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DVLU - ETF AI Analysis

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DVLU

First Trust Dorsey Wright Momentum & Value ETF (DVLU)

Rating:71Outperform
Price Target:
DVLU, the First Trust Dorsey Wright Momentum & Value ETF, has an overall rating that suggests it holds generally solid, but not flawless, investments. Strong contributors like Old National Bancorp Capital, Popular, Invesco, and Principal Financial support the fund with healthy financial performance, positive earnings sentiment, and reasonable valuations, which helps lift the ETF’s quality. However, weaker names such as Owens Corning, which faces declining revenues, profitability issues, and bearish technical trends, along with some holdings showing overvaluation or weak momentum, introduce risk, and the fund’s focus on a relatively small group of value and momentum names means performance can be sensitive to problems in a few key stocks.
Positive Factors
Strong Recent Performance
The ETF has delivered solid gains so far this year and over the past few months, showing positive momentum.
Top Holdings with Strong Momentum
Several of the largest positions, such as TD SYNNEX, HF Sinclair, Centene, and CVS Health, have shown strong year-to-date performance, helping drive the fund’s returns.
Broad Sector Diversification
The fund spreads its investments across many sectors, including financials, industrials, health care, consumer stocks, and utilities, which helps reduce the impact of weakness in any single area.
Negative Factors
Higher 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.
Heavy Tilt Toward Financials and Industrials
A large share of the portfolio is concentrated in financial and industrial companies, which can increase risk if these sectors face a downturn.
Limited International Diversification
Almost all of the ETF’s holdings are in U.S. companies, offering little exposure to opportunities or diversification in overseas markets.

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

DVLU Summary

The First Trust Dorsey Wright Momentum & Value ETF (DVLU) is a U.S. stock fund that follows the Dorsey Wright Momentum Plus Value Index. It looks for companies that are both currently doing well in the market (momentum) and still reasonably priced (value), across many sectors like financials, industrials, and health care. Well-known holdings include General Motors and CVS Health. An investor might choose DVLU for broad diversification in U.S. stocks with a tilt toward potential growth at fair prices. A key risk is that it can rise or fall significantly with the overall stock market.
How much will it cost me?The First Trust Dorsey Wright Momentum & Value ETF (DVLU) has an expense ratio of 0.6%, meaning you’ll pay $6 per year for every $1,000 invested. This is higher than average because it is actively managed, focusing on selecting stocks with strong momentum and attractive value characteristics.
What would affect this ETF?The DVLU ETF, with its focus on U.S. equities and a blend of momentum and value investing, could benefit from a strong U.S. economy and growth in sectors like financials and consumer cyclical, which make up a significant portion of its holdings. However, rising interest rates or economic slowdowns could negatively impact financial stocks and consumer spending, while regulatory changes in key industries like airlines or financial services might also pose risks. Investors should consider these factors when evaluating this ETF.

DVLU Top 10 Holdings

DVLU is leaning hard into U.S. financials, with asset managers like Invesco and Franklin Resources doing much of the heavy lifting as their shares keep rising on solid flows and upbeat earnings. Industrial names such as TD SYNNEX and Oshkosh add more momentum, though Oshkosh looks a bit out of breath despite decent fundamentals. HF Sinclair has been a standout, giving the fund an energy kick, while General Motors is more of a mixed driver, occasionally sputtering. Overall, the ETF is U.S.-centric and tilted toward value-oriented financial and industrial workhorses.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
General Motors4.01%$1.99M$77.01B50.61%
73
Outperform
Invesco3.66%$1.81M$14.60B50.39%
77
Outperform
HF Sinclair Corporation3.60%$1.79M$18.74B106.28%
68
Neutral
TD SYNNEX Corporation3.32%$1.65M$21.00B75.66%
73
Outperform
Oshkosh3.29%$1.63M$9.70B12.54%
71
Outperform
BorgWarner3.16%$1.57M$13.76B53.40%
65
Neutral
Apollo Global Management3.13%$1.55M$78.94B1.61%
75
Outperform
Principal Financial3.03%$1.50M$24.98B45.89%
76
Outperform
Franklin Resources2.87%$1.42M$17.65B39.09%
74
Outperform
CVS Health2.85%$1.41M$123.73B31.12%
64
Neutral

DVLU Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
40.92
Negative
100DMA
39.56
Positive
200DMA
37.54
Positive
Market Momentum
MACD
-0.06
Positive
RSI
47.86
Neutral
STOCH
71.44
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For DVLU, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 41.29, equal to the 50-day MA of 40.92, and equal to the 200-day MA of 37.54, indicating a neutral trend. The MACD of -0.06 indicates Positive momentum. The RSI at 47.86 is Neutral, neither overbought nor oversold. The STOCH value of 71.44 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for DVLU.

DVLU Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$49.42M0.60%
71
Outperform
$99.04M0.89%
71
Outperform
$98.23M0.76%
63
Neutral
$91.78M0.85%
68
Neutral
$90.82M0.59%
70
Outperform
$90.04M0.75%
70
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
DVLU
First Trust Dorsey Wright Momentum & Value ETF
40.88
9.31
29.49%
BAMD
Brookstone Dividend Stock ETF
BUZZ
VanEck Social Sentiment ETF
STNC
Stance Equity ESG Large Cap Core ETF
PFOE
Pathfinder Focused Opportunities ETF
SOVF
Sovereign's Capital Flourish Fund
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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