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WELD - ETF AI Analysis

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WELD

Tema U.S. Manufacturing & Reshoring ETF (WELD)

Rating:72Outperform
Price Target:
WELD, the Tema U.S. Manufacturing & Reshoring ETF, earns a solid overall rating thanks to several strong core holdings like Caterpillar, Timken, Powell Industries, and ATI, which all show healthy financial performance and supportive earnings outlooks. These leaders are complemented by names such as Eaton and Applied Industrial Technologies, though some holdings like Gates Industrial and Linde face weaker technical trends, valuation concerns, and macro challenges that slightly weigh on the fund. The main risk factor is the ETF’s focus on U.S. manufacturing and industrial names, which concentrates exposure to sector-specific cycles and economic slowdowns.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered strong gains so far this year, suggesting its reshoring and manufacturing theme has been working well for investors.
High-Performing Top Holdings
Several of the largest positions, including Powell Industries and other industrial names, have shown very strong performance, helping drive the fund’s overall returns.
Focused Exposure to U.S. Manufacturing
With most assets in U.S. companies tied to industrials and related sectors, the fund gives targeted exposure to the trend of domestic manufacturing and reshoring.
Negative Factors
High Expense Ratio
The fund’s fee is relatively high for an ETF, which can eat into long-term returns compared with lower-cost options.
Sector Concentration in Industrials
A large majority of the portfolio is in industrial stocks, which increases risk if that sector faces a downturn.
Limited Geographic Diversification
The ETF is heavily concentrated in U.S. companies with only a small allocation abroad, offering little protection if the U.S. market or economy weakens.

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

WELD Summary

WELD is the Tema U.S. Manufacturing & Reshoring ETF, focused on American industrial companies that are bringing factories and jobs back to the U.S. It doesn’t track a traditional index, but follows the reshoring theme, holding firms that support local production and supply chains. Well-known names include Caterpillar and Eaton, along with other machinery and materials companies. Investors might consider WELD for growth potential tied to U.S. manufacturing and for diversification within industrial and related sectors. A key risk is that it’s heavily concentrated in industrial stocks, so its value can rise or fall sharply with the manufacturing economy.
How much will it cost me?The Tema American Reshoring ETF (RSHO) has an expense ratio of 0.75%, which means you’ll pay $7.50 per year for every $1,000 invested. This is higher than average because it is actively managed, focusing on a specific niche within the industrial sector to capitalize on reshoring trends.
What would affect this ETF?The Tema American Reshoring ETF (RSHO) could benefit from trends like increased government support for domestic manufacturing, supply chain shifts favoring local production, and advancements in industrial technology. However, it may face challenges from rising interest rates, which can increase borrowing costs for industrial companies, or economic slowdowns that reduce demand for manufacturing investments. Its focus on U.S. industrials and top holdings like Caterpillar and Rockwell Automation makes it sensitive to both policy changes and broader economic conditions in the U.S.

WELD Top 10 Holdings

RSHO is very much an American-made story, with all its big bets tied to U.S.-focused industrials powering the reshoring trend. Heavyweights like Powell Industries, Timken, and Caterpillar are doing the heavy lifting, with rising share prices helping drive the fund’s momentum. ATI and Terex are also pulling their weight, riding strong demand in aerospace and heavy equipment. On the flip side, Cognex looks a bit winded after a strong run, and Linde is treading water, slightly dulling returns in an otherwise industrially charged, U.S.-centric lineup.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Timken Company8.38%$23.57M$9.67B73.84%
76
Outperform
Cognex7.44%$20.94M$10.47B83.71%
70
Outperform
Caterpillar6.59%$18.55M$409.95B107.98%
76
Outperform
Applied Industrial Technologies6.56%$18.45M$12.61B27.88%
74
Outperform
Powell Industries6.15%$17.29M$8.90B231.74%
76
Outperform
Eaton5.81%$16.33M$156.47B8.13%
75
Outperform
Gates Industrial5.58%$15.69M$6.87B10.45%
65
Neutral
Linde5.06%$14.25M$233.63B7.46%
66
Neutral
ATI4.94%$13.89M$26.91B107.88%
78
Outperform
Terex4.79%$13.46M$7.40B28.92%
71
Outperform

WELD Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
58.64
Negative
100DMA
55.72
Positive
200DMA
51.04
Positive
Market Momentum
MACD
-0.46
Positive
RSI
48.50
Neutral
STOCH
51.52
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For WELD, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 59.17, equal to the 50-day MA of 58.64, and equal to the 200-day MA of 51.04, indicating a neutral trend. The MACD of -0.46 indicates Positive momentum. The RSI at 48.50 is Neutral, neither overbought nor oversold. The STOCH value of 51.52 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for WELD.

WELD Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$294.25M0.75%
72
Outperform
$706.03M0.65%
73
Outperform
$686.77M0.18%
74
Outperform
$664.88M0.65%
71
Outperform
$367.69M0.51%
65
Neutral
$304.25M0.68%
69
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
WELD
Tema U.S. Manufacturing & Reshoring ETF
58.26
16.54
39.65%
GTOP
Goldman Sachs Technology Opportunities ETF
IETC
iShares Evolved US Technology ETF
FEPI
REX FANG & Innovation Equity Premium Income ETF
PINK
Simplify Health Care ETF
IYRI
NEOS Real Estate High Income 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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