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SGDM - ETF AI Analysis

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SGDM

Sprott Gold Miners ETF (SGDM)

Rating:69Neutral
Price Target:
SGDM, the Sprott Gold Miners ETF, has a solid overall rating driven mainly by large positions in strong, established miners like Newmont (NEM), Agnico Eagle (AEM), Barrick (B), and Kinross (KGC), all of which show healthy financial performance, positive earnings calls, and generally supportive technical trends. Additional support comes from quality names like Wheaton Precious Metals (WPM), Franco-Nevada (FNV), Lundin Gold (TSE:LUG), and Wesdome (TSE:WDO), which add growth potential but also bring some valuation and overbought risks. The main risk factor is the ETF’s concentration in the gold mining sector, where company-specific operational issues and high valuations in some holdings can increase volatility.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered solid gains so far this year, showing positive momentum for investors in the recent period.
Leading Gold Miners Driving Returns
Several of the largest holdings, including major gold mining and royalty companies, have shown strong performance, helping support the fund’s overall results.
Focused North American Exposure
With all holdings based in the U.S. and Canada, the fund concentrates on politically stable, well-regulated markets for gold miners.
Negative Factors
Highly Concentrated in One Sector
Almost the entire portfolio is in the materials sector, meaning the fund’s performance is heavily tied to gold mining and commodity price swings.
Mixed Performance Among Top Holdings
A few significant positions have recently shown weak or negative returns, which can drag on the ETF’s overall performance.
Moderately High Expense Ratio
The fund’s fees are higher than many broad-market ETFs, which can slightly reduce long-term returns for buy-and-hold investors.

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

SGDM Summary

The Sprott Gold Miners ETF (SGDM) is a fund that invests in gold mining companies and follows the Solactive Gold Miners Custom Factors Index. It mainly holds U.S. and Canadian miners, including well-known names like Newmont Mining and Barrick Mining. Investors might consider SGDM if they want targeted exposure to gold through the companies that produce it, which can help diversify a stock portfolio and may act as a partial hedge during economic stress. A key risk is that it is heavily concentrated in gold mining stocks, so its price can swing sharply with gold prices and the materials sector.
How much will it cost me?The Sprott Gold Miners ETF (SGDM) has an expense ratio of 0.50%, meaning you’ll pay $5 per year for every $1,000 invested. This is higher than average for ETFs because it is actively managed, focusing on a specialized niche like gold miners, which requires more research and expertise.
What would affect this ETF?The Sprott Gold Miners ETF (SGDM) could benefit from rising gold prices, which often occur during periods of economic uncertainty or inflation, as gold is seen as a safe-haven asset. However, the ETF may face challenges if interest rates increase, as higher rates can make gold less attractive compared to interest-bearing investments. Additionally, regulatory changes or operational risks in the gold mining sector could impact the performance of its top holdings, such as Agnico Eagle and Newmont Mining.

SGDM Top 10 Holdings

SGDM is a pure play on global gold miners, with the fund’s fate largely tied to a handful of heavyweight names. Agnico Eagle and Wheaton Precious Metals have been rising and act as key engines, helped by solid operations and upbeat earnings. Newmont and Franco-Nevada are also pulling their weight, keeping performance relatively steady despite some valuation worries. On the softer side, Barrick and Lundin Gold have been more mixed, occasionally losing steam and tempering gains. Overall, this ETF is highly concentrated in materials and closely tracks the mood of the gold market worldwide.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Agnico Eagle11.15%$77.98M$100.45B66.47%
80
Outperform
Newmont Mining8.55%$59.78M$128.85B114.68%
81
Outperform
Barrick Mining8.40%$58.74M$68.98B110.72%
80
Outperform
Wheaton Precious Metals7.94%$55.55M$63.43B66.33%
79
Outperform
Franco-Nevada6.57%$45.95M$46.82B41.06%
74
Outperform
Kinross Gold6.02%$42.13M$39.34B117.46%
81
Outperform
Lundin Gold3.84%$26.87MC$24.56B81.69%
78
Outperform
Endeavour Mining3.76%$26.30M$14.71B113.05%
Coeur Mining3.60%$25.20M$19.98B231.23%
69
Neutral
SSR Mining3.23%$22.56MC$8.55B189.28%
69
Neutral

SGDM Technical Analysis

Technical Analysis Sentiment
Negative
Last Price
Price Trends
50DMA
80.61
Negative
100DMA
78.00
Negative
200DMA
66.71
Positive
Market Momentum
MACD
-0.28
Positive
RSI
44.10
Neutral
STOCH
18.10
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SGDM, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 78.94, equal to the 50-day MA of 80.61, and equal to the 200-day MA of 66.71, indicating a neutral trend. The MACD of -0.28 indicates Positive momentum. The RSI at 44.10 is Neutral, neither overbought nor oversold. The STOCH value of 18.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SGDM.

SGDM Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$712.63M0.50%
69
Neutral
$990.04M0.39%
61
Neutral
$445.22M0.47%
63
Neutral
$333.80M0.39%
66
Neutral
$281.36M0.65%
57
Neutral
$139.26M0.65%
60
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SGDM
Sprott Gold Miners ETF
72.65
33.18
84.06%
SLVP
iShares MSCI Global Silver Miners ETF
ICOP
iShares Copper and Metals Mining ETF
MXI
iShares Global Materials ETF
COPP
Sprott Copper Miners ETF
GOEX
Global X Gold Explorers 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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