SDY - ETF AI Analysis

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SPDR S&P Dividend ETF (SDY)

Rating:71Outperform

Price Target:―

SDY’s rating reflects a solid but not outstanding dividend-focused portfolio, supported by strong, stable companies like Verizon, PepsiCo, and Texas Instruments that show healthy cash flows, strategic growth plans, and reliable dividends. However, some holdings such as Realty Income, Kimberly-Clark, and WEC Energy face bearish technical trends, leverage or cash flow concerns, and potential overvaluation, which weigh on the fund’s overall appeal. The main risk is that several key holdings show technical or valuation pressures at the same time, which could limit near-term performance even though the underlying businesses are generally strong.

Positive Factors

Broad Sector Diversification

The fund spreads its investments across many sectors, which can help reduce the impact if any one industry struggles.

Generally Strong Top Holdings

Most of the largest positions, such as Realty Income, Target, Chevron, Exxon Mobil, and Archer Daniels Midland, have shown strong recent performance, supporting the ETF’s overall returns.

Large Asset Base

The ETF manages a sizable pool of assets, which can help with trading liquidity and make it easier for investors to buy and sell shares.

Negative Factors

High U.S. Concentration

Almost all of the fund’s assets are invested in U.S. companies, offering little geographic diversification if the U.S. market weakens.

Mixed Performance Among Top Holdings

Some key holdings like Verizon have shown weak recent performance, which can drag on the fund’s overall results.

Moderate Expense Ratio

The fund’s expense ratio is not especially low for a passive ETF, meaning fees take a noticeable, ongoing bite out of returns.

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

AUM21.97B

RegionNorth America

Expense Ratio0.35%

Beta0.48

IssuerSPDR

Inception DateNov 08, 2005

Dividend Yield2.35%

Asset ClassEquity

Index TrackedS&P High Yield Dividend Aristocrats

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume198,424

30 Day Avg. Volume322,392

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

162.39

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering156

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

SDY Summary

SDY is the SPDR S&P Dividend ETF, which follows the S&P High Yield Dividend Aristocrats Index. It holds U.S. companies that have raised their dividends for at least 20 years in a row, aiming to provide steady income. The fund owns well-known names like Verizon, PepsiCo, Chevron, and Exxon Mobil, spread across sectors such as industrials, consumer goods, and utilities. Someone might invest in SDY to seek regular dividend payments and broad diversification among established companies. A key risk is that stock prices and dividend payments can still go up and down with the overall market.

How much will it cost me?The SPDR S&P Dividend ETF (SDY) has an expense ratio of 0.35%, which means you’ll pay $3.50 per year for every $1,000 invested. This is slightly higher than average for passively managed ETFs because it focuses on a specific niche of high dividend-yielding companies with strong track records of increasing dividends.

What would affect this ETF?The SPDR S&P Dividend ETF (SDY) could benefit from stable economic growth and low interest rates, which often support dividend-paying companies and sectors like Industrials and Consumer Defensive. However, rising interest rates or economic downturns could negatively impact dividend sustainability and sectors like Utilities and Real Estate, which are sensitive to borrowing costs. Regulatory changes or shifts in energy policies might also affect top holdings like Chevron and Exxon Mobil.

SDY Top 10 Holdings

SDY’s story right now is about steady U.S. dividend payers with a defensive tilt. Energy giants Chevron and Exxon Mobil are doing much of the heavy lifting, rising on solid cash generation and upbeat earnings. Target and Archer Daniels Midland are also pulling their weight, helping support recent gains. On the flip side, Verizon has been lagging, acting like a small anchor on returns, while Kimberly-Clark looks mixed after a weaker stretch. Overall, the fund leans into industrials, consumer defensives, and utilities, with no single stock dominating the show.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
VZ	Verizon	3.41%	$745.40M	$206.31B	14.38%	81 Outperform
O	Realty Income	2.50%	$545.62M	$61.16B	16.88%	70 Outperform
TGT	Target	2.07%	$452.27M	$52.77B	-11.54%	70 Neutral
CVX	Chevron	1.96%	$428.72M	$363.54B	16.94%	71 Outperform
PEP	PepsiCo	1.77%	$385.92M	$221.29B	12.74%	78 Outperform
KMB	Kimberly Clark	1.63%	$356.92M	$35.69B	-20.32%	63 Neutral
KVUE	Kenvue, Inc.	1.59%	$347.15M	$35.27B	-15.22%	73 Outperform
WEC	WEC Energy Group	1.54%	$335.96M	$37.56B	9.79%	67 Neutral
TXN	Texas Instruments	1.54%	$335.29M	$204.83B	13.75%	78 Outperform
ED	Consolidated Edison	1.52%	$331.31M	$41.12B	17.16%	62 Neutral

SDY Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

145.06

Positive

100DMA

141.38

Positive

200DMA

138.37

Positive

Market Momentum

MACD

2.95

Negative

RSI

71.96

Negative

STOCH

73.46

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SDY, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 150.77, equal to the 50-day MA of 145.06, and equal to the 200-day MA of 138.37, indicating a bullish trend. The MACD of 2.95 indicates Negative momentum. The RSI at 71.96 is Negative, neither overbought nor oversold. The STOCH value of 73.46 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SDY.

SDY Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
SDY	―	―	$21.97B	0.35%	―
SCHD	―	―	$83.69B	0.06%	―
VYM	―	―	$74.79B	0.04%	―
DVY	―	―	$22.81B	0.38%	―
HDV	―	―	$13.50B	0.08%	―
FDVV	―	―	$8.76B	0.15%	―

Performance Comparison

SDY

SPDR S&P Dividend ETF

154.44

21.37

16.06%

SCHD

Schwab US Dividend Equity ETF

―

VYM

Vanguard High Dividend Yield Index ETF

―

DVY

iShares Select Dividend ETF

―

HDV

iShares Core High Dividend ETF

―

FDVV

Fidelity High Dividend 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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