ARK Innovation
ALTAR
Score™
-4.4% info Recommen-
dation
AVOID
2019E    2020E
P/E
ratio
-44.6x P/Sales
ratio
4.7x
P/BV
ratio
5.2x Div.
yield
0.1%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
ARK Innovation ETF is an actively-managed exhange-traded fund incorporated in the USA.The Fund will invest in equity securities of companies that are relevant to the theme of disruptive innovation. Relevant themes are those that rely on or benefit from the development of new products or services in scientific research relating to Genomics Revolution, Web x.0, and Industrial Innovation

FUND BASICS
Category Global Equities
Fund Sponsor ARK Investment Management LLC
Website www.ark-funds.com
Inception date Oct 31, 2014
Assets (mns) $1,793
Currency USD
Expense ratio 75 bp
Distributions Annually

FUND STRUCTURE
Regulation Open-Ended Fund
Custodian Bank of New York Mellon
Weighting Proprietary
Index replication N/A
Uses derivatives No
Options available Yes

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 39
Wgt avg mkt cap (mns) $23,242
Large cap (>$10bn) 45.8%
Mid cap ($2-10bn) 16.6%
Small cap (<$2bn) 37.6%
Developed mkts 97.6%
Emerging mkts 2.4%

TOP TEN HOLDINGS
TESLA MOTORS INC 9.7 %
SQUARE, INC. CLASS A 7.2 %
ILLUMINA INC 7.0 %
CRISPR THERAPEUTICS AG 6.2 %
STRATASYS LTD. 5.6 %
INVITAE CORP. 5.2 %
INTELLIA THERAPEUTICS, INC. 4.6 %
EDITAS MEDICINE, INC. 4.1 %
2U INC 3.9 %
NANOSTRING TECHNOLOGIES INC 3.2 %
Total 56.7 %

TOP COUNTRY EXPOSURE
UNITED STATES 86.7 %
SWITZERLAND 6.2 %
BELGIUM 1.7 %
ISRAEL 1.6 %
ARGENTINA 1.5 %
IRELAND 1.2 %
CHINA 0.9 %




HISTORICAL PERFORMANCE info

  Custom date range Compare to  
  thru


Standardized Annual Returns (thru November 30)
Year-to-date 1 year 5 years 10 years Since Incep.
35.6% 17.0% 21.2% -- 21.1%

Market Correlations
versus... Beta R-squared
S&P500 1.75 61%
MSCI EAFE 1.50 37%
MSCI Emg. Mkts. 1.20 38%

Technical Indicators
Recent close $49.46
30d moving avg. $46.89
Annualized volatility 27.1%
Short interest (ETF) 0.2%
Short interest (Underlying) 10.8%
Relative strength (RSI) 77

Liquidity measures
Avg. volume (thou.) 198
Turnover 0.6%
Bid/Ask (% of price) 0.09%
ADV underlying (mns) $13,381

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the ARK Innovation ETF based on the alternatives' overlap in portfolio holdings with ARKK. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: ARKK Expense: 75 bp ALTAR Score™: -4.4%


ALTERNATIVE ETFs BASED ON OVERLAP WITH ARKK
Ticker Fund
Name
Overlap1
vs ARKK
(%)
Expense
ratio
(bp)
Savings
vs ARKK
(bp)
ALTAR
Score™
(%)
ALTAR
vs ARKK
(%)
ARKW ARK Web x.O 49.7 75 0 -0.8 +3.6
ARKG ARK Genomic Revolution Multi-Sector 38.0 75 0 -3.6 +0.8
ARKQ ARK Industrial Innovation 34.6 75 0 0.9 +5.3
ARKF ARK Fintech Innovation 23.7 75 0 1.8 +6.1
GIGE SoFi Gig Economy 16.9 59 16 0.4 +4.7
GNOM Global X Genomics & Biotechnology 14.6 68 7 -5.2 -0.8
PLAT WisdomTree Modern Tech Platforms 12.4 45 30 2.8 +7.1
PRNT 3D Printing 11.2 66 9 -0.4 +3.9
BOSS Global X Founder-Run Companies 10.7 45 30 3.6 +8.0
XNTK SPDR NYSE Technology 10.6 35 40 5.6 +10.0
XITK SPDR FactSet Innovative Technology 10.1 45 30 2.4 +6.7
OGIG O'Shares Global Internet Giants 10.0 48 27 1.5 +5.8
IRBO iShares Robotics and Artificial Intelligence 9.8 47 28 1.9 +6.3
GEX VanEck Vectors Global Alternative Energy 9.7 63 12 4.0 +8.3
QCLN First Trust NASDAQ Clean Edge Green Energy 9.7 60 15 1.4 +5.7
SLT Salt TruBeta High Exposure 9.3 29 46 6.3 +10.6
HTEC Robo Global Healthcare Technology and Innovation 9.3 68 7 -0.1 +4.3
AIQ Global X Future Analytics Tech 8.9 68 7 4.5 +8.9
GMAN Goldman Sachs Motif Manufacturing Revolution 8.7 50 25 4.8 +9.1
SPHB Invesco S&P 500 High Beta 8.3 25 50 7.0 +11.4

1Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

Content on this tab for subscribers only**

RESULTS & ESTIMATES

  2014 2015 2016 2017 2018 2019E 2020E
Sales per share ** ** ** ** ** ** **
Earnings per share ** ** ** ** ** ** **
Dividends per share info ** ** ** ** ** ** **
Book value per share ** ** ** ** ** ** **

 

Sales per share growth   **% **% **% **% **% **%
EPS growth   **% **% **% **% **% **%

Sales per share growth   **% **% **% **% **% **%
EPS growth   **% **% **% **% **% **%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est. **%   Debt-to-equity **x
Asset turnover **%   Assets-to-equity **x

Return on equity

Revision activity*
*Six months ago = 100

Net margins

Compound annual growth rates

Content on this tab for subscribers only

VALUATION METRICS
  2018 2019E 2020E
Price-to-sales ** ** **
Price-to-earnings ** ** **
Price-to-cash flow ** ** **
Price-to-growth ** ** **
Price-to-book value ** ** **
Yield ** ** **

Historical valuation trends

Forward
multiple:
ARK Innovation
Relative
to:
S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

AVOID

Not worthwhile for most investors. A rating of AVOID is assigned to ETFs with ALTAR Scores in the lowest quintile (the bottom 20%) of their category. Often, funds in this category consist of stocks with little if any history or expectation of profitability, and as a result our fundamentally-driven analysis may not be relevant.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity -21.2 %
Divided by: Fwd. P/BV 5.9 x
Less: Expense ratio 75 bp
Equals: ALTAR Score -4.4 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.53 CATEGORY
AVERAGE
1.55
 
The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale:

BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3.

Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.
 

 

See RATING tab for calculation of ALTAR Score™
Risk & reward. Uses std. dev. as proxy for risk, ALTAR Score™ for return forecast.
Dividends paid by constituents to the fund. May differ from actual distributions to shareholders due to constituent changes, timing issues or other factors.
Monthly returns based on changes in price plus dividends. May differ from daily returns reported by funds. See below for standardized returns.