.10M	C$60.27B	77.53%	74 Outperform
BN	Brookfield Corporation	4.25%	$31.46M	$118.04B	29.05%	65 Neutral
ADBE	Adobe	4.06%	$30.10M	$141.92B	-16.48%	80 Outperform
OTIS	Otis Worldwide	4.03%	$29.83M	$35.23B	-0.42%	67 Neutral
MKL	Markel	3.98%	$29.47M	$27.08B	29.34%	82 Outperform
BKNG	Booking Holdings	3.94%	$29.21M	$177.03B	14.88%	63 Neutral
ZTS	Zoetis	3.90%	$28.86M	$56.04B	-22.33%	74 Outperform

KAT Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

54.38

Positive

100DMA

200DMA

Market Momentum

MACD

0.46

Negative

RSI

66.21

Neutral

STOCH

85.60

Negative

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For KAT, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 55.14, equal to the 50-day MA of 54.38, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of 0.46 indicates Negative momentum. The RSI at 66.21 is Neutral, neither overbought nor oversold. The STOCH value of 85.60 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KAT.

KAT Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
KAT	―	―	$740.56M	0.75%	―
RGEF	―	―	$764.68M	0.55%	―
DWLD	―	―	$528.86M	0.63%	―
JSTC	―	―	$267.08M	0.89%	―
NANC	―	―	$266.90M	0.74%	―
FMAG	―	―	$266.00M	0.57%	―

Performance Comparison

KAT

Scharf ETF

56.26

1.83

3.36%

RGEF

Rockefeller Global Equity ETF

―

DWLD

Davis Select Worldwide Etf

―

JSTC

Adasina Social Justice All Cap Global ETF

―

NANC

Unusual Whales Subversive Democratic Trading ETF

―

FMAG

Fidelity Magellan 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.

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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