SDVY - ETF AI Analysis

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First Trust SMID Cap Rising Dividend Achievers ETF (SDVY)

Rating:72Outperform

Price Target:―

The ETF SDVY benefits from strong contributions by holdings like Clear Secure (YOU) and Mueller Industries (MLI), which demonstrate robust financial health, positive earnings sentiment, and solid valuation metrics. These strengths help drive the fund's overall rating. However, weaker holdings such as Installed Building Products (IBP), which faces challenges like high leverage and declining cash flow, slightly temper the ETF’s performance. A potential risk factor is the fund's exposure to stocks nearing overbought conditions, which could lead to price corrections.

Positive Factors

Strong Top Holdings

Several of the ETF's largest positions, like Comfort Systems and InterDigital, have delivered strong year-to-date performance, supporting overall returns.

Sector Diversification

The fund is spread across multiple sectors, including Financials, Industrials, and Consumer Cyclical, reducing reliance on any single industry.

Healthy Asset Growth

The ETF has a significant amount of assets under management, indicating strong investor interest and stability.

Negative Factors

High Geographic Concentration

The ETF is heavily focused on U.S. companies, offering little exposure to international markets and global diversification.

Expense Ratio Above Average

The fund's expense ratio is higher than many passive ETFs, which could reduce long-term returns for investors.

Recent Performance Volatility

Short-term performance has been mixed, with a decline over the past month despite gains in the year-to-date period.

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

AUM9.43B

RegionNorth America

Expense Ratio0.59%

Beta0.96

IssuerFirst Trust

Inception DateNov 01, 2017

Dividend Yield1.44%

Asset ClassEquity

Index TrackedNasdaq US Small Mid Cap Rising Dividend Achievers Index

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume1,116,012

30 Day Avg. Volume1,260,591

Financial Highlights & Ratios

PEG RatioN/A

Price to Book (P/B)N/A

Price to Sales (P/S)N/A

P/FCF RatioN/A

Enterprise Value/Market CapN/A

Enterprise Value/RevenueN/A

Enterprise Value/Gross ProfitN/A

Enterprise Value/EbitdaN/A

Forecast

1Y Price Target

43.31

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering181

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

SDVY Summary

The First Trust SMID Cap Rising Dividend Achievers ETF (SDVY) focuses on small and mid-sized U.S. companies that consistently increase their dividends, which is a sign of financial health and growth potential. It tracks the Nasdaq US Small Mid Cap Rising Dividend Achievers Index and includes companies like Comfort Systems and Ralph Lauren. This ETF is a good option for investors looking to diversify their portfolios and gain exposure to innovative, growing firms outside of large-cap stocks. However, since it focuses on smaller companies, its performance can be more volatile and sensitive to market changes.

How much will it cost me?The First Trust SMID Cap Rising Dividend Achievers ETF (SDVY) has an expense ratio of 0.59%, which means you’ll pay $5.90 per year for every $1,000 invested. This is higher than average for ETFs because it is actively managed, focusing on selecting small to mid-sized companies with a history of increasing dividends.

What would affect this ETF?The SDVY ETF, with its focus on small to mid-sized U.S. companies that consistently increase dividends, could benefit from economic growth and innovation in sectors like financials and industrials, which make up a significant portion of its holdings. However, it may face challenges if interest rates rise, as higher borrowing costs could pressure smaller companies, or if economic conditions weaken, impacting consumer cyclical and industrial sectors. Regulatory changes or sector-specific disruptions could also influence the performance of its top holdings.

SDVY Top 10 Holdings

SDVY’s focus on small and mid-sized companies with rising dividends positions it as a dynamic fund, but performance has been a mixed bag recently. Comfort Systems and EnerSys are rising stars, benefiting from strong financial health and positive momentum, while Installed Building Products is lagging due to leverage concerns and weaker cash flow. The fund leans heavily on financials and industrials, which make up over half of its holdings, creating a clear sector concentration. With its U.S.-centric exposure, SDVY offers a snapshot of entrepreneurial growth but faces challenges in balancing winners and underperformers.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
FIX	Comfort Systems	1.66%	$155.35M	$35.32B	115.48%	77 Outperform
IDCC	InterDigital	1.32%	$123.79M	$9.14B	85.80%	76 Outperform
ENS	EnerSys	1.26%	$118.07M	$5.45B	56.41%	77 Outperform
WWD	Woodward	1.19%	$111.20M	$18.17B	63.89%	79 Outperform
IBP	Installed Building Products	1.10%	$103.17M	$7.27B	28.12%	74 Outperform
MLI	Mueller Industries	1.10%	$102.80M	$12.60B	39.47%	78 Outperform
RL	Ralph Lauren	1.09%	$102.39M	$22.35B	56.71%	78 Outperform
COKE	Coca-Cola Bottling Co Consolidated	1.08%	$101.21M	$14.36B	29.03%	72 Outperform
WFRD	Weatherford International	1.06%	$98.70M	$5.48B	0.53%	72 Outperform
FOXA	Fox	1.04%	$97.59M	$28.60B	49.71%	77 Outperform

SDVY Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

37.64

Positive

100DMA

37.45

Positive

200DMA

35.61

Positive

Market Momentum

MACD

0.24

Negative

RSI

57.06

Neutral

STOCH

66.80

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SDVY, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 37.77, equal to the 50-day MA of 37.64, and equal to the 200-day MA of 35.61, indicating a bullish trend. The MACD of 0.24 indicates Negative momentum. The RSI at 57.06 is Neutral, neither overbought nor oversold. The STOCH value of 66.80 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SDVY.

SDVY Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
SDVY	―	―	$9.43B	0.59%	―
PRFZ	―	―	$2.64B	0.34%	―
JMEE	―	―	$2.11B	0.24%	―
FSMD	―	―	$1.88B	0.15%	―
USVM	―	―	$1.17B	0.30%	―
TMSL	―	―	$1.15B	0.55%	―

Performance Comparison

SDVY

First Trust SMID Cap Rising Dividend Achievers ETF

38.27

0.33

0.87%

PRFZ

Invesco FTSE RAFI US 1500 Small-Mid ETF

―

JMEE

JPMorgan Market Expansion Enhanced Equity ETF

―

FSMD

Fidelity Small-Mid Multifactor ETF

―

USVM

VictoryShares USAA MSCI USA Small Cap Value Momentum ETF

―

TMSL

T. Rowe Price Small-Mid 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.

Disclaimer

This 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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