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XLE - ETF AI Analysis
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Energy Select Sector SPDR Fund (XLE)
Rating:74Outperform
Price Target:―
Positive Factors
Strong Recent Performance
The ETF has shown solid gains over the past month, three months, and year-to-date, indicating positive recent momentum in the energy sector.
Leading Energy Companies in Top Holdings
The largest positions, including major energy firms like Exxon Mobil and Chevron, have delivered generally strong year-to-date results that support the fund’s overall performance.
Low Expense Ratio
The fund charges a relatively low fee, which helps investors keep more of the returns generated by the portfolio.
Negative Factors
High Sector Concentration
Almost all of the ETF’s assets are invested in the energy sector, making it very sensitive to downturns in oil and gas markets.
Heavy Reliance on a Few Stocks
A large share of the fund is concentrated in just two companies, Exxon Mobil and Chevron, increasing the impact that any weakness in these stocks could have on the ETF.
Limited Geographic Diversification
With nearly all holdings based in the United States, the fund offers little exposure to energy companies in other regions, which may reduce diversification benefits.
XLE vs. SPDR S&P 500 ETF (SPY)
AUM37.79B
RegionNorth America
Expense Ratio0.08%
Beta0.60
IssuerSPDR
Inception DateDec 16, 1998
Dividend Yield2.65%
Asset ClassEquity
Index TrackedS&P Energy Select Sector
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume45,799,293
30 Day Avg. Volume42,179,641
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
55.72Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering23
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
XLE Summary
The Energy Select Sector SPDR Fund (XLE) is an ETF that tracks the S&P Energy Select Sector Index, focusing on large U.S. energy companies. It mainly holds big names like Exxon Mobil and Chevron, which are involved in oil, gas, and related energy services. Investors might consider XLE if they want simple, one-click exposure to the energy sector for potential growth when energy prices rise, plus possible dividend income. However, this fund is heavily tied to the energy market, so its price can swing a lot with changes in oil and gas prices and overall market conditions.
How much will it cost me?The Energy Select Sector SPDR Fund (XLE) has an expense ratio of 0.08%, which means you’ll pay $0.80 per year for every $1,000 invested. This is lower than average because XLE is a passively managed ETF that tracks the S&P Energy Select Sector Index, keeping costs down.
What would affect this ETF?The Energy Select Sector SPDR Fund (XLE) could benefit from rising energy prices, increased demand for oil and gas, and advancements in renewable energy technologies, which align with its focus on large U.S. energy companies like Exxon Mobil and Chevron. However, it may face challenges from regulatory changes targeting fossil fuels, economic slowdowns reducing energy consumption, or volatility in global energy markets. Its heavy reliance on the U.S. energy sector makes it sensitive to domestic policy shifts and geopolitical events.
XLE Top 10 Holdings
XLE is very much an old-school U.S. oil-and-gas story, with Exxon Mobil and Chevron in the driver’s seat as their rising share prices give the fund a solid tailwind. ConocoPhillips and Schlumberger add extra punch, with Schlumberger in particular acting like the fund’s high-octane booster thanks to strong recent momentum. On the midstream and refining side, names like Williams and Marathon Petroleum are more mixed, occasionally tapping the brakes. Overall, the ETF is heavily concentrated in U.S. energy giants, with little diversification beyond the sector.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Exxon Mobil | 24.26% | $9.03B | $635.44B | 33.06% | 74 Outperform | |
| Chevron | 17.41% | $6.48B | $370.23B | 17.21% | 71 Outperform | |
| Conocophillips | 6.86% | $2.55B | $135.09B | 12.85% | 78 Outperform | |
| Williams Co | 4.48% | $1.67B | $88.10B | 27.05% | 76 Outperform | |
| Schlumberger | 4.48% | $1.67B | $77.14B | 21.82% | 75 Outperform | |
| EOG Resources | 3.91% | $1.45B | $66.34B | -7.51% | 78 Outperform | |
| Kinder Morgan | 3.70% | $1.38B | $71.84B | 23.93% | 68 Neutral | |
| Phillips 66 | 3.64% | $1.35B | $63.42B | 20.94% | 73 Outperform | |
| Baker Hughes Company | 3.59% | $1.34B | $60.82B | 36.36% | 76 Outperform | |
| Valero Energy | 3.53% | $1.31B | $60.84B | 49.00% | 69 Neutral |
XLE Technical Analysis
Positive
―
Price Trends
48.42
Positive
46.25
Positive
44.28
Positive
Market Momentum
1.93
Negative
69.45
Neutral
77.87
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For XLE, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 52.44, equal to the 50-day MA of 48.42, and equal to the 200-day MA of 44.28, indicating a bullish trend. The MACD of 1.93 indicates Negative momentum. The RSI at 69.45 is Neutral, neither overbought nor oversold. The STOCH value of 77.87 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for XLE.
XLE Peer Comparison
Comparison Results
Performance Comparison
XLE
Energy Select Sector SPDR Fund
54.88
10.88
24.73%
VGT
Vanguard Information Technology ETF
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XLK
Technology Select Sector SPDR Fund
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―
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XLF
Financial Select Sector SPDR Fund
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XLV
Health Care Select Sector SPDR Fund
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AMLP
Alerian MLP 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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