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SCHA - ETF AI Analysis

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SCHA

Schwab U.S. Small-Cap ETF (SCHA)

Rating:65Neutral
Price Target:
SCHA, the Schwab U.S. Small-Cap ETF, has a solid overall rating that reflects a mix of strong growth stories and some more challenged holdings. Standout positions like ATI and NEXTracker support the fund’s quality through robust financial performance, positive earnings calls, and bullish technical trends, especially in areas like aerospace, defense, and clean energy infrastructure. However, weaker holdings such as Revolution Medicines and Rocket Companies, which face financial and valuation pressures, along with exposure to unprofitable or highly valued tech and biotech names, add risk and help explain why the rating is not higher.
Positive Factors
Broad Small-Cap Diversification
The ETF spreads its investments across many small U.S. companies and sectors, which helps reduce the impact of any single stock or industry.
Strong Recent Performance
The fund has shown strong gains over the past month, three months, and year-to-date, indicating solid recent momentum in its holdings.
Very Low Expense Ratio
The ETF charges a very low fee, which helps investors keep more of their returns compared with many other small-cap funds.
Negative Factors
Heavy U.S. Concentration
With almost all assets in U.S. stocks, the fund offers very little geographic diversification and is highly tied to the U.S. market.
Small-Cap Volatility Risk
Because it focuses on small companies, the ETF can be more sensitive to market swings and economic slowdowns than large-cap funds.
Mixed Performance Among Top Holdings
While several top positions have delivered strong gains, at least one notable holding has been weak year-to-date, which can drag on overall results.

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

SCHA Summary

The Schwab U.S. Small-Cap ETF (SCHA) tracks the Dow Jones U.S. Total Stock Market Small-Cap Index, giving you broad exposure to smaller U.S. companies across many sectors like technology, financials, and health care. It holds hundreds of stocks, including names like SanDisk and Rocket Companies, so your money is spread out rather than riding on just one firm. Investors might consider SCHA if they want long-term growth potential from smaller, more nimble businesses and to diversify beyond large, well-known 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 Schwab U.S. Small-Cap ETF (SCHA) has an expense ratio of 0.04%, meaning you’ll pay $0.40 per year for every $1,000 invested. This is lower than average because it’s a passively managed fund that tracks an index, which typically costs less to operate than actively managed funds.
What would affect this ETF?The Schwab U.S. Small-Cap ETF (SCHA) could benefit from economic growth and innovation in the U.S., particularly in sectors like technology and health care, which are key drivers of small-cap performance. However, small-cap stocks are often more sensitive to economic downturns, interest rate hikes, and regulatory changes, which could negatively impact the ETF's holdings. Additionally, sector-specific challenges, such as volatility in energy or materials, may also influence its future performance.

SCHA Top 10 Holdings

SCHA’s story is all about U.S. small caps, with a clear tilt toward tech and industrial innovators. SanDisk is one of the main engines, rising on solid earnings despite some valuation worries, while Lumentum and MKS Instruments add more tech fuel with steady, momentum-driven gains. On the flip side, Rocket Companies is dragging a bit as housing headwinds and debt concerns weigh on sentiment. Biotech name Revolution Medicines remains a wild card, with promising science but lagging stock action, underscoring the fund’s higher-risk, higher-reward small-cap flavor.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
SanDisk Corp2.96%$648.53M$133.36B3124.87%
55
Neutral
Lumentum Holdings1.33%$290.61M$59.76B1483.47%
61
Neutral
Revolution Medicines0.65%$142.18M$31.08B277.94%
52
Neutral
ATI0.48%$105.00M$21.69B204.11%
78
Outperform
Coeur Mining0.42%$92.77M$19.08B229.86%
69
Neutral
MACOM Technology Solutions Holdings0.41%$89.59M$21.43B174.53%
64
Neutral
MKS0.41%$89.39M$18.43B310.03%
75
Outperform
Echostar0.37%$81.05M$35.78B456.94%
57
Neutral
Nextpower Inc0.36%$77.98M$16.04B189.53%
78
Outperform
Rocket Companies0.34%$74.77M$44.86B42.60%
54
Neutral

SCHA Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
30.12
Positive
100DMA
29.82
Positive
200DMA
28.42
Positive
Market Momentum
MACD
0.73
Negative
RSI
69.94
Neutral
STOCH
83.75
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SCHA, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 30.45, equal to the 50-day MA of 30.12, and equal to the 200-day MA of 28.42, indicating a bullish trend. The MACD of 0.73 indicates Negative momentum. The RSI at 69.94 is Neutral, neither overbought nor oversold. The STOCH value of 83.75 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SCHA.

SCHA Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$21.89B0.04%
65
Neutral
$101.20B0.06%
66
Neutral
$76.85B0.03%
67
Neutral
$76.81B0.19%
65
Neutral
$15.80B0.06%
63
Neutral
$15.18B0.03%
67
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SCHA
Schwab U.S. Small-Cap ETF
32.25
9.77
43.46%
IJR
iShares Core S&P Small Cap ETF
VB
Vanguard Small-Cap ETF
IWM
iShares Russell 2000 ETF
VTWO
Vanguard Russell 2000 ETF
SPSM
SPDR Portfolio S&P 600 Small Cap 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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