tiprankstipranks
Advertisement

RWJ - ETF AI Analysis

Compare

Top Page

RWJ

Invesco S&P SmallCap 600 Revenue ETF (RWJ)

Rating:64Neutral
Price Target:
RWJ, the Invesco S&P SmallCap 600 Revenue ETF, has a solid but not top-tier rating, suggesting a balanced mix of strengths and weaknesses among its small-cap holdings. Strong contributors like Group 1 Automotive, Lincoln National, and Molina Healthcare support the fund with solid financial performance, attractive valuations, and positive corporate developments, while names such as World Kinect, United Natural Foods, ManpowerGroup, and Lumen Technologies face notable financial and profitability challenges that weigh on the overall assessment. The main risk factor is the fund’s exposure to several smaller companies with financial or leverage issues, which can increase volatility and downside risk even as some holdings show promising long-term potential.
Positive Factors
Strong Recent Fund Performance
The ETF has shown strong gains so far this year and over the past month, indicating positive recent momentum.
Broad Sector Diversification
Holdings are spread across many sectors, including consumer, industrials, financials, technology, health care, and others, which helps reduce the impact of weakness in any single industry.
Healthy Fund Size
The ETF manages a sizable pool of assets, which can support liquidity and trading efficiency for investors.
Negative Factors
Mixed Performance Among Top Holdings
Several of the largest positions, such as Molina Healthcare, Lincoln National, and Kohl's, have shown weak performance this year, which can drag on overall returns.
High U.S.-Only Exposure
With almost all assets invested in U.S. companies, the fund offers little geographic diversification and is heavily tied to the U.S. economy.
Above-Average Expense Ratio for a Passive ETF
The fund’s expense ratio is higher than many low-cost index ETFs, which means more of the return is eaten up by fees over time.

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

RWJ Summary

The Invesco S&P SmallCap 600 Revenue ETF (RWJ) tracks the S&P SmallCap 600 Revenue-Weighted Index, focusing on smaller U.S. companies whose stocks are weighted by how much revenue they generate. It holds a wide mix of sectors, including consumer, industrial, and financial firms, with well-known names like CarMax and Kohl’s among its top holdings. Investors might consider RWJ if they want growth potential and diversification through many smaller, often more nimble companies. A key risk is that small-cap stocks can be more volatile, so the ETF’s price can move up and down more sharply than the overall market.
How much will it cost me?The Invesco S&P SmallCap 600 Revenue ETF (RWJ) has an expense ratio of 0.39%, which means you’ll pay $3.90 per year for every $1,000 invested. This is slightly higher than the average for ETFs because it uses an actively managed revenue-weighted strategy rather than simply tracking a standard index. This approach aims to focus on companies with strong financial fundamentals.
What would affect this ETF?RWJ's focus on U.S. small-cap companies could benefit from economic growth and innovation in sectors like Consumer Cyclical and Technology, which are heavily weighted in the ETF. However, small-cap stocks are often more sensitive to interest rate hikes and economic slowdowns, which could negatively impact their performance. Additionally, regulatory changes or sector-specific challenges in industries like Energy or Financials could influence the ETF's returns.

RWJ Top 10 Holdings

RWJ’s story is all about U.S. small caps, with a tilt toward consumer and health names that can really swing the needle. BrightSpring Health and Molina Healthcare are doing the heavy lifting, rising on strong revenue and upbeat outlooks. World Kinect and Sonic Automotive are also pulling their weight, adding momentum from the consumer side. On the flip side, Group 1 Automotive and Lincoln National are lagging, acting like a bit of an anchor. Overall, the fund is diversified across sectors but leans into U.S. small-cap cyclicals and health care for its punch.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Molina Healthcare3.27%$60.47M$9.59B-42.75%
71
Outperform
World Kinect2.76%$51.00M$1.51B5.42%
51
Neutral
United Natural Foods2.33%$43.07M$3.00B63.66%
52
Neutral
CarMax1.60%$29.51M$5.72B-35.45%
61
Neutral
Group 1 Automotive1.43%$26.37M$3.88B-24.06%
73
Outperform
Lincoln National1.22%$22.48M$6.89B6.68%
71
Outperform
Sonic Automotive1.16%$21.53M$2.47B13.42%
61
Neutral
Sanmina-Sci1.14%$21.16M$13.21B200.16%
79
Outperform
Lumen Technologies1.14%$21.03M$9.70B152.98%
55
Neutral
ManpowerGroup1.13%$20.93M$1.37B-32.96%
54
Neutral

RWJ Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
53.14
Positive
100DMA
52.54
Positive
200DMA
50.09
Positive
Market Momentum
MACD
0.29
Positive
RSI
60.80
Neutral
STOCH
81.93
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For RWJ, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 55.05, equal to the 50-day MA of 53.14, and equal to the 200-day MA of 50.09, indicating a bullish trend. The MACD of 0.29 indicates Positive momentum. The RSI at 60.80 is Neutral, neither overbought nor oversold. The STOCH value of 81.93 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RWJ.

RWJ Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$1.81B0.39%
64
Neutral
$8.79B0.25%
67
Neutral
$5.14B0.28%
65
Neutral
$3.81B0.07%
66
Neutral
$3.73B0.15%
67
Neutral
$3.36B0.59%
68
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RWJ
Invesco S&P SmallCap 600 Revenue ETF
55.91
14.95
36.50%
FNDA
Schwab Fundamental US Small Co. Index ETF
FESM
Fidelity Enhanced Small Cap ETF
VIOO
Vanguard S&P Small-Cap 600 ETF
SMLF
iShares MSCI USA Small-Cap Multifactor ETF
CALF
Pacer US Small Cap Cash Cows 100 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: ―
Table of Contents
Advertisement