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WCLD - ETF AI Analysis

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WCLD

WisdomTree Cloud Computing Fund (WCLD)

Rating:65Neutral
Price Target:
WCLD, the WisdomTree Cloud Computing Fund, earns a solid overall rating because many of its key holdings show strong growth potential in cloud and AI, supported by positive earnings updates and technical momentum. Standout positions like Braze (BRZE), JFrog (FROG), and Datadog (DDOG) contribute positively through robust revenue growth, strategic AI focus, and upbeat earnings call sentiment, even though their valuations are rich and profitability is still developing. The main risk is that many holdings share similar challenges—high valuations and ongoing profitability or leverage concerns—so the fund is exposed to sector-wide setbacks in high-growth cloud and AI names.
Positive Factors
Leading Cloud Computing Focus
The ETF targets a specialized group of cloud computing companies, giving investors direct exposure to a fast-growing area of technology.
Strong Performance From Some Top Holdings
Several key positions, such as DigitalOcean and Fastly, have shown strong gains this year, helping support the fund despite broader weakness.
Moderate Diversification Within Holdings
No single stock dominates the portfolio, so the impact of any one company’s poor performance is somewhat reduced.
Negative Factors
Recent Weak Overall Performance
The fund has delivered weak returns so far this year and over the last few months, which may concern investors looking for near-term strength.
Heavy Concentration in U.S. Tech Stocks
Almost all assets are in U.S. technology names, making the ETF highly sensitive to downturns in the U.S. tech and cloud sector.
Relatively High Expense Ratio
The fund’s fee is on the higher side for an ETF, which can eat into returns over time, especially if performance remains soft.

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

WCLD Summary

The WisdomTree Cloud Computing Fund (WCLD) is an ETF that follows the BVP Nasdaq Emerging Cloud Index, focusing on fast-growing cloud software and services companies. It mainly holds U.S. tech firms that provide online infrastructure, platforms, and tools that help businesses run in the cloud. Well-known names in the fund include Palo Alto Networks and Cloudflare. Someone might invest in WCLD to seek long-term growth from the rising use of cloud technology while spreading money across many companies instead of picking just one. A key risk is that it is heavily focused on technology stocks, so its price can swing a lot and may drop sharply if tech falls out of favor.
How much will it cost me?The WisdomTree Cloud Computing Fund (WCLD) has an expense ratio of 0.45%, meaning you’ll pay $4.50 per year for every $1,000 invested. This is slightly higher than average because it is actively managed to focus on a specific niche in the cloud computing sector, requiring more research and management effort.
What would affect this ETF?The WisdomTree Cloud Computing Fund (WCLD) could benefit from the increasing adoption of cloud-based services as businesses continue to digitize operations, driving demand for its top holdings like MongoDB and Snowflake. However, rising interest rates or economic slowdowns may negatively impact growth-oriented technology companies, and regulatory changes in the U.S. technology sector could pose additional risks.

WCLD Top 10 Holdings

WCLD is a pure play on U.S. cloud software, with nearly all its firepower in tech names riding the shift to digital and AI. Recent strength from DigitalOcean and a steady climb in Twilio and Palo Alto Networks help keep the fund’s engine humming, while high-flyers like Fastly and Cloudflare show more mixed, stop‑and‑go momentum. On the flip side, customer-engagement names such as Braze, Freshworks, Klaviyo, and platform player JFrog have been lagging, acting as a bit of a headwind in this otherwise growth-heavy, cloud-first portfolio.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
DigitalOcean Holdings2.47%$6.37M$11.14B232.14%
73
Outperform
Twilio2.42%$6.24M$28.79B84.06%
70
Neutral
Fastly2.20%$5.67M$4.30B373.96%
63
Neutral
Braze2.03%$5.23M$2.74B-27.31%
76
Outperform
JFrog2.01%$5.19M$6.37B52.85%
73
Outperform
Klaviyo, Inc. Class A1.87%$4.84M$6.85B-32.38%
72
Outperform
Datadog1.83%$4.73M$51.75B38.78%
69
Neutral
Cloudflare1.83%$4.72M$78.90B79.85%
61
Neutral
Palo Alto Networks1.79%$4.61M$150.60B-1.90%
73
Outperform
Atlassian1.77%$4.58M$24.57B-55.16%
66
Neutral

WCLD Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
27.65
Positive
100DMA
29.83
Negative
200DMA
32.44
Negative
Market Momentum
MACD
0.42
Negative
RSI
57.17
Neutral
STOCH
86.37
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For WCLD, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 27.20, equal to the 50-day MA of 27.65, and equal to the 200-day MA of 32.44, indicating a neutral trend. The MACD of 0.42 indicates Negative momentum. The RSI at 57.17 is Neutral, neither overbought nor oversold. The STOCH value of 86.37 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WCLD.

WCLD Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$257.60M0.45%
65
Neutral
$785.24M0.18%
74
Outperform
$697.30M0.98%
61
Neutral
$669.96M0.65%
71
Outperform
$627.80M1.03%
75
Outperform
$369.04M0.35%
64
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WCLD
WisdomTree Cloud Computing Fund
28.86
-4.64
-13.85%
IETC
iShares Evolved US Technology ETF
QQH
HCM Defender 100 Index ETF
GTOP
Goldman Sachs Technology Opportunities ETF
CHPY
YieldMax Semiconductor Portfolio Option Income ETF
XSW
SPDR S&P Software & Services 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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