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SKYY - ETF AI Analysis
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First Trust Cloud Computing ETF (SKYY)
Rating:68Neutral
Price Target:―
Positive Factors
Large Asset Base
The fund manages a sizable pool of assets, which can support liquidity and trading efficiency for investors.
Leading Cloud and Tech Holdings
Top positions include well-known technology and cloud companies, some of which have shown strong or steady performance this year.
Focused Cloud Computing Exposure
The ETF offers targeted exposure to the cloud computing theme, which many investors view as a long-term growth area within technology.
Negative Factors
Recent Weak Performance
The fund has experienced weak returns over the past month, three months, and year-to-date, which may concern performance-focused investors.
High Sector Concentration in Technology
With most assets in the technology sector, the ETF is highly sensitive to downturns in tech stocks.
Relatively High Expense Ratio
The fund charges a higher fee than many broad-market ETFs, which can modestly reduce net returns over time.
SKYY vs. SPDR S&P 500 ETF (SPY)
AUM2.64B
RegionNorth America
Expense Ratio0.60%
Beta1.44
IssuerFirst Trust
Inception DateJul 05, 2011
Dividend YieldN/A
Asset ClassEquity
Index TrackedISE Cloud Computing Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume220,319
30 Day Avg. Volume191,636
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
166.37Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering64
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
SKYY Summary
The First Trust Cloud Computing ETF (SKYY) tracks the ISE Cloud Computing Index and focuses on companies that power cloud technology, mainly in the U.S. It holds well-known names like Amazon, Microsoft, Alphabet (Google), IBM, and Oracle, along with smaller cloud-focused firms. Someone might invest in SKYY to tap into the long-term growth of cloud computing and to get instant diversification across many leading tech companies instead of picking individual stocks. However, this ETF is heavily concentrated in technology, so its price can be quite volatile and may fall sharply if tech stocks struggle.
How much will it cost me?The First Trust Cloud Computing ETF (SKYY) has an expense ratio of 0.6%, meaning you’ll pay $6 per year for every $1,000 invested. This is higher than average because it is actively managed and focuses on a specific sector, requiring more research and management effort. It’s designed to give investors targeted exposure to the cloud computing industry.
What would affect this ETF?The First Trust Cloud Computing ETF (SKYY) could benefit from the ongoing global shift towards digital transformation and increased adoption of cloud-based solutions, which drive growth in its core sector of Information Technology. However, potential risks include rising interest rates that may negatively impact technology valuations, regulatory scrutiny on major tech companies like Microsoft and Amazon, and economic slowdowns that could reduce corporate spending on cloud services.
SKYY Top 10 Holdings
SKYY is firmly anchored in U.S. cloud and Big Tech names, with Alphabet and Amazon doing much of the heavy lifting as their cloud and AI stories keep investor enthusiasm rising. CoreWeave is another bright spot, adding some high-growth flair near the top of the portfolio. On the other side, Microsoft and Oracle have been losing altitude lately, while Nutanix has been a real drag with more persistent weakness. Overall, the fund is heavily tilted toward U.S. technology and software, so its fortunes largely rise and fall with the cloud giants.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Alphabet Class A | 4.28% | $113.26M | $4.15T | 64.60% | 85 Outperform | |
| Arista Networks | 4.23% | $111.72M | $174.25B | 24.10% | 83 Outperform | |
| Amazon | 4.16% | $109.92M | $2.60T | -1.42% | 71 Outperform | |
| International Business Machines | 4.07% | $107.61M | $294.19B | 11.29% | 79 Outperform | |
| CoreWeave | 4.05% | $106.95M | $44.32B | ― | 51 Neutral | |
| MongoDB | 3.73% | $98.59M | $30.33B | 25.40% | 75 Outperform | |
| Lumen Technologies | 3.66% | $96.82M | $9.16B | 67.86% | 55 Neutral | |
| Microsoft | 3.43% | $90.79M | $3.14T | -0.28% | 79 Outperform | |
| Nutanix | 3.35% | $88.52M | $10.84B | -48.04% | 62 Neutral | |
| Oracle | 3.16% | $83.63M | $459.87B | -7.87% | 66 Neutral |
SKYY Technical Analysis
Negative
―
Price Trends
127.95
Negative
131.74
Negative
124.96
Negative
Market Momentum
-3.53
Positive
25.15
Positive
9.24
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SKYY, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 123.86, equal to the 50-day MA of 127.95, and equal to the 200-day MA of 124.96, indicating a bearish trend. The MACD of -3.53 indicates Positive momentum. The RSI at 25.15 is Positive, neither overbought nor oversold. The STOCH value of 9.24 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SKYY.
SKYY Peer Comparison
Comparison Results
Performance Comparison
SKYY
First Trust Cloud Computing ETF
111.91
-18.08
-13.91%
RSPT
Invesco S&P 500 Equal Weight Technology ETF
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QTEC
First Trust NASDAQ-100 Technology Sector Index Fund
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XSD
SPDR S&P Semiconductor ETF
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XNTK
Spdr Nyse Technology Etf
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FTXL
First Trust Nasdaq Semiconductor ETF
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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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