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USMC - ETF AI Analysis
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Principal U.S. Mega-Cap ETF (USMC)
Rating:74Outperform
Price Target:―
Positive Factors
Low Expense Ratio
The fund charges relatively low fees, which helps investors keep more of their returns over time.
Exposure to Leading Mega-Cap Companies
The ETF holds many of the largest and most established U.S. companies, which can provide stability and strong business fundamentals.
Broad Sector Diversification
Holdings spread across technology, financials, communication services, consumer sectors, health care, and energy help reduce the impact if one industry struggles.
Negative Factors
Recent Weak Performance
The ETF has shown negative returns over the past month, three months, and year to date, which may concern investors looking for near-term strength.
Concentration in a Few Large Stocks
A significant portion of the fund is invested in a small group of mega-cap names, so poor results from these companies could weigh heavily on the ETF.
Heavy U.S.-Only Exposure
With almost all assets in U.S. companies, the fund offers little geographic diversification and is highly tied to the U.S. market’s fortunes.
USMC vs. SPDR S&P 500 ETF (SPY)
AUM3.38B
RegionNorth America
Expense Ratio0.12%
Beta1.01
IssuerPrincipal
Inception DateOct 12, 2017
Dividend Yield0.8%
Asset ClassEquity
Index TrackedNo Underlying Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume110,719
30 Day Avg. Volume132,541
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
82.57Price Target Upside― Downside
Rating ConsensusStrong Buy
Number of Analyst Covering25
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
USMC Summary
The Principal U.S. Mega-Cap ETF (USMC) focuses on the biggest and most established U.S. companies, aiming to give investors broad exposure to America’s corporate giants rather than tracking a specific index. It holds well-known names like Apple, Microsoft, Nvidia, and JPMorgan Chase, spread across technology, finance, health care, and consumer sectors. Someone might invest in this ETF to seek long-term growth and stability from leading blue-chip companies while getting diversification in a single fund. A key risk is that it is heavily tilted toward large U.S. stocks, especially tech, so its value can rise and fall with that part of the market.
How much will it cost me?The Principal U.S. Mega-Cap ETF (USMC) has an expense ratio of 0.12%, meaning you’ll pay $1.20 per year for every $1,000 invested. This is lower than average because it’s passively managed, focusing on tracking large-cap stocks rather than actively picking investments.
What would affect this ETF?The Principal U.S. Mega-Cap ETF (USMC) could benefit from continued growth in the technology sector, which makes up a significant portion of its holdings, as well as strong consumer spending and innovation from companies like Apple and Nvidia. However, it may face challenges if interest rates rise, potentially impacting financial stocks, or if regulatory scrutiny increases for major tech firms like Microsoft and Alphabet. Economic conditions in the U.S., where the ETF is focused, will also play a key role in its performance.
USMC Top 10 Holdings
USMC is leaning heavily on U.S. mega-cap tech, with Nvidia and Apple doing much of the heavy lifting lately as AI enthusiasm and steady device and services demand keep them rising. Alphabet is more of a mixed story, wobbling in the short term but still contributing over the longer stretch. On the other side, Microsoft and Tesla are losing steam, acting as mild brakes on performance rather than engines. Rounding things out, Exxon Mobil and Costco add a sturdy, non-tech backbone, giving this all‑U.S. fund some balance beyond its Big Tech core.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Nvidia | 7.85% | $241.77M | $4.46T | 65.81% | 76 Outperform | |
| Apple | 6.90% | $212.40M | $3.82T | 10.61% | 79 Outperform | |
| Alphabet Class A | 5.60% | $172.33M | $3.64T | 74.57% | 85 Outperform | |
| Microsoft | 5.30% | $163.09M | $3.05T | 3.47% | 79 Outperform | |
| Exxon Mobil | 4.84% | $149.11M | $628.18B | 40.08% | 74 Outperform | |
| Costco | 4.78% | $147.35M | $436.13B | -4.29% | 72 Outperform | |
| JPMorgan Chase | 4.60% | $141.54M | $791.71B | 19.07% | 72 Outperform | |
| Tesla | 4.29% | $132.23M | $1.52T | 53.94% | 73 Outperform | |
| Visa | 4.17% | $128.47M | $609.54B | -7.08% | 70 Outperform | |
| AbbVie | 4.03% | $124.18M | $410.83B | 10.25% | 66 Neutral |
USMC Technical Analysis
Negative
―
Price Trends
67.75
Negative
67.96
Negative
65.72
Positive
Market Momentum
-0.20
Negative
47.75
Neutral
77.37
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For USMC, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 67.01, equal to the 50-day MA of 67.75, and equal to the 200-day MA of 65.72, indicating a neutral trend. The MACD of -0.20 indicates Negative momentum. The RSI at 47.75 is Neutral, neither overbought nor oversold. The STOCH value of 77.37 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for USMC.
USMC Peer Comparison
Comparison Results
Performance Comparison
USMC
Principal U.S. Mega-Cap ETF
66.52
8.88
15.41%
QQQI
NEOS Nasdaq 100 High Income ETF
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―
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SPYI
NEOS S&P 500 High Income ETF
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DIVO
Amplify CWP Enhanced Dividend Income ETF
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―
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FELC
Fidelity Enhanced Large Cap Core ETF
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―
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TCAF
T. Rowe Price Capital Appreciation Equity 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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