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TDIV - ETF AI Analysis

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TDIV

First Trust NASDAQ Technology Dividend Index Fund (TDIV)

Rating:74Outperform
Price Target:
TDIV, the First Trust NASDAQ Technology Dividend Index Fund, earns a solid overall rating thanks to major positions in financially strong, AI-focused tech leaders like IBM, Microsoft, Broadcom, and TSMC, which all show robust growth drivers and positive earnings commentary. These strengths are slightly tempered by holdings such as Oracle and AT&T, where bearish technical trends, high leverage, and valuation concerns introduce some risk. The main risk factor for the fund is its concentration in technology and AI-related companies, which can make it more sensitive to sector downturns and shifts in growth expectations.
Positive Factors
Strong Recent Fund Performance
The ETF has shown solid gains over the past month, three months, and year-to-date, indicating positive recent momentum.
Leading Chip and Hardware Holdings
Several major semiconductor and hardware companies in the top holdings have delivered strong year-to-date results, helping support the fund’s returns.
Large Asset Base
The fund manages a sizable pool of assets, which can help with trading liquidity and overall stability for investors.
Negative Factors
High Technology Concentration
With most of its assets in technology and related sectors, the fund is heavily exposed to swings in the tech industry.
Mixed Performance Among Top Holdings
Several of the largest positions have shown weak or negative year-to-date performance, which can drag on the fund even when other holdings are doing well.
Above-Average Expense Ratio
The fund’s expense ratio is on the higher side for an ETF, meaning more of the returns are used to cover fees instead of going to investors.

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

TDIV Summary

TDIV is an ETF that follows the NASDAQ Technology Dividend Index, focusing on U.S.-heavy technology and telecom companies that pay regular dividends. It holds well-known names like Microsoft and Broadcom, along with other major chip, software, and networking firms. Investors might consider TDIV if they want exposure to the growth potential of the tech sector while also collecting dividend income, instead of relying only on fast-rising but non-dividend tech stocks. A key risk is that it is heavily concentrated in technology, so its price can swing a lot and may fall sharply if the tech sector struggles.
How much will it cost me?The expense ratio for TDIV is 0.50%, which means you’ll pay $5 per year for every $1,000 invested. This is slightly higher than average because TDIV is a sector-focused fund that tracks dividend-paying technology companies, requiring more active management compared to broad-market passive ETFs.
What would affect this ETF?TDIV's focus on dividend-paying technology companies positions it well to benefit from continued global demand for tech innovation and growth, especially with top holdings like Microsoft and Broadcom driving advancements in cloud computing and semiconductors. However, rising interest rates or economic slowdowns could negatively impact the tech sector's performance, as higher borrowing costs and reduced consumer spending may weigh on growth. Additionally, regulatory changes or geopolitical tensions affecting global tech supply chains could pose risks to the ETF's returns.

TDIV Top 10 Holdings

TDIV is a tech-heavy, dividend-focused fund where a few big names do most of the heavy lifting. Broadcom and Texas Instruments are powering the portfolio, with chip demand and AI themes giving them a clear tailwind, while Analog Devices and Cisco add more steady, rising support from the semiconductor and networking corners. On the flip side, Microsoft and Oracle have been more mixed, and Salesforce is clearly dragging its feet, tempering overall gains. The fund is largely U.S.-centric but gets a global flavor from TSMC, keeping its tech income story internationally diversified.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Texas Instruments9.74%$394.79M$256.96B74.08%
78
Outperform
Broadcom9.62%$389.92M$1.99T123.19%
76
Outperform
Oracle8.48%$343.58M$506.99B28.19%
66
Neutral
Microsoft7.75%$314.09M$3.09T7.34%
79
Outperform
International Business Machines7.04%$285.43M$216.76B0.76%
79
Outperform
TSMC3.74%$151.55M$1.71T133.07%
81
Outperform
Qualcomm3.45%$139.59M$142.92B-9.01%
80
Outperform
Analog Devices2.79%$112.91M$197.18B106.87%
78
Outperform
Cisco Systems2.04%$82.70M$349.92B57.38%
77
Outperform
Applied Materials1.95%$78.85M$320.55B168.97%
77
Outperform

TDIV Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
97.74
Positive
100DMA
97.92
Positive
200DMA
96.28
Positive
Market Momentum
MACD
3.00
Negative
RSI
79.58
Negative
STOCH
94.01
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For TDIV, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 99.25, equal to the 50-day MA of 97.74, and equal to the 200-day MA of 96.28, indicating a bullish trend. The MACD of 3.00 indicates Negative momentum. The RSI at 79.58 is Negative, neither overbought nor oversold. The STOCH value of 94.01 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TDIV.

TDIV Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$4.05B0.50%
74
Outperform
$7.55B0.39%
66
Neutral
$4.00B0.40%
65
Neutral
$3.63B0.40%
71
Outperform
$3.57B0.55%
59
Neutral
$3.47B0.22%
66
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TDIV
First Trust NASDAQ Technology Dividend Index Fund
107.33
35.51
49.44%
IXN
iShares Global Tech ETF
QTUM
Defiance Quantum ETF
IXJ
iShares Global Healthcare ETF
IDEF
iShares Defense Industrials Active ETF
DFGR
Dimensional Global Real Estate 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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