Principal U.S. Mega-Cap Multi-Factor Index ETF
ALTAR
Score™
4.6% info Recommen-
dation
UNDERWEIGHT
2020E    2021E
P/E
ratio
26.3x P/Sales
ratio
3.2x
P/BV
ratio
4.1x Div.
yield
1.9%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
The investment seeks to provide investment results that closely correspond, before expenses, to the performance of the Nasdaq U.S. Mega Cap Select Leaders Index. The index uses a quantitative model designed to identify equity securities of companies with the largest market capitalizations in the Nasdaq US 500 Large Cap Index, with higher weights given to securities that are less volatile.

FUND BASICS
Category US Equities
Fund Sponsor The Principal Financial Group
Website www.principalfunds.com
Inception date Oct 11, 2017
Assets (mns) $1,622
Currency USD
Expense ratio 12 bp
Distributions Quarterly

FUND STRUCTURE
Regulation Open-Ended Fund
Custodian
Weighting Tiered
Index replication
Uses derivatives No
Options available Yes

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 41
Wgt avg mkt cap (mns) $461,595
Large cap (>$10bn) 100.0%
Mid cap ($2-10bn) 0.0%
Small cap (<$2bn) 0.0%
Developed mkts 100.0%
Emerging mkts 0.0%

TOP TEN HOLDINGS
MICROSOFT CORP 5.9 %
AMAZON.COM INC 4.4 %
APPLE INC 3.3 %
PFIZER INC 3.2 %
COSTCO WHOLESALE CORP 3.2 %
WAL-MART STORES INC 3.1 %
JOHNSON & JOHNSON 3.1 %
MERCK & CO. INC. 2.9 %
VERIZON COMMUNICATIONS INC 2.9 %
FACEBOOK 2.9 %
Total 34.8 %

TOP COUNTRY EXPOSURE
UNITED STATES 97.6 %
IRELAND 2.1 %









HISTORICAL PERFORMANCE info

  Custom date range Compare to  
  thru


Standardized Annual Returns (thru July 31)
Year-to-date 1 year 5 years 10 years Since Incep.
1.1% 9.1% -- -- 10.6%

Market Correlations
versus... Beta R-squared
S&P500 0.88 97%
MSCI EAFE 0.86 78%
MSCI Emg. Mkts. 0.61 63%

Technical Indicators
Recent close $32.38
30d moving avg. $31.07
Annualized volatility 16.0%
Short interest (ETF) 0.0%
Relative strength (RSI) 69

Liquidity measures
Avg. volume (thou.) 56
Turnover 0.1%
Bid/Ask (% of price) 0.17%
ADV underlying (mns) $89,862

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 100 potential alternatives to the Principal U.S. Mega-Cap Multi-Factor Index ETF ETF based on the alternatives' overlap in portfolio holdings with USMC. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: USMC Expense: 12 bp ALTAR Score™: 4.6%


