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PSC - ETF AI Analysis

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PSC

Principal U.S. Small-Cap Multi-Factor ETF (PSC)

Rating:70Neutral
Price Target:
PSC, the Principal U.S. Small-Cap Multi-Factor ETF, has a solid overall rating that reflects a mix of strong growth stories and some financially weaker names. Standout holdings like Fabrinet and NEXTracker support the fund’s quality with robust financial performance, positive earnings commentary, and bullish technical trends, while companies such as Patterson-UTI and Chart Industries, which face profitability, valuation, and legal or regional challenges, likely weigh on the rating. The main risk factor is the fund’s exposure to smaller companies that often combine high growth potential with higher leverage, stretched valuations, and more volatile business conditions.
Positive Factors
Broad Sector Diversification
The fund spreads its investments across many sectors, including technology, industrials, health care, and financials, which helps reduce the impact if any one industry struggles.
Strong Recent Performance
The ETF has shown solid gains so far this year and over the past month, indicating positive recent momentum in its small-cap holdings.
Multiple Strong-Performing Top Holdings
Several of the largest positions, such as Planet Labs, Argan, DigitalOcean, and TTM Technologies, have delivered strong year-to-date results that support the fund’s overall performance.
Negative Factors
High U.S. Concentration
Almost all of the fund’s assets are invested in U.S. companies, offering very little geographic diversification outside the United States.
Moderate Expense Ratio
The fund’s expense ratio is not especially low for an ETF, which means fees take a noticeable bite out of long-term returns compared with cheaper index options.
Some Weak Top Holdings
A few of the largest positions, such as Hims & Hers Health and Zeta Global, have shown weak year-to-date performance, which can drag on the fund if those stocks continue to lag.

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

PSC Summary

The Principal U.S. Small-Cap Multi-Factor ETF (PSC) invests in many smaller U.S. companies, aiming to pick stocks with solid business quality, reasonable prices, and strong recent performance. It does not track a single index, but follows a rules-based approach focused on U.S. small-cap stocks across many sectors, including technology, industrials, health care, and financials. Well-known names in the fund include DigitalOcean and Rambus. Someone might invest in PSC to seek long-term growth and diversify beyond large, well-known companies. A key risk is that small-cap stocks can be more volatile and can go up and down more sharply than the overall market.
How much will it cost me?The Principal U.S. Small-Cap Multi-Factor ETF (PSC) has an expense ratio of 0.38%, which means you’ll pay $3.80 per year for every $1,000 invested. This cost is slightly higher than average for ETFs because it uses an active multi-factor strategy to select stocks, rather than passively tracking an index.
What would affect this ETF?The Principal U.S. Small-Cap Multi-Factor ETF (PSC) could benefit from economic growth and innovation in the U.S., particularly in sectors like Technology and Health Care, which are heavily weighted in the fund. However, it may face challenges from rising interest rates or economic slowdowns, which can negatively impact small-cap companies and sectors like Consumer Cyclical and Financials. Regulatory changes or shifts in market sentiment toward small-cap stocks could also influence its performance.

PSC Top 10 Holdings

PSC is leaning hard into U.S. small-cap growth stories, with tech and industrial names setting the tone. DigitalOcean, Credo Technology, and Fabrinet have been rising, giving the fund a lift as investors warm to niche cloud and chip-related plays. Argan and TTM Technologies are also pulling their weight, helped by solid backlogs and demand in power and electronics. On the softer side, Hims & Hers and Zeta Global look more mixed, with profitability worries keeping them from fully joining the rally. Overall, it’s a U.S.-only, small-cap, tech-tilted portfolio riding selective momentum.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Hims & Hers Health1.26%$25.11M$6.97B3.20%
68
Neutral
Credo Technology Group Holding Ltd1.08%$21.57M$35.98B319.38%
77
Outperform
Rambus1.04%$20.68M$17.13B170.60%
78
Outperform
Planet Labs PBC0.99%$19.67M$12.27B939.59%
57
Neutral
Fabrinet0.98%$19.49M$25.80B237.27%
78
Outperform
Argan0.92%$18.38M$9.11B335.11%
73
Outperform
TTM Technologies0.91%$18.01M$15.47B610.90%
77
Outperform
Vicor0.83%$16.50M$12.41B421.27%
73
Outperform
Bread Financial Holdings0.80%$15.97M$3.57B82.76%
72
Outperform
DigitalOcean Holdings0.79%$15.78M$9.75B220.74%
73
Outperform

PSC Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
59.45
Positive
100DMA
59.46
Positive
200DMA
57.38
Positive
Market Momentum
MACD
1.35
Negative
RSI
70.51
Negative
STOCH
81.92
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For PSC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 60.55, equal to the 50-day MA of 59.45, and equal to the 200-day MA of 57.38, indicating a bullish trend. The MACD of 1.35 indicates Negative momentum. The RSI at 70.51 is Negative, neither overbought nor oversold. The STOCH value of 81.92 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PSC.

PSC Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$1.99B0.38%
70
Neutral
$9.12B0.68%
74
Outperform
$7.40B0.30%
68
Neutral
$4.75B0.28%
65
Neutral
$2.67B0.25%
66
Neutral
$2.23B0.45%
67
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PSC
Principal U.S. Small-Cap Multi-Factor ETF
62.80
15.45
32.63%
SPYI
NEOS S&P 500 High Income ETF
DFSV
Dimensional US Small Cap Value ETF
FESM
Fidelity Enhanced Small Cap ETF
AVSC
Avantis U.S Small Cap Equity ETF
BSVO
EA Bridgeway Omni Small-Cap Value 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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