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MTUM - ETF AI Analysis

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MTUM

iShares MSCI USA Momentum Factor ETF (MTUM)

Rating:74Outperform
Price Target:
MTUM’s rating suggests it is a solid-quality ETF, largely driven by strong, growing companies like Micron, Johnson & Johnson, and Walmart, which show robust financial performance and positive outlooks in areas such as AI, healthcare, and retail. Several major semiconductor names like Nvidia, Broadcom, Lam Research, and AMD also support the rating with strong growth prospects, but their high valuations and some mixed technical signals can limit upside. The main risk factor is the fund’s heavy exposure to a concentrated group of AI and semiconductor-related stocks, which could increase volatility if that sector faces a downturn.
Positive Factors
Large Asset Base
The fund manages a substantial amount of money, which can support liquidity and trading efficiency for investors.
Momentum-Focused Growth Names
Many top holdings are well-known growth and technology-related companies that have shown strong momentum over time, which can help drive returns when this style is in favor.
Moderate Expense Ratio
The ETF charges a relatively modest fee for a factor-based strategy, helping investors keep more of their potential returns.
Negative Factors
Recent Weakness in Key Holdings
Several of the largest positions have shown weak year-to-date performance, which has weighed on the fund’s recent results.
Heavy Tilt Toward Technology
A large share of the portfolio is in technology and related sectors, increasing the fund’s sensitivity to swings in that part of the market.
Very Concentrated in the U.S.
With almost all assets invested in U.S. companies, the fund offers little geographic diversification and is highly tied to the U.S. market’s fortunes.

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

MTUM Summary

MTUM is the iShares MSCI USA Momentum Factor ETF, which follows the MSCI USA Momentum Index. It focuses on U.S. stocks whose prices have been rising strongly, especially in technology and financials. Well-known holdings include Microsoft and JPMorgan Chase. Investors might consider MTUM if they want a simple way to aim for higher growth by owning recent stock market winners while still staying diversified across many companies. A key risk is that momentum stocks can fall quickly when trends reverse, so the ETF’s value can go up and down more than the overall market.
How much will it cost me?The iShares MSCI USA Momentum Factor ETF (MTUM) has an expense ratio of 0.15%, which means you’ll pay $1.50 per year for every $1,000 invested. This is lower than average for actively managed funds, as MTUM is passively managed to track the MSCI USA Momentum Index, keeping costs down.
What would affect this ETF?The MTUM ETF, which focuses on U.S. stocks with strong price momentum, could benefit from continued growth in the technology sector, as it holds major companies like Broadcom, Nvidia, and Microsoft. However, it may face challenges if interest rates rise, potentially impacting high-growth sectors like tech and communication services, or if economic conditions weaken, affecting consumer spending and financial stocks. Regulatory changes in key sectors, such as technology or financials, could also influence the ETF's performance.

MTUM Top 10 Holdings

MTUM is riding a powerful U.S. momentum wave that leans heavily on tech, with Micron and Lam Research doing much of the heavy lifting as chip demand tied to AI keeps them rising. Exxon Mobil adds a strong energy tailwind, helping balance the ride. But some of the biggest semiconductor names, like Nvidia and Broadcom, have been catching their breath lately, which can tug on returns. Outside tech, steady hands like Johnson & Johnson and Walmart help smooth volatility, keeping this U.S.-only, growth-tilted fund from feeling like an all-or-nothing bet on chips.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Johnson & Johnson4.73%$944.95M$580.40B59.98%
78
Outperform
Nvidia4.69%$936.63M$4.32T81.93%
76
Outperform
Broadcom4.68%$935.11M$1.49T103.99%
76
Outperform
Micron4.62%$924.10M$426.01B452.52%
79
Outperform
Exxon Mobil4.58%$914.82M$680.72B58.70%
74
Outperform
Lam Research3.57%$712.41M$275.54B254.74%
77
Outperform
JPMorgan Chase3.12%$622.99M$796.84B37.78%
72
Outperform
Walmart3.09%$616.74M$1.01T51.25%
78
Outperform
Caterpillar3.02%$602.57M$335.58B157.53%
76
Outperform
Advanced Micro Devices2.77%$552.57M$358.98B163.25%
73
Outperform

MTUM Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
249.43
Negative
100DMA
249.95
Negative
200DMA
247.65
Positive
Market Momentum
MACD
-1.81
Negative
RSI
52.77
Neutral
STOCH
87.01
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For MTUM, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 244.04, equal to the 50-day MA of 249.43, and equal to the 200-day MA of 247.65, indicating a neutral trend. The MACD of -1.81 indicates Negative momentum. The RSI at 52.77 is Neutral, neither overbought nor oversold. The STOCH value of 87.01 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for MTUM.

MTUM Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$20.69B0.15%
74
Outperform
$565.25B0.03%
72
Outperform
$99.58B0.04%
72
Outperform
$80.47B0.03%
73
Outperform
$46.69B0.15%
75
Outperform
$40.72B0.17%
73
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
MTUM
iShares MSCI USA Momentum Factor ETF
247.69
55.97
29.19%
VTI
Vanguard Total Stock Market ETF
VIG
Vanguard Dividend Appreciation ETF
ITOT
iShares Core S&P Total U.S. Stock Market ETF
QUAL
iShares MSCI USA Quality Factor ETF
DFAC
Dimensional U.S. Core Equity 2 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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