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PSCI - ETF AI Analysis

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PSCI

Invesco S&P SmallCap Industrials ETF (PSCI)

Rating:67Neutral
Price Target:
PSCI, the Invesco S&P SmallCap Industrials ETF, has a solid overall rating that reflects generally strong underlying companies but also some caution signals. Standout holdings like Zurn Water Solutions and Powell Industries support the fund’s quality through strong financial performance, positive earnings outlooks, and strategic growth moves, while other names such as Everus Construction Group and Gates Industrial introduce some risk with signs of short-term technical weakness, higher valuations, and restructuring or leverage concerns. The main risk for this ETF is that many of its industrial holdings show potential overvaluation and mixed technical trends, which could make returns more volatile in the near term.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered strong gains so far this year, indicating solid recent momentum for investors.
Leading Holdings Showing Robust Gains
Several of the largest positions, including companies like Argan, Powell Industries, and Esco Technologies, have posted strong performance, helping drive the fund’s returns.
Focused but Still Sector-Diversified Industrial Exposure
While industrials dominate the portfolio, the ETF also holds smaller allocations to technology, consumer cyclical, and other sectors, adding some diversification around its core theme.
Negative Factors
Heavy Concentration in Industrials
With most of the portfolio in industrial stocks, the fund is highly sensitive to downturns in this single sector.
Single-Country Risk
Almost all assets are invested in U.S. companies, so the ETF offers little geographic diversification if the U.S. market weakens.
Mixed Performance Among Top Holdings
Although many top holdings have done well, some positions like JBT Marel have shown weak or negative performance, which can dampen overall returns.

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

PSCI Summary

PSCI is the Invesco S&P SmallCap Industrials ETF, which follows the S&P SmallCap 600 Capped Industrials Index. It focuses on smaller U.S. industrial companies involved in manufacturing, construction, aerospace, and transportation. Some of its holdings include Esco Technologies and Federal Signal. Investors might consider PSCI if they want growth potential from smaller, more nimble industrial businesses and added diversification beyond large, well-known stocks. However, because it invests in small industrial companies, its price can be more volatile and can go up and down sharply with changes in the economy and the stock market.
How much will it cost me?The Invesco S&P SmallCap Industrials ETF (PSCI) has an expense ratio of 0.29%, which means you’ll pay $2.90 per year for every $1,000 invested. This is slightly higher than average for ETFs because it tracks a niche sector and focuses on small-cap companies, which require more active management. However, it can be worth it for investors seeking targeted exposure to small-cap industrial stocks.
What would affect this ETF?The PSCI ETF, focused on U.S. small-cap industrial companies, could benefit from increased infrastructure spending, technological advancements, and economic recovery, which often drive growth in manufacturing, construction, and transportation sectors. However, it may face challenges from rising interest rates, which can increase borrowing costs for smaller companies, and economic slowdowns that could negatively impact industrial demand. Regulatory changes or trade tensions could also influence the ETF's performance given its heavy reliance on U.S.-based industrial firms.

PSCI Top 10 Holdings

PSCI is very much a U.S. small-cap industrials story, with names like Arcosa and Enpro doing the heavy lifting as they ride strong momentum and upbeat earnings. Esco Technologies and Everus Construction are also rising over the longer haul, even if their recent trading has been a bit choppy. On the flip side, Armstrong World and JBT Marel are losing steam, acting as mild brakes on the fund. With only a sliver in tech or consumer names, this ETF lives and dies by the industrial cycle at home.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Argan2.52%$4.70M$8.00B153.22%
73
Outperform
Esco Technologies2.51%$4.68M$8.17B64.61%
70
Neutral
Federal Signal2.36%$4.41M$7.63B1.94%
76
Outperform
Zurn Water Solutions2.32%$4.32M$8.38B12.29%
79
Outperform
Armstrong World2.32%$4.32M$7.38B-7.35%
77
Outperform
JBT Marel2.27%$4.24M$7.21B4.22%
73
Outperform
Arcosa2.22%$4.14M$7.12B73.56%
71
Outperform
Paycom2.09%$3.89M$7.81B-27.59%
76
Outperform
Enpro2.06%$3.83M$6.63B49.55%
64
Neutral
Gates Industrial2.04%$3.80M$7.11B14.95%
65
Neutral

PSCI Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
176.45
Positive
100DMA
169.75
Positive
200DMA
162.85
Positive
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For PSCI, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 178.29, equal to the 50-day MA of 176.45, and equal to the 200-day MA of 162.85, indicating a neutral trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PSCI.

PSCI Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$186.45M0.29%
67
Neutral
$740.70M0.60%
71
Outperform
$723.71M0.65%
64
Neutral
$427.58M0.57%
72
Outperform
$420.26M0.60%
70
Outperform
$282.44M0.75%
72
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PSCI
Invesco S&P SmallCap Industrials ETF
176.84
39.12
28.41%
FXR
First Trust Industrials/Producer Durables AlphaDEX Fund
MISL
First Trust Indxx Aerospace & Defense ETF
PKB
Invesco Dynamic Building & Construction ETF
PRN
Invesco DWA Industrials Momentum ETF
WELD
Tema U.S. Manufacturing & Reshoring 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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