KBE - ETF AI Analysis

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SPDR S&P Bank ETF (KBE)

Rating:73Outperform

Price Target:―

KBE, the SPDR S&P Bank ETF, has a solid overall rating driven mainly by strong, well-managed regional and diversified financial institutions like Axos Financial, Cullen/Frost Bankers, Glacier Bancorp, and Bok Financial, which show robust profitability, healthy balance sheets, and supportive earnings-call sentiment. These strengths are reinforced by larger players such as PNC and Fifth Third Bancorp, whose strategic growth moves and generally fair valuations help the fund, while weaker names like Rocket Companies, with higher leverage and valuation concerns, slightly weigh on the rating. The main risk factor is the ETF’s concentration in the banking and broader financial sector, which makes it sensitive to interest-rate changes, credit conditions, and the overall health of the financial system.

Positive Factors

Broad Bank Stock Exposure

The ETF holds many different U.S. bank and financial stocks, spreading risk across a wide group of companies instead of relying on just a few.

Strong Performance From Top Holdings

Several of the largest positions have shown strong gains so far this year, helping support the fund’s overall results.

Recent Performance Momentum

The ETF has delivered positive returns over the year to date and the last three months, showing improving momentum despite a slightly weak recent month.

Negative Factors

Heavy Sector Concentration

Almost all of the fund is invested in the financial sector, so it is highly sensitive to problems specific to banks and financial companies.

Single-Country Focus

The ETF invests almost entirely in U.S. companies, offering little geographic diversification if the U.S. financial sector faces stress.

Moderate Expense Ratio

The fund’s expense ratio is not especially low, which slightly reduces the net returns investors keep over time.

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

AUM1.50B

RegionNorth America

Expense Ratio0.35%

Beta0.94

IssuerSPDR

Inception DateNov 08, 2005

Dividend Yield2.41%

Asset ClassEquity

Index TrackedS&P Banks Select Industry

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume1,926,224

30 Day Avg. Volume1,687,424

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

72.13

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering103

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

KBE Summary

KBE is the SPDR S&P Bank ETF, which follows the S&P Banks Select Industry Index. It invests mainly in U.S. bank stocks, from regional lenders to larger financial companies. Some of its holdings include well-known names like PNC Financial and Fifth Third Bancorp. An investor might choose KBE to get diversified exposure to the banking sector in a single investment, which can benefit when the economy and interest rates move in its favor. A key risk is that it is heavily tied to bank stocks, so it can rise or fall sharply with changes in the financial sector and the overall economy.

How much will it cost me?The SPDR S&P Bank ETF (KBE) has an expense ratio of 0.35%, meaning you’ll pay $3.50 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 involve more specialized tracking costs.

What would affect this ETF?The SPDR S&P Bank ETF (KBE) could benefit from rising interest rates, as banks typically earn more from lending in such environments, and economic growth may drive increased demand for banking services. However, it faces risks from potential regulatory changes or economic slowdowns, which could reduce profitability and loan activity. With its focus on U.S. banks like JPMorgan Chase and Bank of America, the ETF is closely tied to the health of the U.S. economy and financial sector trends.

KBE Top 10 Holdings

KBE is very much a pure play on U.S. banks, and its recent story is one of broad strength rather than a single star. Regional and mid-size names like PennyMac Financial, Rocket Companies, and Axos Financial have been rising, giving the fund a solid tailwind as investors warm back up to rate-sensitive lenders. Traditional banking workhorses such as PNC Financial and Fifth Third Bancorp are also pulling their weight, adding steady momentum. With holdings spread across many banks, no single name dominates, but the sector bet is clear: this ETF lives and dies with U.S. financials.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
PFSI	PennyMac Financial	1.17%	$17.66M	$7.90B	33.70%	69 Neutral
JXN	Jackson Financial Incorporation	1.12%	$16.80M	$7.76B	21.03%	73 Outperform
RKT	Rocket Companies	1.11%	$16.78M	$59.73B	8.71%	54 Neutral
GBCI	Glacier Bancorp	1.11%	$16.72M	$6.30B	-2.26%	74 Outperform
BOKF	Bok Financial	1.10%	$16.63M	$8.25B	17.48%	73 Outperform
AX	Axos Financial	1.10%	$16.62M	$5.29B	29.09%	78 Outperform
NTRS	Northern	1.10%	$16.56M	$28.30B	33.40%	78 Outperform
CUBI	Customers Bancorp	1.09%	$16.47M	$2.65B	33.13%	74 Outperform
AUB	Atlantic Union Bankshares	1.09%	$16.47M	$5.55B	3.62%	79 Outperform
BOH	Bank Of Hawaii	1.09%	$16.44M	$2.99B	-0.48%	71 Outperform

KBE Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

60.90

Positive

100DMA

59.59

Positive

200DMA

56.89

Positive

Market Momentum

MACD

0.68

Positive

RSI

54.83

Neutral

STOCH

37.09

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For KBE, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 62.71, equal to the 50-day MA of 60.90, and equal to the 200-day MA of 56.89, indicating a bullish trend. The MACD of 0.68 indicates Positive momentum. The RSI at 54.83 is Neutral, neither overbought nor oversold. The STOCH value of 37.09 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for KBE.

KBE Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
KBE	―	―	$1.50B	0.35%	―
KBWB	―	―	$6.19B	0.35%	―
IYF	―	―	$4.17B	0.38%	―
FNCL	―	―	$2.40B	0.08%	―
FXO	―	―	$2.17B	0.62%	―
IYG	―	―	$2.01B	0.38%	―

Performance Comparison

KBE

SPDR S&P Bank ETF

63.32

6.33

11.11%

KBWB

Invesco KBW Bank ETF

―

IYF

iShares U.S. Financials ETF

―

FNCL

Fidelity MSCI Financials Index ETF

―

FXO

First Trust Financials AlphaDEX Fund

―

IYG

iShares US Financial Services 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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