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PEJ - ETF AI Analysis

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PEJ

Invesco Dynamic Leisure & Entertainment ETF (PEJ)

Rating:66Neutral
Price Target:
PEJ, the Invesco Dynamic Leisure & Entertainment ETF, has a solid overall rating driven mainly by strong, well-positioned travel and leisure names like Expedia, Carnival, and United Airlines, which benefit from robust financial performance, positive earnings outlooks, and supportive technical trends. However, the fund is held back somewhat by weaker holdings such as Lionsgate Studios, which faces significant financial and debt challenges, and by the broader risk that many top positions share high leverage, making the ETF sensitive to economic slowdowns or tighter credit conditions.
Positive Factors
Recent Performance Momentum
The ETF has shown solid gains over the past month and quarter, indicating improving short-term momentum.
Focused Leisure & Entertainment Exposure
The fund targets leisure and entertainment companies, giving investors concentrated access to this specific consumer theme.
Sector Diversification Within Consumer Areas
While heavily tilted to consumer cyclical names, the ETF also includes communication services, industrials, consumer defensive, and technology stocks, which adds some diversification within related sectors.
Negative Factors
High Expense Ratio
The fund’s expense ratio is relatively high for an ETF, which can eat into long-term returns for buy-and-hold investors.
Concentration in Consumer Cyclical Sector
A large majority of assets are in consumer cyclical companies, making the ETF more sensitive to economic slowdowns and changes in consumer spending.
Mixed Performance Among Top Holdings
Several of the largest positions, including major travel and media names, have shown weak year-to-date performance, which can drag on overall fund results.

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

PEJ Summary

PEJ is the Invesco Dynamic Leisure & Entertainment ETF, which follows the Dynamic Leisure & Entertainment Int Index. It focuses on U.S. companies tied to travel, dining, and fun experiences, mainly in hotels, restaurants, and leisure. Well-known holdings include Airbnb and Marriott International, along with cruise lines and travel companies. Someone might invest in PEJ to benefit from growth in consumer spending on travel and entertainment and to get diversified exposure to many leisure-related businesses in one fund. A key risk is that it can rise or fall sharply with the economy, since people cut back on travel and entertainment in weaker times.
How much will it cost me?The Invesco Dynamic Leisure & Entertainment ETF (PEJ) has an expense ratio of 0.57%, meaning you’ll pay $5.70 per year for every $1,000 invested. This is higher than average because the fund is actively managed, focusing on a specific sector rather than tracking a broad index. Active management typically involves more research and trading, which increases costs.
What would affect this ETF?The Invesco Dynamic Leisure & Entertainment ETF (PEJ) could benefit from increased consumer spending on leisure and entertainment activities, especially as economic conditions improve and travel and dining trends grow. However, it may face challenges from rising interest rates, which can reduce discretionary spending, or economic slowdowns that impact consumer confidence. Additionally, regulatory changes or disruptions in the travel and entertainment industries could negatively affect some of its top holdings like Carnival or Live Nation Entertainment.

PEJ Top 10 Holdings

PEJ is leaning hard into the travel-and-fun trade, with U.S.-focused names like Marriott and Airbnb doing much of the heavy lifting as demand for rooms and short-term stays keeps rising. Lionsgate has quietly become a surprise bright spot, adding some Hollywood flair with strong recent momentum despite its financial baggage. On the flip side, cruise operators like Carnival and Royal Caribbean, along with Las Vegas Sands, are more mixed, occasionally throwing some turbulence into returns. Overall, the fund is tightly tied to U.S. leisure spending, especially hotels, travel, and entertainment.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Expedia6.16%$15.24M$30.81B52.08%
80
Outperform
Airbnb5.59%$13.82M$86.94B14.40%
71
Outperform
Marriott International5.23%$12.94M$97.27B52.23%
62
Neutral
Las Vegas Sands4.93%$12.18M$35.05B51.14%
74
Outperform
Carnival4.22%$10.42M$37.55B41.94%
78
Outperform
Sysco4.17%$10.32M$36.61B7.02%
71
Outperform
Royal Caribbean4.07%$10.07M$71.30B19.68%
67
Neutral
United Airlines Holdings4.06%$10.05M$30.18B33.50%
74
Outperform
Lionsgate Studios4.04%$10.00M$3.32B74.14%
52
Neutral
Versant Media Group3.63%$8.98M$5.57B

PEJ Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
59.87
Positive
100DMA
60.44
Positive
200DMA
59.59
Positive
Market Momentum
MACD
0.37
Positive
RSI
52.06
Neutral
STOCH
19.04
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For PEJ, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 61.23, equal to the 50-day MA of 59.87, and equal to the 200-day MA of 59.59, indicating a neutral trend. The MACD of 0.37 indicates Positive momentum. The RSI at 52.06 is Neutral, neither overbought nor oversold. The STOCH value of 19.04 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PEJ.

PEJ Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$244.87M0.57%
66
Neutral
$951.14M0.38%
70
Neutral
$936.72M0.60%
72
Outperform
$356.59M0.35%
67
Neutral
$284.24M0.40%
69
Neutral
$269.19M0.60%
67
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PEJ
Invesco Dynamic Leisure & Entertainment ETF
60.99
11.31
22.77%
IHE
iShares U.S. Pharmaceuticals ETF
FTXR
First Trust Nasdaq Transportation ETF
XRT
SPDR S&P Retail ETF
RSPD
Invesco S&P 500 Equal Weight Consumer Discretionary ETF
FXD
First Trust Consumer Discretionary AlphaDEX 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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