FCFY - ETF AI Analysis
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First Trust S&P 500 Diversified Free Cash Flow ETF (FCFY)
FCFY’s rating reflects a portfolio led by strong, cash-generative companies like Adobe, Accenture, Cognizant, and Intuit, all benefiting from solid financial performance and strategic focus on AI and innovation, which support the fund’s quality and growth potential. However, holdings such as Centene and HP introduce some drag due to profitability and financial stability concerns, and there is a notable concentration in technology and AI-focused businesses, which can increase sector-specific risk if market conditions turn against that theme.
FCFY vs. SPDR S&P 500 ETF (SPY)
- AUM
- 1.55M
- Region
- North America
- Expense Ratio
- 0.60%
- Beta
- 0.92
- Issuer
- First Trust
- Inception Date
- Aug 23, 2023
- Dividend Yield
- 1.23%
- Asset Class
- Equity
- Index Tracked
- S&P 500 Sector-Neutral FCF Index - Benchmark TR Gross
FCFY Summary
The First Trust S&P 500 Diversified Free Cash Flow ETF (FCFY) tracks the S&P 500 Sector-Neutral FCF Index, focusing on large U.S. companies that generate strong, steady cash from their businesses. It holds well-known names like Adobe and Comcast, and spreads investments across many sectors, with a big tilt toward technology. Someone might consider this ETF if they want exposure to established U.S. companies that are financially healthy and have potential for long-term growth. A key risk is that it is heavily tilted toward tech and U.S. stocks, so its price can rise and fall sharply with that part of the market.
How much will it cost me?
This ETF has an expense ratio of 0.60%, which means you’ll pay about $6 per year for every $1,000 you invest. That’s higher than the average index ETF because it uses a more specialized, rules-based strategy to select companies with strong free cash flow rather than simply tracking the market.
What would affect this ETF?
This ETF focuses on U.S. large companies with strong free cash flow, especially in technology and communication services, so it could benefit if digital transformation, cloud software, and healthy corporate profits continue and interest rates eventually ease, making growth stocks more attractive. On the downside, it may be hurt by higher-for-longer interest rates, tighter regulations on big tech and health care, or a U.S. economic slowdown that pressures company cash flows and investor appetite for risk.
FCFY Top 10 Holdings
This ETF is heavily tilted toward U.S. tech and digital services, with names like Intuit, Adobe, GoDaddy, and Accenture forming the core engine. Accenture and HP are rising and helping to pull the fund forward, while Intuit, Adobe, and Gartner look more mixed, with recent gains but a weaker year-to-date trend that’s sapping some momentum. Comcast and First Solar are clearly lagging, acting as small anchors on performance. Overall, it’s a U.S.-centric, cash-flow-focused portfolio where tech is in the driver’s seat, even if a few passengers are slowing the ride.
| Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
 INTU | Intuit | 3.74% | $58.33K | $91.15B | -48.02% | 73Outperform |
 ACN | Accenture | 3.76% | $58.62K | $152.63B | 3.61% | 79Outperform |
 CMCSA | Comcast | 3.71% | $57.89K | $82.45B | -15.01% | 74Outperform |
 GDDY | GoDaddy | 3.91% | $60.96K | $14.85B | -7.50% | 60Neutral |
 ADBE | Adobe | 3.51% | $54.80K | $97.39B | -26.24% | 80Outperform |
 IT | Gartner | 3.33% | $51.94K | $14.45B | -7.89% | 67Neutral |
 HPQ | HP | 2.92% | $45.62K | $25.95B | 4.62% | 61Neutral |
 CNC | Centene | 3.05% | $47.64K | $33.89B | 95.46% | 58Neutral |
 CTSH | Cognizant | 3.17% | $49.42K | $29.11B | -9.81% | 79Outperform |
 GEN | Gen Digital | 2.81% | $43.78K | $17.28B | 11.65% | 67Neutral |
FCFY Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FCFY, the sentiment is Positive. The current price of 31.18 is above the 20-day moving average (MA) of 30.19, above the 50-day MA of 30.04, and above the 200-day MA of 27.82, indicating a bullish trend. The MACD of 0.36 indicates Negative momentum. The RSI at 62.79 is Neutral, neither overbought nor oversold. The STOCH value of 50.54 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FCFY.
FCFY Peer Comparison
Comparison Results
| Name | Price | Price Target | AUM | Expense Ratio | Overall Rating |
|---|---|---|---|---|---|
| FCFY | $31.18 | $34.00(9.03% Upside) | $1.55M | 0.60% | 71Outperform |
 PRMR | $28.30 | $34.26(21.03% Upside) | $93.63M | 1.00% | 73Outperform |
 SPXE | $80.85 | $100.26(24.00% Upside) | $86.64M | 0.09% | 74Outperform |
 FCUS | $36.61 | $47.35(29.34% Upside) | $86.02M | 0.80% | 67Neutral |
 NULC | $54.91 | $68.30(24.38% Upside) | $81.33M | 0.21% | 74Outperform |
 QARP | $68.79 | $79.92(16.18% Upside) | $79.50M | 0.19% | 73Outperform |
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| FCFY | First Trust S&P 500 Diversified Free Cash Flow ETF | 31.18 | 4.89 | 18.61% | |
| PRMR | PeakShares RMR Prime Equity ETF | 28.30 | 3.32 | 13.31% | |
| SPXE | ProShares S&P 500 Ex-Energy ETF | 80.85 | 7.60 | 10.37% | |
| FCUS | Pinnacle Focused Opportunities ETF | 36.61 | 2.64 | 7.78% | |
| NULC | Nuveen ESG Large-Cap ETF | 54.91 | 7.00 | 14.61% | |
| QARP | Xtrackers Russell 1000 US Quality at a Reasonable Price ETF | 68.79 | 11.60 | 20.27% |
This 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.