Technology Select Sector SPDR Fund
ALTAR
Score™
5.3% info Recommen-
dation
NEUTRAL
2020E    2021E
P/E
ratio
22.8x P/Sales
ratio
5.2x
P/BV
ratio
6.2x Div.
yield
1.3%


  • Description
  • Performance
  • Comps
  • premium Fundamentals
  • premium Valuation
  • premium Rating
Select Sector SPDRŽ holding S&P 500 stocks in the Technology sector. Component industries include Semiconductors & Semi Equipment; Software & Services; Tech Hardware & Equipment; and Telecommunication Services. The fund seeks investment results that, before expenses, generally correspond to the price and yield performance of the benchmark index. For product information and a prospectus visit www.sectorspdr.com.

FUND BASICS
Category US Equities
Fund Sponsor State Street Global Advisors
Website www.sectorspdrs.com
Inception date Dec 22, 1998
Assets (mns) $27,112
Currency USD
Expense ratio 13 bp
Distributions Quarterly

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

SECTOR BREAKDOWN

 


CONSTITUENT BREAKDOWN
No. of constituents 72
Wgt avg mkt cap (mns) $673,534
Large cap (>$10bn) 99.3%
Mid cap ($2-10bn) 0.7%
Small cap (<$2bn) 0.0%
Developed mkts 100.0%
Emerging mkts 0.0%

TOP TEN HOLDINGS
MICROSOFT CORP 20.2 %
APPLE INC 19.4 %
VISA INC-CLASS A SHARES 5.3 %
MASTERCARD INC-CLASS A 4.5 %
INTEL CORP 4.1 %
CISCO SYSTEMS INC 2.9 %
ADOBE SYSTEMS INC 2.7 %
NVIDIA CORP 2.7 %
SALESFORCE.COM INC 2.5 %
PAYPAL HOLDINGS INC 2.1 %
Total 66.3 %

TOP COUNTRY EXPOSURE
UNITED STATES 97.1 %
IRELAND 2.2 %
SWITZERLAND 0.5 %








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.
4.0% 45.7% 20.9% 18.3% 6.4%

Market Correlations
versus... Beta R-squared
S&P500 1.11 77%
MSCI EAFE 0.97 49%
MSCI Emg. Mkts. 0.63 36%

Technical Indicators
Recent close $95.33
30d moving avg. $98.30
Annualized volatility 15.3%
Short interest (ETF) 3.8%
Short interest (Underlying) 1.9%
Relative strength (RSI) 60

Liquidity measures
Avg. volume (thou.) 9,751
Turnover 3.4%
Bid/Ask (% of price) 0.01%
ADV underlying (mns) $42,969

Distributions


FINDING ALTERNATIVE FUNDS

Below is a list of 20 potential alternatives to the Technology Select Sector SPDR Fund ETF based on the alternatives' overlap in portfolio holdings with XLK. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker: XLK Expense: 13 bp ALTAR Score™: 5.3%


ALTERNATIVE ETFs BASED ON OVERLAP WITH XLK
Ticker Fund
Name
Overlap1
vs XLK
(%)
Expense
ratio
(bp)
Savings
vs XLK
(bp)
ALTAR
Score™
(%)
ALTAR
vs XLK
(%)
VGT Vanguard Information Technology Index Fund 89.4 10 3 5.2 -0.1
FTEC Fidelity MSCI Information Technology Index ETF 87.6 8 5 5.2 -0.1
IXN iShares Global Tech ETF 80.3 46 -33 5.0 -0.3
IYW iShares U.S. Technology ETF 73.5 42 -29 5.0 -0.4
IETC iShares Evolved U.S. Technology ETF 61.8 18 -5 4.5 -0.8
IGM iShares North American Tech ETF 60.9 46 -33 4.4 -1.0
JHMT John Hancock Multifactor Technology ETF 51.2 40 -27 6.0 +0.7
QYLD Global X NASDAQ 100 Covered Call ETF 48.0 60 -47 4.6 -0.7
RYT Invesco S&P 500 Equal Weight Technology ETF 46.2 40 -27 6.5 +1.2
QQQ Invesco QQQ Trust 45.7 20 -7 4.8 -0.5
TECB iShares US Tech Breakthrough Multisector ETF 44.9 40 -27 4.5 -0.8
NUSI Nationwide Risk-Managed Income ETF 44.4 68 -55 4.5 -0.9
TDIV First Trust NASDAQ Technology Dividend Index Fund 42.1 50 -37 6.8 +1.5
MGK Vanguard Mega Cap Growth ETF 41.0 7 6 4.6 -0.7
IWY iShares Russell Top 200 Growth ETF 40.4 20 -7 4.9 -0.5
OQAL Invesco Russell 1000 Quality Factor ETF 38.8 19 -6 6.0 +0.7
SPYG SPDR Portfolio S&P 500 Growth ETF 37.9 4 9 5.0 -0.3
IVW iShares S&P 500 Growth ETF 37.9 18 -5 4.8 -0.5
VOOG Vanguard S&P 500 Growth ETF 37.8 10 3 4.9 -0.4
VUG Vanguard Growth Index Fund 37.8 4 9 4.5 -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:
Technology Select Sector SPDR Fund
Relative
to:
S&P500 MSCI EAFE MSCI Emg. Mkts. Other ETF:

NEUTRAL

Average appreciation potential. A rating of NEUTRAL is assigned to ETFs with ALTAR Scores in the middle quintile (ranking between 40%-60%) of their category. This indicates that valuations adequately reflect the fundamentals of stocks in these funds.

ALTAR Score™


Calculation of ALTAR Score™
Avg. Return on Equity 32.8 %
Divided by: Fwd. P/BV 6.0 x
Less: Expense ratio 13 bp
Equals: ALTAR Score 5.3 %
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.