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TMFE - ETF AI Analysis

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TMFE

Motley Fool Capital Efficiency 100 Index ETF (TMFE)

Rating:74Outperform
Price Target:
TMFE’s rating reflects a portfolio built around large, financially strong companies with solid growth prospects, led by major holdings like Alphabet, Apple, Walmart, and Nvidia, which benefit from strong earnings, profitability, and strategic investments in areas like AI, cloud, and e-commerce. The fund is somewhat held back by signs of overvaluation and bearish or mixed technical trends in several top positions such as Costco, Netflix, Amazon, Visa, and Mastercard. The main risk is that many of these big tech and consumer names trade at high valuations, so the fund is sensitive to shifts in market sentiment toward these sectors.
Positive Factors
High-Quality Brand-Name Holdings
The ETF’s largest positions include well-known, financially strong companies like Costco, Walmart, Alphabet, and Amazon, which can provide a solid foundation for long-term investors.
Sector Diversification Across the Economy
Holdings spread across technology, consumer, health care, financials, and other sectors help reduce the impact if any one part of the market struggles.
Strong Performance From Key Consumer Leaders
Top consumer-focused holdings such as Costco and Walmart have shown strong recent performance, helping support the fund despite weakness in some other names.
Negative Factors
Recent Weak Overall Performance
The ETF has delivered negative returns over the past month, three months, and year to date, which may concern investors looking for near-term strength.
Concentration in a Small Group of Large Stocks
A significant portion of the portfolio is tied up in a handful of big technology and consumer companies, increasing the impact if any of these stocks decline.
Several Major Holdings Are Currently Lagging
Important positions such as Nvidia, Microsoft, Netflix, Visa, Mastercard, and Meta have shown weak recent performance, which has weighed on the fund’s results.

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

TMFE Summary

TMFE is an ETF that follows the Motley Fool Capital Efficiency 100 Index, which picks 100 U.S. companies that are good at using their money to grow and stay profitable. It holds many well-known names like Amazon, Microsoft, Costco, and Walmart, and spreads investments across technology, consumer, health care, and financial companies. Someone might invest in TMFE to get diversified exposure to high-quality, efficient businesses that could offer long-term growth. A key risk is that it is heavily tilted toward large tech and consumer companies, so its price can rise and fall sharply with the overall stock market and those sectors.
How much will it cost me?The Motley Fool Capital Efficiency 100 Index ETF (TMFE) 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 companies with strong capital efficiency strategies.
What would affect this ETF?TMFE's focus on capital-efficient companies in sectors like technology and consumer services positions it well to benefit from innovation and consumer spending trends, especially in the U.S. market. However, it could face challenges from rising interest rates, which may impact growth-oriented sectors, and regulatory changes affecting major holdings like Microsoft, Alphabet, and Meta Platforms. Economic conditions and shifts in consumer behavior will also play a key role in shaping its performance.

TMFE Top 10 Holdings

TMFE is heavily tilted toward U.S. mega-cap growth, with a clear tech-and-digital-services backbone. Nvidia, Alphabet, Meta, Apple, and Amazon have all been losing steam lately, creating a drag despite their strong long-term stories in AI, cloud, and digital ads. On the brighter side, steady consumer giants like Costco and Walmart are acting as defensive anchors, helping smooth out the ride when Big Tech stumbles. With most of its muscle in U.S. technology and communication services, the fund’s fortunes largely rise and fall with these heavyweight innovators.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Costco6.02%$4.87M$442.13B3.26%
72
Outperform
Walmart5.66%$4.58M$994.48B38.97%
78
Outperform
Netflix5.17%$4.18M$403.43B2.14%
73
Outperform
Nvidia4.94%$3.99M$4.27T59.16%
76
Outperform
Apple4.87%$3.94M$3.75T14.18%
79
Outperform
Amazon4.75%$3.84M$2.26T7.43%
71
Outperform
Alphabet Class C4.75%$3.84M$3.58T85.64%
82
Outperform
Visa4.57%$3.69M$568.96B-13.81%
70
Outperform
Mastercard4.56%$3.69M$438.46B-10.18%
75
Outperform
Meta Platforms4.39%$3.55M$1.47T-0.80%
76
Outperform

TMFE Technical Analysis

Technical Analysis Sentiment
Negative
Last Price
Price Trends
50DMA
28.37
Negative
100DMA
28.74
Negative
200DMA
28.62
Negative
Market Momentum
MACD
-0.41
Positive
RSI
44.02
Neutral
STOCH
66.67
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For TMFE, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 27.65, equal to the 50-day MA of 28.37, and equal to the 200-day MA of 28.62, indicating a bearish trend. The MACD of -0.41 indicates Positive momentum. The RSI at 44.02 is Neutral, neither overbought nor oversold. The STOCH value of 66.67 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TMFE.

TMFE Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$79.46M0.50%
74
Outperform
$99.88M0.40%
71
Outperform
$95.25M0.54%
76
Outperform
$93.63M0.89%
69
Neutral
$93.09M0.65%
71
Outperform
$88.03M0.85%
71
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TMFE
Motley Fool Capital Efficiency 100 Index ETF
27.37
2.61
10.54%
UPGD
Invesco Raymond James Sb-1 Equity Etf
SEPI
Shelton Equity Premium Income ETF
BAMD
Brookstone Dividend Stock ETF
YALL
God Bless America ETF
STNC
Stance Equity ESG Large Cap Core 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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