tiprankstipranks
Advertisement

SDY - ETF AI Analysis

Compare

Top Page

SDY

SPDR S&P Dividend ETF (SDY)

Rating:71Outperform
Price Target:
SDY, the SPDR S&P Dividend ETF, earns a solid overall rating thanks to several strong, income-focused holdings like Verizon, Texas Instruments, and Qualcomm, which combine attractive valuations or cash flows with positive business momentum and commitment to dividends. The fund is slightly held back by names such as Realty Income and Kimberly-Clark, where bearish technical trends, high leverage, or potential overvaluation introduce more caution. The main risk factor is that many holdings face valuation and leverage concerns, so investors should be mindful of market downturns that can pressure highly valued, dividend-oriented stocks.
Positive Factors
Strong Recent Performance
The ETF has delivered solid gains so far this year and in recent months, indicating positive momentum.
Well-Diversified Across Sectors
Holdings are spread across many industries such as industrials, consumer defensive, utilities, financials, and technology, which helps reduce the impact of weakness in any single sector.
Top Holdings Showing Strong Gains
Several of the largest positions, including Target, Texas Instruments, Archer Daniels Midland, and others, have posted strong year-to-date performance, supporting the fund’s overall returns.
Negative Factors
Higher Expense Ratio Than Some Index ETFs
The fund’s expense ratio is moderate and may be higher than some very low-cost index ETFs, slightly reducing net returns over time.
Single-Country Concentration
With almost all assets invested in U.S. companies, investors are heavily exposed to the U.S. economy and lack diversification across other regions.
Some Lagging Top Holding
At least one major holding, such as Automatic Data Processing, has shown weak year-to-date performance, which can drag on the ETF’s overall results.

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

SDY Summary

SDY is the SPDR S&P Dividend ETF, which follows the S&P High Yield Dividend Aristocrats Index. This index focuses on U.S. companies that have raised their dividends for at least 20 years in a row. The fund holds well-known names like Verizon and Target, along with many other established businesses across sectors such as utilities, consumer goods, and technology. Someone might invest in SDY to seek steady income from dividends and broad diversification among reliable companies. A key risk is that the ETF’s value and dividend payments can still go up and down with the overall stock 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 leans heavily on steady, dividend-rich U.S. names, with a tilt toward defensive sectors like utilities, consumer staples, and telecom. Texas Instruments has been a standout, giving the fund a quiet boost from the tech side, while Target and Verizon have been more mixed, occasionally losing steam and tempering gains. Realty Income and Edison International add a reliable utilities and real estate backbone, rising steadily and reinforcing the fund’s income story. Overall, performance is driven by a blend of resilient dividend payers rather than a single star player.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Realty Income2.21%$477.47M$61.17B13.30%
70
Outperform
Verizon2.20%$475.12M$193.66B7.66%
81
Outperform
Kenvue, Inc.1.72%$371.38M$37.02B-15.59%
73
Outperform
Kimberly Clark1.70%$366.07M$36.41B-13.88%
63
Neutral
Automatic Data Processing1.65%$356.58M$99.97B-18.97%
70
Outperform
AbbVie1.64%$354.65M$458.24B36.30%
66
Neutral
Target1.58%$340.86M$62.12B28.98%
70
Neutral
Edison International1.53%$330.97M$30.69B50.61%
77
Outperform
Chevron1.48%$320.15M$387.94B25.80%
71
Outperform
Texas Instruments1.48%$318.25M$254.44B51.13%
78
Outperform

SDY Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
150.91
Positive
100DMA
148.84
Positive
200DMA
144.88
Positive
Market Momentum
MACD
RSI
STOCH
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 154.03, equal to the 50-day MA of 150.91, and equal to the 200-day MA of 144.88, indicating a bullish 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 SDY.

SDY Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$21.59B0.35%
71
Outperform
$101.11B0.06%
74
Outperform
$81.07B0.04%
72
Outperform
$23.43B0.38%
70
Neutral
$14.38B0.08%
71
Outperform
$10.01B0.15%
70
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SDY
SPDR S&P Dividend ETF
156.62
21.26
15.71%
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.
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