ALTERNATIVE ETFs BASED ON OVERLAP WITH USMC
Ticker Fund
Name
Overlap1
vs USMC
(%)
Expense
ratio
(bp)
Savings
vs USMC
(bp)
ALTAR
Score™
(%)
ALTAR
vs USMC
(%)
XLG Invesco S&P 500 Top 50 ETF 66.3 20 -8 4.3 -0.3
OEF iShares S&P 100 ETF 60.0 20 -8 4.6 +0.0
BKLC BNY Mellon US Large Cap Core Equity ETF 51.3 0 12 4.9 +0.4
IWL iShares Russell Top 200 ETF 51.0 15 -3 4.8 +0.2
ACIO Aptus Collared Income Opportunity ETF 49.4 79 -67 4.1 -0.5
MGC Vanguard Mega Cap Index Fund 49.1 7 5 5.0 +0.4
SNPE Xtrackers S&P 500 ESG ETF 48.4 11 1 4.9 +0.3
NACP Impact Shares NAACP Minority Empowerment ETF 47.9 75 -63 4.5 -0.1
XOUT GraniteShares XOUT U.S. Large Cap ETF 46.5 60 -48 4.0 -0.6
ESG FlexShares STOXX US ESG Impact Index Fund 46.4 32 -20 4.9 +0.3
PBP Invesco S&P 500 BuyWrite ETF 46.3 49 -37 4.8 +0.3
JUST Goldman Sachs JUST U.S. Large Cap Equity ETF 46.1 20 -8 4.7 +0.2
SPXN ProShares S&P 500 Ex-Financials ETF 45.7 27 -15 4.8 +0.2
HSPX Global X S&P 500 Covered Call ETF 45.5 65 -53 4.7 +0.1
EDOW First Trust Dow 30 Equal Weight ETF 45.5 50 -38 5.8 +1.2
PLC Principal U.S. Large-Cap Multi-Factor Core Index ETF 45.3 15 -3 6.0 +1.4
SPY SPDR S&P 500 ETF Trust 45.2 9 3 5.2 +0.6
SPLG SPDR Portfolio Large Cap ETF 45.1 3 9 5.2 +0.6
IVV iShares Core S&P 500 ETF 45.1 4 8 5.2 +0.6
VOO VANGUARD S&P 500 ETF 44.9 3 9 5.2 +0.6
SPXE ProShares S&P 500 Ex-Energy ETF 44.8 27 -15 5.1 +0.5
SPYX SPDR S&P 500 Fossil Fuel Reserves Free ETF 44.6 20 -8 5.1 +0.6
GSUS Goldman Sachs MarketBeta U.S. Equity ETF 43.8 7 5 5.0 +0.4
ADME Aptus Drawdown Managed Equity ETF 43.7 81 -69 3.2 -1.4
MGV Vanguard Mega Cap Value ETF 43.5 7 5 7.2 +2.6
BBUS JP Morgan Betabuilders U.S. Equity ETF 43.4 2 10 5.1 +0.5
CCOR Core Alternative ETF 43.1 123 -111 4.3 -0.3
DLN WisdomTree U.S. LargeCap Dividend Fund 43.0 28 -16 6.3 +1.7
VV Vanguard Large-Cap Index Fund 43.0 4 8 5.0 +0.5
DGRO iShares Core Dividend Growth ETF 42.9 8 4 6.5 +1.9
SPXV ProShares S&P 500 Ex-Health Care ETF 42.7 27 -15 4.8 +0.2
SCHX Schwab U.S. Large-Cap ETF 42.3 3 9 5.1 +0.5
PBUS Invesco PureBeta MSCI USA ETF 42.3 4 8 5.1 +0.5
SPTM SPDR Portfolio Total Stock Market ETF 42.3 3 9 5.3 +0.7
IWY iShares Russell Top 200 Growth ETF 42.0 20 -8 3.7 -0.9
ESGU iShares MSCI USA ESG Optimized ETF 41.9 15 -3 4.9 +0.3
EPS WisdomTree U.S. Earnings 500 Fund 41.8 8 4 6.3 +1.7
EQWL Invesco Russell Top 200 Equal Weight ETF 41.6 25 -13 6.0 +1.4
IQSU IQ Candriam ESG US Equity ETF 41.2 9 3 4.9 +0.3
FVAL Fidelity Value Factor ETF 41.2 29 -17 7.7 +3.1
SCHK Schwab 1000 Index ETF 41.1 5 7 5.1 +0.5
VONE Vanguard Russell 1000 ETF 40.8 8 4 5.0 +0.4
IWB iShares Russell 1000 ETF 40.7 15 -3 4.9 +0.4
QUS SPDR MSCI USA StrategicFactors ETF 40.7 15 -3 5.7 +1.1
FMK First Trust Mega Cap AlphaDEX Fund 40.6 70 -58 4.7 +0.1
IYY iShares Dow Jones U.S. ETF 40.6 20 -8 5.0 +0.4
SPUS SP Funds S&P 500 Sharia Industry Exclusions ETF 40.6 49 -37 3.8 -0.8
PFM Invesco Dividend Achievers ETF 40.3 54 -42 5.3 +0.7
VOOG Vanguard S&P 500 Growth ETF 40.3 10 2 4.1 -0.5
SPYG SPDR Portfolio S&P 500 Growth ETF 40.3 4 8 4.2 -0.4
IVW iShares S&P 500 Growth ETF 40.3 18 -6 4.0 -0.6
FQAL Fidelity Quality Factor ETF 40.2 29 -17 5.4 +0.8
RECS Columbia Research Enhanced Core ETF 40.2 15 -3 5.4 +0.9
LRGE ClearBridge Large Cap Growth ESG ETF 40.1 59 -47 3.6 -1.0
SFY SoFi Select 500 ETF 40.1 0 12 5.0 +0.4
IWX iShares Russell Top 200 Value ETF 40.0 20 -8 6.7 +2.1
MMTM SPDR S&P 1500 Momentum Tilt ETF 39.6 12 0 4.4 -0.1
