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PSCD - ETF AI Analysis

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PSCD

Invesco S&P SmallCap Consumer Discretionary ETF (PSCD)

Rating:66Neutral
Price Target:
PSCD’s rating suggests it is a solid but not top-tier option for investors seeking exposure to small-cap consumer discretionary stocks. Strong contributors like Victoria’s Secret and Life Time Group support the fund with positive earnings, upbeat guidance, and generally favorable technical trends, while holdings such as Caesars Entertainment and Etsy, which face high leverage, profitability issues, and signs of financial or demand pressure, weigh on the overall assessment. The main risk is that many holdings operate in economically sensitive consumer sectors, where leverage, bearish technical signals in some names, and overbought conditions in others can make returns more volatile.
Positive Factors
Strong Recent Performance
The ETF has delivered solid gains so far this year and in recent months, showing positive momentum for investors.
Top Holdings with Strong Gains
Several of the largest positions, including CarMax, Etsy, Victoria's Secret, and Life Time Group, have posted strong year-to-date performance, helping drive the fund’s returns.
Focused but Still Sector-Diverse
While the fund is heavily tilted toward consumer cyclical stocks, it still holds smaller allocations to areas like consumer defensive, industrials, technology, health care, and real estate, which can add some balance.
Negative Factors
Heavy Concentration in Consumer Cyclical
More than four-fifths of the portfolio is in consumer cyclical companies, making the fund highly sensitive to changes in consumer spending and economic conditions.
U.S.-Only Geographic Exposure
Almost all of the ETF’s assets are invested in U.S. companies, offering little diversification across different global markets.
Mixed Performance Among Top Holdings
Some key positions like LKQ, Pool, and Mohawk have shown weak or negative year-to-date performance, which can offset gains from stronger holdings.

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

PSCD Summary

The Invesco S&P SmallCap Consumer Discretionary ETF (PSCD) is a fund that follows the S&P SmallCap 600 Capped Consumer Discretionary Index. It invests in smaller U.S. companies that sell non‑essential goods and services, such as retailers, restaurants, and leisure businesses. Well-known names in the fund include CarMax and Etsy. Investors might consider PSCD if they want growth potential from smaller companies and to diversify beyond large, well-known brands. However, because it focuses on small consumer-focused companies, its price can be more volatile and can rise or fall quickly with changes in the economy and consumer spending.
How much will it cost me?The expense ratio for the Invesco S&P SmallCap Consumer Discretionary ETF (PSCD) is 0.29%, which means you’ll pay $2.90 per year for every $1,000 invested. This is slightly higher than average because the fund is focused on a specific sector and uses an index tied to small-cap stocks, which can involve more specialized management compared to broader, passively managed ETFs.
What would affect this ETF?The PSCD ETF, focused on U.S. small-cap consumer discretionary stocks, could benefit from economic growth and rising consumer spending, which often boost demand for retail, automotive, and leisure industries. However, it may face challenges during economic downturns or periods of high inflation, as consumer spending tends to decrease, and small-cap companies are more sensitive to market volatility. Changes in interest rates or regulatory policies could also impact the ETF's performance, given its reliance on agile, growth-oriented businesses.

PSCD Top 10 Holdings

PSCD is riding a wave of U.S. small-cap consumer names, with a clear tilt toward discretionary spending and no overseas detours. Victoria’s Secret and Life Time Group are doing the heavy lifting, with their stocks climbing steadily and giving the fund some welcome momentum. CarMax and Brinker International are also in the “rising” camp, helping reinforce the consumer recovery story. On the flip side, LKQ and Pool are losing steam, acting as mild brakes on performance. Overall, the ETF is concentrated in U.S. consumer cyclicals, making it highly sensitive to shifts in spending trends.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
CarMax3.25%$758.34K$8.15B-3.04%
61
Neutral
Brinker International3.20%$746.86K$8.03B22.92%
70
Neutral
Etsy3.04%$710.48K$7.64B25.79%
57
Neutral
Victoria's Secret2.76%$645.36K$6.94B303.79%
71
Outperform
Life Time Group Holdings2.57%$600.87K$9.36B44.04%
71
Outperform
LKQ2.56%$596.93K$6.42B-21.78%
68
Neutral
Pool2.50%$585.23K$7.15B-43.82%
65
Neutral
Caesars Entertainment2.43%$567.15K$6.10B0.23%
51
Neutral
Mohawk2.25%$525.77K$6.73B-5.16%
67
Neutral
Installed Building Products2.02%$470.89K$6.06B8.22%
74
Outperform

PSCD Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
112.03
Positive
100DMA
109.11
Positive
200DMA
108.34
Positive
Market Momentum
MACD
1.05
Positive
RSI
48.65
Neutral
STOCH
13.30
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For PSCD, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 117.31, equal to the 50-day MA of 112.03, and equal to the 200-day MA of 108.34, indicating a neutral trend. The MACD of 1.05 indicates Positive momentum. The RSI at 48.65 is Neutral, neither overbought nor oversold. The STOCH value of 13.30 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PSCD.

PSCD Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$23.37M0.29%
66
Neutral
$49.53M0.15%
70
Outperform
$27.34M0.18%
70
Outperform
$22.09M0.60%
67
Neutral
$7.36M0.65%
58
Neutral
$2.95M0.99%
64
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PSCD
Invesco S&P SmallCap Consumer Discretionary ETF
115.32
11.03
10.58%
GXPD
Global X PureCap MSCI Consumer Discretionary ETF
IEDI
iShares Evolved US Discretionary Spending ETF
PEZ
Invesco DWA Consumer Cyclicals Momentum ETF
CLIX
ProShares Long Online/Short Stores ETF
BEDZ
AdvisorShares Hotel 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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