USMC - ETF AI Analysis
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Principal U.S. Mega-Cap ETF (USMC)
Rating:75Outperform
Price Target:―
Positive Factors
Strong Recent Fund Performance
The ETF has delivered solid gains so far this year and over the past few months, showing positive momentum.
Leading Mega-Cap Technology Exposure
Top holdings like Nvidia, Apple, Micron, Alphabet, and Broadcom have shown strong or very strong performance, helping drive the fund’s returns.
Low Expense Ratio
The fund’s relatively low fee means more of the investment return can stay in investors’ pockets over time.
Negative Factors
High Concentration in a Few Stocks
A small group of mega-cap names makes up a large share of the portfolio, increasing the impact if any of these companies stumble.
Mixed Performance Among Top Holdings
Some major positions like Microsoft, Mastercard, and Meta have shown weaker or negative performance recently, which can drag on overall results.
Heavy U.S. and Technology Focus
With almost all assets in U.S. companies and a large tilt toward technology, the fund is sensitive to downturns in the U.S. market and tech sector.
USMC vs. SPDR S&P 500 ETF (SPY)
AUM5.05B
RegionNorth America
Expense Ratio0.12%
Beta0.98
IssuerPrincipal
Inception DateOct 12, 2017
Dividend Yield0.74%
Asset ClassEquity
Index TrackedNo Underlying Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume72,719
30 Day Avg. Volume86,751
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
91.79Price Target Upside― Downside
Rating ConsensusStrong Buy
Number of Analyst Covering27
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
USMC Summary
Principal U.S. Mega-Cap ETF (USMC) focuses on very large, well-established U.S. companies across many sectors, with a strong tilt toward technology and financials. It doesn’t track a specific index, but follows a mega-cap theme, aiming to hold the biggest and most influential firms in the market. Well-known holdings include Apple, Microsoft, Nvidia, JPMorgan Chase, and Visa. Investors might consider USMC for broad diversification into leading U.S. companies and potential long-term growth with relatively stable blue-chip names. A key risk is that it can still rise and fall with the overall stock market, especially big tech stocks.
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 and financial giants, with Nvidia and Micron setting the pace thanks to their surging, if sometimes choppy, AI-driven momentum. Apple is still a steady engine, helping keep the fund’s tech tilt humming even as Alphabet and Microsoft show more mixed signals and occasionally lose a bit of steam. On the financial side, JPMorgan and Bank of America are rising and giving the fund a solid banking backbone. Overall, this is a U.S.-only play, concentrated in Big Tech and big banks.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Nvidia | 7.97% | $405.26M | $5.25T | 20.64% | 76 Outperform | |
| Apple | 7.06% | $359.12M | $4.54T | 35.82% | 79 Outperform | |
| Micron | 6.90% | $351.03M | $1.10T | 721.53% | 79 Outperform | |
| Alphabet Class A | 5.43% | $276.39M | $4.15T | 67.32% | 85 Outperform | |
| Microsoft | 5.43% | $276.10M | $3.57T | -4.73% | 79 Outperform | |
| JPMorgan Chase | 4.67% | $237.48M | $934.49B | 18.68% | 72 Outperform | |
| Visa | 4.48% | $228.05M | $682.84B | 6.00% | 70 Outperform | |
| Broadcom | 4.45% | $226.43M | $1.73T | 25.32% | 76 Outperform | |
| Mastercard | 4.36% | $221.70M | $502.70B | -3.06% | 75 Outperform | |
| Amazon | 3.90% | $198.41M | $2.81T | 13.02% | 71 Outperform |
USMC Technical Analysis
Positive
―
Price Trends
74.44
Positive
72.47
Positive
69.82
Positive
Market Momentum
0.56
Positive
55.67
Neutral
18.16
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For USMC, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 75.52, equal to the 50-day MA of 74.44, and equal to the 200-day MA of 69.82, indicating a bullish trend. The MACD of 0.56 indicates Positive momentum. The RSI at 55.67 is Neutral, neither overbought nor oversold. The STOCH value of 18.16 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for USMC.
USMC Peer Comparison
Comparison Results
Performance Comparison
USMC
Principal U.S. Mega-Cap ETF
75.91
11.71
18.24%
FELC
Fidelity Enhanced Large Cap Core ETF
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TCAF
T. Rowe Price Capital Appreciation Equity ETF
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DIVO
Amplify CWP Enhanced Dividend Income ETF
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GPIX
Goldman Sachs S&P 500 Core Premium Income ETF
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GPIQ
Goldman Sachs Nasdaq 100 Core Premium Income 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.
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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