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ZAP - ETF AI Analysis

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ZAP

Global X U.S. Electrification ETF (ZAP)

Rating:69Neutral
Price Target:
Positive Factors
Strong Recent Performance
The ETF has shown strong gains so far this year and in recent months, indicating positive momentum in its strategy.
Leading Holdings Performing Well
Many of the largest positions, including several major utilities and industrial companies, have delivered solid to strong returns, supporting the fund’s overall results.
Focused Electrification Theme
The fund targets U.S. companies tied to electrification, giving investors concentrated exposure to a clear, long-term growth trend.
Negative Factors
High Sector Concentration
With most assets in utilities and the rest largely in industrials, the ETF is heavily exposed to just a few sectors, which can increase risk if those areas struggle.
Single-Country Exposure
Almost all of the fund’s holdings are in U.S. companies, offering little geographic diversification if the U.S. market or economy weakens.
Moderately High Expense Ratio
The fund’s fee is on the higher side for an ETF, which can slightly reduce net returns over time compared with lower-cost options.

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

ZAP Summary

The Global X U.S. Electrification ETF (ZAP) tracks the Global X US Electrification Index and focuses on the theme of electrification in the United States. It mainly holds utility and industrial companies that build and run the power lines, equipment, and technology needed for electric vehicles, renewable energy, and a modern power grid. Well-known holdings include NextEra Energy and American Electric Power. Someone might invest in ZAP to benefit from long-term growth as the U.S. upgrades its energy infrastructure and moves toward cleaner power. A key risk is that it’s concentrated in utility and infrastructure stocks, so it can rise or fall with that specific sector.
How much will it cost me?The Global X U.S. Electrification ETF (Ticker: ZAP) has an expense ratio of 0.50%, which means you’ll pay $5 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is a sector-focused fund, which typically requires more active management compared to broad-market index funds. However, this cost reflects the specialized exposure to the growing electrification sector.
What would affect this ETF?The Global X U.S. Electrification ETF (ZAP) could benefit from increased government support for renewable energy and electrification initiatives, as well as growing consumer demand for electric vehicles and energy-efficient technologies. However, it may face challenges from rising interest rates, which can increase borrowing costs for infrastructure projects, and potential regulatory hurdles or delays in transitioning away from fossil fuels. Its heavy exposure to the utilities sector makes it sensitive to changes in energy policies and market dynamics.

ZAP Top 10 Holdings

ZAP is heavily wired into U.S. utilities, with a supporting cast of industrials powering the electrification theme. Quanta Services and Eaton have been rising steadily and look like key engines for the fund, while Bloom Energy has been on a tear, adding a bit of high‑octane growth to the mix. On the flip side, steadier names like NextEra Energy and Consolidated Edison have been more mixed lately, sometimes feeling like they’re riding the brakes. Overall, it’s a U.S.-centric bet on the grid and gear behind electrification, not on flashy consumer tech.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Bloom Energy5.40%$23.91M$82.10B1668.63%
62
Neutral
Quanta Services4.76%$21.10M$113.65B134.75%
78
Outperform
NextEra Energy4.07%$18.03M$199.17B44.49%
71
Outperform
Eaton4.05%$17.93M$163.90B41.48%
75
Outperform
Constellation Energy Corporation4.02%$17.78M$116.31B29.31%
68
Neutral
Dominion Energy3.96%$17.53M$55.36B15.67%
63
Neutral
American Electric Power3.96%$17.52M$73.20B25.34%
69
Neutral
Southern Co3.95%$17.51M$108.21B5.42%
68
Neutral
Xcel Energy3.94%$17.43M$50.67B14.50%
61
Neutral
National Grid Transco3.93%$17.42M$88.10B21.80%
74
Outperform

ZAP Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
32.86
Positive
100DMA
31.51
Positive
200DMA
30.21
Positive
Market Momentum
MACD
0.53
Negative
RSI
69.71
Neutral
STOCH
90.38
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For ZAP, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 33.57, equal to the 50-day MA of 32.86, and equal to the 200-day MA of 30.21, indicating a bullish trend. The MACD of 0.53 indicates Negative momentum. The RSI at 69.71 is Neutral, neither overbought nor oversold. The STOCH value of 90.38 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ZAP.

ZAP Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$442.94M0.50%
69
Neutral
$882.64M0.30%
68
Neutral
$783.37M0.35%
64
Neutral
$743.26M0.56%
67
Neutral
$295.08M0.40%
70
Outperform
$181.09M0.50%
67
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
ZAP
Global X U.S. Electrification ETF
34.71
9.77
39.17%
UFOX
Defiance Connective Technologies Etf
XTL
SPDR S&P Telecom ETF
QCLN
First Trust Nasdaq Clean Edge Green Energy Index Fund
POWR
Ishares U.S. Power Infrastructure Etf
ELFY
ALPS Electrification Infrastructure 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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