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AFGR - ETF AI Analysis

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AFGR

First Trust Active Factor Large Cap Growth ETF (AFGR)

Rating:75Outperform
Price Target:
AFGR, the First Trust Active Factor Large Cap Growth ETF, earns a solid overall rating largely because its biggest positions in Alphabet and Nvidia are backed by strong financial performance and powerful growth themes in AI and cloud computing. Additional large holdings like Apple and Microsoft further support the fund’s quality through profitable operations and long-term growth in services and cloud, though several names such as Amazon and Visa face high valuations and some bearish or weak technical signals, which add risk. The main risk factor is the fund’s heavy concentration in a small group of large-cap tech and growth companies, which can make performance more volatile if sentiment toward these sectors turns negative.
Positive Factors
Strong Top Growth Holdings
Several of the largest positions, including major technology and healthcare names, have shown strong gains this year, helping support the ETF’s overall performance.
Broad Sector Spread Within Growth
Holdings spread across technology, communication services, financials, consumer sectors, and more help reduce the impact if any one growth industry stumbles.
Healthy Asset Base
The fund manages a meaningful pool of assets, which can support trading liquidity and ongoing fund operations for investors.
Negative Factors
Heavy Tilt Toward Technology
Nearly half of the portfolio is in technology stocks, which can make the ETF more sensitive to swings in that single sector.
High Concentration in a Few Names
A small group of large-cap stocks makes up a significant share of the fund, increasing the impact if any of those companies run into trouble.
Above-Average Expense Ratio
The fund’s expense ratio is on the higher side for an ETF, which means more of the returns are used to cover fees instead of going to investors.

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

AFGR Summary

The First Trust Active Factor Large Cap Growth ETF (AFGR) focuses on large U.S. companies that are expected to grow faster than the overall market. It doesn’t track a fixed index; instead, professional managers actively pick stocks, with a strong tilt toward technology and communication services. Well-known holdings include Alphabet (Google’s parent company) and Nvidia. Someone might invest in this ETF to seek long-term growth by owning leading, innovative businesses in one fund. However, because it leans heavily on tech and other growth stocks, its price can rise and fall more sharply than the broader market.
How much will it cost me?The First Trust Multi-Manager Large Growth ETF (MMLG) has an expense ratio of 0.85%, meaning you’ll pay $8.50 per year for every $1,000 invested. This is higher than average because the fund is actively managed, with multiple portfolio managers using diverse strategies to select growth-oriented large-cap stocks.
What would affect this ETF?The First Trust Multi-Manager Large Growth ETF (MMLG) could benefit from continued innovation and strong earnings growth in the technology sector, which makes up nearly half of its portfolio and includes top holdings like Nvidia and Microsoft. However, rising interest rates or economic slowdowns could negatively impact growth-oriented companies, particularly in sectors like technology and consumer cyclical, which are sensitive to borrowing costs and consumer spending. Additionally, regulatory changes affecting major tech firms could pose risks to the ETF's performance.

AFGR Top 10 Holdings

This ETF is essentially a bet on U.S. Big Tech and semiconductors, with Nvidia and Alphabet sitting in the driver’s seat. Nvidia has been rising lately and remains a key engine of performance, even as its momentum has been choppy over the past few months. Alphabet, by contrast, has been lagging, acting like a headwind for the fund. Apple is steadily pulling its weight, while Microsoft and Meta have seen more mixed, stop‑and‑go action. With heavy exposure to U.S. tech and communication services, the fund’s fortunes are tightly tied to the digital economy.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Alphabet Class A11.95%$11.31M$4.36T91.50%
85
Outperform
Nvidia10.15%$9.61M$4.86T14.80%
76
Outperform
Microsoft4.84%$4.58M$3.45T-8.96%
79
Outperform
Apple4.05%$3.84M$4.54T49.21%
79
Outperform
Broadcom3.96%$3.75M$1.85T31.74%
76
Outperform
Amazon3.90%$3.70M$2.92T34.19%
71
Outperform
Meta Platforms3.49%$3.30M$1.42T-23.97%
76
Outperform
Applied Materials2.10%$1.99M$403.07B183.45%
77
Outperform
Johnson & Johnson2.09%$1.98M$617.78B48.74%
78
Outperform
Visa2.05%$1.94M$651.42B6.87%
70
Outperform

AFGR Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
36.44
Positive
100DMA
35.25
Positive
200DMA
35.06
Positive
Market Momentum
MACD
0.26
Negative
RSI
61.51
Neutral
STOCH
94.93
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For AFGR, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 36.47, equal to the 50-day MA of 36.44, and equal to the 200-day MA of 35.06, indicating a bullish trend. The MACD of 0.26 indicates Negative momentum. The RSI at 61.51 is Neutral, neither overbought nor oversold. The STOCH value of 94.93 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for AFGR.

AFGR Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$96.49M0.65%
75
Outperform
$85.13M0.36%
75
Outperform
$76.65M0.65%
68
Neutral
$70.30M0.39%
73
Outperform
$60.86M0.85%
70
Neutral
$59.27M0.46%
72
Outperform
Performance Comparison
Ticker
Company Name
Price
Change
% Change
AFGR
First Trust Active Factor Large Cap Growth ETF
37.52
3.00
8.69%
PRXG
Praxis Impact Large Cap Growth ETF
AQLG
Highland Capital Large Capital Growth ETF
CGGG
Capital Group U.S. Large Growth ETF
EASY
Liberty One Defensive Dividend Growth ETF
IWFG
IQ Winslow Focused Large Cap Growth 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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