iShares North American Tech-Software ETF
ALTAR
Score™
2.9% info Recommen-
dation
AVOID
2020E    2021E
P/E
ratio
35.6x P/Sales
ratio
7.0x
P/BV
ratio
7.0x Div.
yield
0.4%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
The iShares Goldman Sachs Software Index Fund seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of U.S.-traded software-related stocks as represented by the Goldman Sachs Technology Industry Software Index.

FUND BASICS
Category US Equities
Fund Sponsor Barclays Global Investors
Website www.ishares.com
Inception date Jul 13, 2001
Assets (mns) $3,454
Currency USD
Expense ratio 46 bp
Distributions Quarterly

FUND STRUCTURE
Regulation Open-Ended Fund
Custodian State Street Bank & Trust
Weighting Market Cap
Index replication Optimized
Uses derivatives No
Options available Yes

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 102
Wgt avg mkt cap (mns) $175,242
Large cap (>$10bn) 80.1%
Mid cap ($2-10bn) 17.7%
Small cap (<$2bn) 2.1%
Developed mkts 100.0%
Emerging mkts 0.0%

TOP TEN HOLDINGS
ADOBE SYSTEMS INC 9.2 %
SALESFORCE.COM INC 9.0 %
MICROSOFT CORP 8.8 %
ORACLE CORP 7.3 %
INTUIT INC 5.9 %
SERVICENOW INC 4.9 %
ACTIVISION BLIZZARD INC 3.7 %
AUTODESK INC 3.4 %
ELECTRONIC ARTS INC 2.4 %
WORKDAY INC-CLASS A 2.3 %
Total 56.7 %

TOP COUNTRY EXPOSURE
UNITED STATES 98.2 %
CANADA 1.5 %









HISTORICAL PERFORMANCE info

  Custom date range Compare to  
  thru


Standardized Annual Returns (thru January 31)
Year-to-date 1 year 5 years 10 years Since Incep.
6.7% 29.4% 23.0% 19.2% 9.3%

Market Correlations
versus... Beta R-squared
S&P500 1.06 63%
MSCI EAFE 0.94 41%
MSCI Emg. Mkts. 0.62 31%

Technical Indicators
Recent close $250.30
30d moving avg. $254.05
Annualized volatility 16.2%
Short interest (ETF) 0.0%
Short interest (Underlying) 3.7%
Relative strength (RSI) 62

Liquidity measures
Avg. volume (thou.) 562
Turnover 4.1%
Bid/Ask (% of price) 0.03%
ADV underlying (mns) $14,894

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 19 potential alternatives to the iShares North American Tech-Software ETF ETF based on the alternatives' overlap in portfolio holdings with IGV. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: IGV Expense: 46 bp ALTAR Score™: 2.9%


ALTERNATIVE ETFs BASED ON OVERLAP WITH IGV
Ticker Fund
Name
Overlap1
vs IGV
(%)
Expense
ratio
(bp)
Savings
vs IGV
(bp)
ALTAR
Score™
(%)
ALTAR
vs IGV
(%)
XSW SPDR S&P Software & Services ETF 35.7 35 11 3.8 +0.9
JHMT John Hancock Multifactor Technology ETF 30.6 40 6 6.0 +3.1
SKYY First Trust Cloud Computing ETF 30.5 60 -14 2.5 -0.3
FXL First Trust Technology AlphaDEX Fund 28.3 61 -15 4.5 +1.7
TECB iShares US Tech Breakthrough Multisector ETF 28.2 40 6 4.5 +1.6
IYW iShares U.S. Technology ETF 25.4 42 4 5.0 +2.1
AIQ Global X Future Analytics Tech ETF 24.8 68 -22 4.3 +1.4
VGT Vanguard Information Technology Index Fund 24.4 10 36 5.2 +2.3
FTEC Fidelity MSCI Information Technology Index ETF 24.0 8 38 5.2 +2.3
OGIG O'Shares Global Internet Giants ETF 24.0 48 -2 1.1 -1.8
XNTK SPDR Morgan Stanley Technology ETF 23.0 35 11 4.7 +1.9
IGM iShares North American Tech ETF 22.9 46 0 4.4 +1.5
IETC iShares Evolved U.S. Technology ETF 22.8 18 28 4.5 +1.6
QTEC First Trust NASDAQ-100 Technology Sector Index Fund 21.2 57 -11 5.5 +2.6
XLK Technology Select Sector SPDR Fund 20.3 13 33 5.3 +2.4
PSJ Invesco Dynamic Software ETF 20.1 58 -12 3.3 +0.4
WCLD WisdomTree Cloud Computing Fund 19.5 45 1 -0.4 -3.3
RYT Invesco S&P 500 Equal Weight Technology ETF 19.5 40 6 6.5 +3.6
SYG SPDR MFS Systematic Growth Equity ETF 18.7 60 -14 5.6 +2.7

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%.

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RESULTS & ESTIMATES

  2015 2016 2017 2018 2019 2020E 2021E
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

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VALUATION METRICS
  2019 2020E 2021E
Price-to-sales ** ** **
Price-to-earnings ** ** **
Price-to-cash flow ** ** **
Price-to-growth ** ** **
Price-to-book value ** ** **
Yield ** ** **

Historical valuation trends

Forward
multiple:
iShares North American Tech-Software ETF
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 22.6 %
Divided by: Fwd. P/BV 6.8 x
Less: Expense ratio 46 bp
Equals: ALTAR Score 2.9 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.41 CATEGORY
AVERAGE
1.56
 
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.