XLI - ETF AI Analysis

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Industrial Select Sector SPDR Fund (XLI)

Rating:72Outperform

Price Target:―

XLI, the Industrial Select Sector SPDR Fund, has a solid overall rating driven mainly by strong, well-diversified industrial leaders like Caterpillar, Honeywell, Eaton, GE Aerospace, and RTX, which all benefit from healthy financial performance, positive earnings calls, and strategic growth plans. However, weaker names such as Boeing, with its financial challenges and program delays, and more mixed stories like GE Vernova and Deere, slightly weigh on the fund’s quality. The main risk factor is its concentration in the industrial sector, which can make the ETF more sensitive to economic cycles and sector-specific issues.

Positive Factors

Solid Recent Performance

The ETF has shown steady gains over the past month, three months, and year-to-date, indicating positive recent momentum.

Strong Leading Industrial Holdings

Several of the largest positions, such as Caterpillar, Boeing, Honeywell, and Deere, have delivered strong year-to-date performance that supports the fund’s returns.

Low Expense Ratio

The fund charges a relatively low fee, which helps investors keep more of the returns generated by the portfolio.

Negative Factors

Heavy Sector Concentration

With the vast majority of assets in industrials, the fund is highly sensitive to downturns in that single sector.

Limited Geographic Diversification

Almost all of the ETF’s holdings are in U.S. companies, offering little protection if the U.S. market weakens.

Exposure to Some Weaker Holdings

At least one top holding has shown slightly negative performance year-to-date, which can modestly drag on overall returns if the weakness continues.

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

AUM31.42B

RegionNorth America

Expense Ratio0.08%

Beta0.92

IssuerSPDR

Inception DateDec 16, 1998

Dividend Yield1.13%

Asset ClassEquity

Index TrackedS&P Industrial Select Sector

Share Statistics

EPS (TTM)N/A

Shares OutstandingN/A

10 Day Avg. Volume11,358,939

30 Day Avg. Volume10,754,444

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

186.97

Price Target Upside― Downside

Rating ConsensusModerate Buy

Number of Analyst Covering80

EPS Forecast (FY)N/A

Revenue Forecast (FY)N/A

XLI Summary

XLI is an ETF that follows the S&P Industrial Select Sector Index, focusing on major U.S. industrial companies. It owns businesses involved in manufacturing, transportation, aerospace, and construction, giving you a simple way to invest in the “backbone” of the economy. Well-known holdings include Boeing and Honeywell International, along with other large industrial leaders. Someone might invest in XLI to seek long-term growth and diversification within the industrial sector without picking individual stocks. A key risk is that it is heavily tied to the industrial economy, so its value can rise or fall with economic cycles and demand for industrial activity.

How much will it cost me?The Industrial Select Sector SPDR Fund (XLI) 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 it’s a passively managed fund that tracks an index, keeping costs down.

What would affect this ETF?The XLI ETF, focused on the U.S. industrial sector, could benefit from increased infrastructure spending, advancements in manufacturing technology, and growth in aerospace and transportation industries, as these align with its top holdings like Boeing and Caterpillar. However, it may face challenges from rising interest rates, which could increase borrowing costs for industrial companies, and economic slowdowns that reduce demand for construction and transportation services.

XLI Top 10 Holdings

XLI is riding a wave of strength from industrial heavyweights, with Caterpillar, Deere, and Boeing all rising and doing much of the heavy lifting for the fund. GE Aerospace and RTX are also steadily pulling their weight, helped by solid backlogs and defense demand. On the softer side, Union Pacific has been lagging a bit, and Uber’s mixed performance adds a touch of volatility at the edges. Overall, this is a U.S.-centric, industrials-first story, with a clear tilt toward aerospace, machinery, and transportation as the main engines of performance.

Name	Company Name	Weight %	Market Value	Market Cap	Yearly Gain	Overall Rating
CAT	Caterpillar	6.58%	$2.06B	$349.88B	123.43%	76 Outperform
GE	GE Aerospace	6.53%	$2.04B	$345.67B	71.76%	72 Outperform
RTX	RTX	5.09%	$1.59B	$274.91B	66.21%	74 Outperform
GEV	GE Vernova Inc.	4.19%	$1.31B	$220.35B	153.24%	69 Neutral
BA	Boeing	3.38%	$1.06B	$187.64B	30.98%	54 Neutral
DE	Deere	3.08%	$963.73M	$160.82B	35.21%	66 Neutral
UNP	Union Pacific	2.88%	$903.22M	$157.25B	8.37%	72 Outperform
HON	Honeywell International	2.83%	$885.16M	$153.29B	15.11%	77 Outperform
UBER	Uber Technologies	2.80%	$877.60M	$149.77B	-6.38%	74 Outperform
ETN	Eaton	2.71%	$848.61M	$147.74B	25.56%	75 Outperform

XLI Technical Analysis

Technical Analysis Sentiment

Positive

Last Price―

Price Trends

50DMA

163.66

Positive

100DMA

158.14

Positive

200DMA

152.46

Positive

Market Momentum

MACD

3.74

Negative

RSI

74.11

Negative

STOCH

79.57

Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For XLI, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 170.48, equal to the 50-day MA of 163.66, and equal to the 200-day MA of 152.46, indicating a bullish trend. The MACD of 3.74 indicates Negative momentum. The RSI at 74.11 is Negative, neither overbought nor oversold. The STOCH value of 79.57 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for XLI.

XLI Peer Comparison

Comparison Results

Name	Price	Price Target	AUM	Expense Ratio	Overall Rating
XLI	―	―	$31.42B	0.08%	72 Outperform
VGT	―	―	$110.83B	0.09%	74 Outperform
XLK	―	―	$88.42B	0.08%	76 Outperform
XLF	―	―	$51.94B	0.08%	72 Outperform
XLV	―	―	$41.69B	0.08%	73 Outperform
ITA	―	―	$15.89B	0.38%	70 Neutral

Performance Comparison

XLI

Industrial Select Sector SPDR Fund

177.23

44.82

33.85%

VGT

Vanguard Information Technology ETF

―

XLK

Technology Select Sector SPDR Fund

―

XLF

Financial Select Sector SPDR Fund

―

XLV

Health Care Select Sector SPDR Fund

―

ITA

iShares U.S. Aerospace & Defense 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.

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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