NFTY - ETF AI Analysis
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First Trust India NIFTY 50 Equal Weight ETF (NFTY)
Rating:64Neutral
Price Target:―
Positive Factors
Broad Sector Spread Within India
The ETF holds companies across many sectors, including financials, consumer, materials, energy, technology, and health care, which helps reduce the impact of weakness in any single industry.
Equal-Weight Approach Limits Single-Stock Risk
Because the fund spreads its holdings fairly evenly, no single company dominates the portfolio, helping to reduce the risk from any one stock.
Several Top Holdings Showing Positive Momentum
A number of the largest positions, such as major banks, technology firms, and materials companies, have shown strong year-to-date performance, which can support the fund’s future returns if that trend continues.
Negative Factors
Recent Weak Performance
The ETF has delivered negative returns over the past month, three months, and year to date, signaling recent headwinds for the portfolio.
High Concentration in India
With essentially all assets invested in Indian companies, the fund is heavily exposed to the economic and political risks of a single country.
Relatively High Expense Ratio
The fund’s expense ratio is on the higher side for an ETF, which means more of the returns are eaten up by fees over time.
NFTY vs. SPDR S&P 500 ETF (SPY)
AUM142.97M
RegionAsia-Pacific
Expense Ratio0.80%
Beta0.45
IssuerFirst Trust
Inception DateFeb 14, 2012
Dividend Yield2.01%
Asset ClassEquity
Index TrackedNIFTY 50 Equal Weight Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume40,986
30 Day Avg. Volume31,104
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
64.40Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering50
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
NFTY Summary
NFTY is an exchange-traded fund that tracks the NIFTY 50 Equal Weight Index, giving you exposure to 50 of India’s largest companies, each held in roughly the same size instead of letting a few giants dominate. It includes well-known names like State Bank of India and Tata Steel, and spreads your money across many sectors such as finance, technology, and energy. Someone might invest in NFTY to tap into India’s long-term growth and to diversify beyond their home market. A key risk is that it can rise or fall sharply with the Indian stock market and currency swings.
How much will it cost me?The expense ratio for the First Trust India NIFTY 50 Equal Weight ETF (NFTY) is 0.8%, meaning you’ll pay $8 per year for every $1,000 invested. This is higher than average because the fund uses an equal-weight strategy, which requires more active management compared to passively managed ETFs that track market-cap weighted indices.
What would affect this ETF?The NFTY ETF could benefit from India's strong economic growth and increasing consumer demand, which supports sectors like financials, consumer cyclical, and technology. However, potential risks include regulatory changes in India, global economic uncertainty, and fluctuations in energy or material prices that could impact key holdings like Reliance Industries. Investors should also consider how changes in interest rates or geopolitical tensions in the Asia-Pacific region might affect the ETF's performance.
NFTY Top 10 Holdings
NFTY’s story is all about India’s big, broad market rather than a single market darling. Energy names like Coal India and NTPC have been rising and quietly pulling the fund higher, helped by steady demand and solid cash flows. On the flip side, financial giant State Bank of India has been losing steam recently, and metals players like Tata Steel and JSW Steel have shown mixed, sometimes lagging moves that cap upside. With all holdings in India and spread across financials, energy, materials, and health care, the ETF avoids heavy concentration in any one stock or sector.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Oil & Natural Gas Corp. Ltd. | 2.10% | $3.07M | ₹3.62T | 14.97% | 72 Outperform | |
| Grasim Industries Ltd. | 2.06% | $3.00M | ₹1.77T | -0.91% | ― | |
| UltraTech Cement Limited | 2.05% | $2.99M | ₹3.15T | -4.82% | 68 Neutral | |
| Titan Company Limited | 2.04% | $2.98M | ₹3.61T | 31.11% | 69 Neutral | |
| Bharti Airtel Limited | 2.04% | $2.98M | ₹10.16T | 1.55% | 73 Outperform | |
| Sun Pharmaceutical Industries Limited | 2.04% | $2.98M | ₹4.15T | 0.83% | 73 Outperform | |
| Apollo Hospitals Enterprise Limited | 2.03% | $2.96M | ₹1.05T | 8.57% | 66 Neutral | |
| Cipla Ltd | 2.03% | $2.96M | ₹966.03B | -17.68% | 68 Neutral | |
| Tata Steel Limited | 2.03% | $2.96M | ₹2.43T | 25.90% | 71 Outperform | |
| Larsen & Toubro Limited | 2.02% | $2.95M | ₹4.96T | 5.43% | 78 Outperform |
NFTY Technical Analysis
Negative
―
Price Trends
55.04
Negative
56.29
Negative
56.78
Negative
Market Momentum
-1.28
Negative
39.96
Neutral
47.23
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For NFTY, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 52.24, equal to the 50-day MA of 55.04, and equal to the 200-day MA of 56.78, indicating a bearish trend. The MACD of -1.28 indicates Negative momentum. The RSI at 39.96 is Neutral, neither overbought nor oversold. The STOCH value of 47.23 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for NFTY.
NFTY Peer Comparison
Comparison Results
Performance Comparison
NFTY
First Trust India NIFTY 50 Equal Weight ETF
51.15
-1.05
-2.01%
SMIN
iShares MSCI India Small Cap ETF
―
―
―
INDY
iShares India 50 ETF
―
―
―
IMVP
Invesco India Etf
―
―
―
GIND
Goldman Sachs India Equity ETF
―
―
―
INDH
WisdomTree India Hedged Equity Fund
―
―
―
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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