FDMO Fidelity Momentum Factor ETF 39.4 29 -17 3.7 -0.9
CATH Global X S&P 500 Catholic Values Custom ETF 39.2 29 -17 5.0 +0.4
DTD WisdomTree U.S.Total Dividend Fund 39.2 28 -16 6.5 +1.9
IUSG iShares Core S&P US Growth ETF 39.1 4 8 4.2 -0.4
SPHQ Invesco S&P 500 Quality ETF 39.1 15 -3 4.5 -0.1
SCHB Schwab U.S. Broad Market ETF 39.1 3 9 5.0 +0.4
OUSA O'Shares FTSE US Quality Dividend ETF 39.0 48 -36 5.5 +1.0
ITOT iShares Core S&P Total U.S. Stock Market ETF 38.9 3 9 5.0 +0.4
FDLO Fidelity Low Volatility Factor ETF 38.8 29 -17 5.0 +0.4
SPXT ProShares S&P 500 Ex-Technology ETF 38.8 27 -15 5.4 +0.9
ESGV Vanguard ESG U.S. Stock ETF 38.8 12 0 4.9 +0.3
TMFC Motley Fool 100 Index ETF 38.8 50 -38 3.3 -1.3
DIA SPDR Dow Jones Industrial Average ETF Trust 38.7 16 -4 5.4 +0.8
IWV iShares Russell 3000 ETF 38.7 20 -8 4.8 +0.2
VTHR Vanguard Russell 3000 Index Fund 38.6 10 2 4.9 +0.3
RFDA RiverFront Dynamic US Dividend Advantage ETF 38.5 52 -40 4.8 +0.2
QVM Arrow QVM Equity Factor ETF 38.4 65 -53 4.9 +0.3
QLV FlexShares US Quality Low Volatility Index Fund 38.4 22 -10 4.6 +0.1
VTV Vanguard Value Index Fund 38.3 4 8 7.3 +2.7
BVAL Brand Value ETF 38.2 65 -53 5.5 +1.0
QDEF FlexShares Quality Dividend Defensive Index Fund 38.2 37 -25 5.7 +1.1
VONG Vanguard Russell 1000 Growth Index Fund 38.1 8 4 3.7 -0.9
IWF iShares Russell 1000 Growth ETF 38.1 19 -7 3.6 -1.0
QARP Xtrackers Russell 1000 US Quality at a Reasonable Price ETF 38.0 19 -7 5.9 +1.3
HIPR Direxion High Growth ETF 37.9 40 -28 4.3 -0.3
QUAL iShares MSCI Usa Quality Factor ETF 37.8 15 -3 5.3 +0.7
VTI Vanguard Total Stock Market Index Fund 37.8 3 9 4.9 +0.3
YLDE ClearBridge Dividend Strategy ESG ETF 37.6 60 -48 4.8 +0.2
JQUA JPMorgan U.S. Quality Factor ETF 37.2 12 0 5.2 +0.6
RAFE PIMCO RAFI ESG U.S. ETF 37.0 29 -17 7.5 +3.0
FDRR Fidelity Dividend ETF for Rising Rates 36.9 29 -17 6.8 +2.3
WOMN Impact Shares YWCA Women's Empowerment ETF 36.8 75 -63 3.9 -0.7
VYM Vanguard High Dividend Yield Index ETF 36.7 6 6 7.3 +2.8
VIG Vanguard Dividend Appreciation Index Fund 36.5 6 6 5.2 +0.7
DJD Invesco Dow Jones Industrial Average Dividend ETF 36.5 7 5 6.8 +2.2
ECOZ TrueMark ESG Active Opportunities ETF 36.4 58 -46 3.9 -0.7
DIVB iShares U.S. Dividend & Buyback ETF 36.4 25 -13 6.4 +1.8
SCHG Schwab U.S. Large-Cap Growth ETF 36.2 4 8 3.9 -0.7
MTUM iShares Edge MSCI USA Momentum Factor ETF 36.1 15 -3 4.1 -0.5
FTCS First Trust Capital Strength ETF 36.1 58 -46 4.6 -0.0
QLC FlexShares US Quality Large Cap Index Fund 36.0 32 -20 5.2 +0.7
DIVO Amplify YieldShares CWP Dividend & Option Income ETF 36.0 49 -37 4.5 -0.1
GSLC Goldman Sachs ActiveBeta U.S. Large Cap Equity ETF 35.7 9 3 5.3 +0.8

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:
Principal U.S. Mega-Cap Multi-Factor Index ETF
Relative
to:
S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

UNDERWEIGHT

Below average appreciation potential. A rating of UNDERWEIGHT is assigned to ETFs with ALTAR Scores in the 2nd quintile (ranking higher than only 20%-40%) of their category. Typically, funds in this category consist of stocks trading at relatively expensive valuations and/or having below-average fundamentals.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity 17.9 %
Divided by: Fwd. P/BV 3.8 x
Less: Expense ratio 12 bp
Equals: ALTAR Score 4.6 %
info More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS
COMPOSITE
RATING
1.41 CATEGORY
AVERAGE
1.52
 
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.