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KBWB - ETF AI Analysis
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Invesco KBW Bank ETF (KBWB)
Rating:73Outperform
Price Target:
$83.00
Positive Factors
Strong Top Holdings
Several major holdings, including Morgan Stanley and Goldman Sachs, have delivered strong year-to-date performance, supporting the ETF’s overall returns.
Low Expense Ratio
The ETF has a relatively low expense ratio, making it cost-effective for investors compared to other funds.
Healthy Asset Base
The fund has a substantial amount of assets under management, indicating investor confidence and stability.
Negative Factors
Sector Concentration
The ETF is heavily focused on the financial sector, which increases vulnerability to industry-specific risks.
Geographic Overexposure
Nearly all holdings are U.S.-based, limiting diversification and exposure to international markets.
Mixed Holding Performance
While some top holdings have performed well, others like US Bancorp have lagged, potentially dragging on overall returns.
KBWB vs. SPDR S&P 500 ETF (SPY)
AUM5.49B
RegionNorth America
Expense Ratio0.35%
Beta1.14
IssuerInvesco
Inception DateNov 01, 2011
Dividend Yield2.14%
Asset ClassEquity
Index TrackedKBW Nasdaq Bank Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume2,915,939
30 Day Avg. Volume2,468,518
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
87.50Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering26
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
KBWB Summary
The Invesco KBW Bank ETF (KBWB) is a fund that focuses on the U.S. banking industry, tracking the KBW Nasdaq Bank Index. It includes major banks like JPMorgan Chase and Wells Fargo, as well as regional banks, giving investors exposure to the financial sector. This ETF could be a good choice for someone looking to diversify their portfolio with a focus on banks, which play a key role in the economy. However, new investors should know that the ETF’s performance is closely tied to the banking sector, which can be affected by interest rate changes and economic conditions.
How much will it cost me?The Invesco KBW Bank ETF (KBWB) 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 a sector-focused fund, which typically involves more specialized management compared to broad index funds.
What would affect this ETF?The KBWB ETF, which focuses on U.S. banks, could benefit from rising interest rates as banks typically earn more from lending in such environments, as well as advancements in financial technology that enhance efficiency and profitability. However, it may face challenges from stricter banking regulations, economic slowdowns, or regional instability that could impact loan demand and credit quality. Its heavy reliance on major U.S. banks means its performance is closely tied to the health of the domestic financial sector.
KBWB Top 10 Holdings
The Invesco KBW Bank ETF (KBWB) is heavily concentrated in the U.S. banking sector, with major players like Morgan Stanley, Goldman Sachs, and JPMorgan Chase leading the charge. Morgan Stanley and Goldman Sachs are rising stars, benefiting from strong earnings and strategic positioning, though their high leverage warrants caution. Bank of America and Wells Fargo are steady contributors, showing solid growth despite some financial challenges. However, US Bancorp is lagging, with mixed signals and flat year-to-date performance. Overall, the fund’s focus on financials makes it sensitive to interest rate shifts and economic conditions.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Morgan Stanley | 8.56% | $466.77M | $251.38B | 17.43% | 76 Outperform | |
| Goldman Sachs Group | 8.46% | $461.23M | $232.15B | 28.41% | 71 Outperform | |
| Bank of America | 8.27% | $451.25M | $376.52B | 9.70% | 70 Outperform | |
| Wells Fargo | 8.23% | $449.10M | $260.89B | 9.41% | 76 Outperform | |
| JPMorgan Chase | 8.05% | $439.06M | $811.29B | 19.90% | 72 Outperform | |
| Citigroup | 4.16% | $226.94M | $176.60B | 41.32% | 67 Neutral | |
| Bank of New York Mellon | 4.10% | $223.78M | $74.22B | 32.80% | 78 Outperform | |
| State Street | 4.05% | $220.85M | $31.94B | 17.29% | 74 Outperform | |
| US Bancorp | 3.98% | $217.26M | $74.27B | -8.97% | 75 Outperform | |
| Truist Financial | 3.95% | $215.68M | $58.18B | -5.17% | 65 Neutral |
KBWB Technical Analysis
Neutral
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Price Trends
76.91
Negative
75.57
Positive
69.65
Positive
Market Momentum
-0.18
Positive
48.26
Neutral
25.04
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For KBWB, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 76.86, equal to the 50-day MA of 76.91, and equal to the 200-day MA of 69.65, indicating a neutral trend. The MACD of -0.18 indicates Positive momentum. The RSI at 48.26 is Neutral, neither overbought nor oversold. The STOCH value of 25.04 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for KBWB.
KBWB Peer Comparison
Comparison Results
Performance Comparison
KBWB
Invesco KBW Bank ETF
76.23
6.57
9.43%
IYF
iShares U.S. Financials ETF
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KRE
SPDR S&P Regional Banking ETF
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FNCL
Fidelity MSCI Financials Index ETF
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FXO
First Trust Financials AlphaDEX Fund
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IYG
iShares US Financial Services ETF
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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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