FAD - ETF AI Analysis
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First Trust Multi Cap Growth AlphaDEX Fund (FAD)
Rating:69Neutral
Price Target:―
Positive Factors
Strong Top Holdings
Many of the largest positions, including several technology and financial names, have shown strong gains this year, helping support the fund’s overall performance.
Broad Sector Diversification
The ETF spreads its investments across many sectors such as technology, industrials, health care, and consumer stocks, which can help reduce the impact if one area of the market struggles.
Solid Year-to-Date Results
The fund’s year-to-date performance has been strong, indicating that its growth-focused strategy has recently been rewarded by the market.
Negative Factors
High Expense Ratio
The ETF charges a relatively high fee compared with many index funds, which can eat into long-term returns for investors.
Heavy U.S. Concentration
Almost all of the fund’s assets are invested in U.S. companies, offering very little geographic diversification if the U.S. market faces a downturn.
Short-Term Performance Volatility
The fund’s recent one-month performance has been weak, suggesting that investors should be prepared for bumps in the short term even if longer-term results have been stronger.
FAD vs. SPDR S&P 500 ETF (SPY)
AUM601.76M
RegionNorth America
Expense Ratio0.63%
Beta1.11
IssuerFirst Trust
Inception DateMay 08, 2007
Dividend Yield0.08%
Asset ClassEquity
Index TrackedNASDAQ AlphaDEX Multi Cap Growth Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume12,160
30 Day Avg. Volume13,266
Financial Highlights & Ratios
PEG RatioN/A
Price to Book (P/B)N/A
Price to Sales (P/S)N/A
P/FCF RatioN/A
Enterprise Value/Market CapN/A
Enterprise Value/RevenueN/A
Enterprise Value/Gross ProfitN/A
Enterprise Value/EbitdaN/A
Forecast
1Y Price Target
235.56Price Target Upside― Downside
Rating ConsensusModerate Buy
Number of Analyst Covering671
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
FAD Summary
FAD (First Trust Multi Cap Growth AlphaDEX Fund) is an ETF that follows the NASDAQ AlphaDEX Multi Cap Growth Index, focusing on U.S. companies of all sizes that are expected to grow faster than the overall market. It holds a mix of sectors, with a tilt toward technology, industrials, and health care, and includes well-known names like Morgan Stanley and eBay. Someone might invest in FAD to seek long-term growth and diversification across many different companies. A key risk is that growth-focused stocks can be more volatile, so the fund’s value can rise and fall sharply with the market.
How much will it cost me?The expense ratio for the First Trust Multi Cap Growth AlphaDEX Fund (FAD) is 0.64%, which means you’ll pay $6.40 per year for every $1,000 invested. This is higher than average because the fund is actively managed, using a specialized stock selection process to target growth opportunities across the market. Active management typically involves more research and trading, which increases costs.
What would affect this ETF?The First Trust Multi Cap Growth AlphaDEX Fund (FAD) could benefit from continued innovation and growth in the technology and industrial sectors, which make up a significant portion of its holdings. However, rising interest rates or economic slowdowns in the U.S. could negatively impact growth-focused companies, particularly smaller firms that rely on borrowing or are more sensitive to market conditions. Regulatory changes or shifts in consumer demand could also influence the performance of key sectors like health care and consumer cyclical.
FAD Top 10 Holdings
FAD’s story is all about U.S. growth names, with tech and health care doing most of the heavy lifting. Dell, CrowdStrike, and Fortinet are rising standouts, riding enthusiasm around AI and cybersecurity and giving the fund a solid tech backbone. In health care, Illumina and Natera add more growth flair, with momentum picking up after a stronger stretch of results. Lumentum has been another bright spot, though its financial quirks add some bumpiness. With no single giant dominating, performance is driven by a broad cast of mid-sized U.S. growers rather than one star headliner.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Illumina | 0.61% | $3.66M | $37.37B | 197.10% | 71 Outperform | |
| Dell Technologies | 0.61% | $3.65M | $349.01B | 309.30% | 65 Neutral | |
| Everpure | 0.60% | $3.63M | $36.95B | 46.02% | 64 Neutral | |
| Natera | 0.59% | $3.54M | $56.35B | 150.84% | 73 Outperform | |
| Fortinet | 0.57% | $3.41M | $127.86B | 114.72% | 71 Outperform | |
| Incyte | 0.54% | $3.22M | $25.73B | 52.39% | 81 Outperform | |
| CrowdStrike Holdings | 0.53% | $3.20M | $256.05B | 119.55% | 67 Neutral | |
| Advanced Micro Devices | 0.53% | $3.18M | $1.02T | 290.19% | 73 Outperform | |
| Lumentum Holdings | 0.53% | $3.18M | $84.83B | 477.94% | 61 Neutral | |
| Interactive Brokers | 0.50% | $3.03M | $41.63B | 38.25% | 75 Outperform |
FAD Technical Analysis
Neutral
―
Price Trends
185.70
Negative
186.87
Negative
176.85
Positive
Market Momentum
-1.12
Negative
48.62
Neutral
73.03
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FAD, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 182.36, equal to the 50-day MA of 185.70, and equal to the 200-day MA of 176.85, indicating a neutral trend. The MACD of -1.12 indicates Negative momentum. The RSI at 48.62 is Neutral, neither overbought nor oversold. The STOCH value of 73.03 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for FAD.
FAD Peer Comparison
Comparison Results
Performance Comparison
FAD
First Trust Multi Cap Growth AlphaDEX Fund
183.26
22.98
14.34%
LSGR
Natixis Loomis Sayles Focused Growth ETF
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GQGU
GQG US Equity ETF
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RJCA
RJ ClariVest Capital Appreciation ETF
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BASG
Brown Advisory Sustainable Growth ETF
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FDG
American Century Focused Dynamic Growth ETF
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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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