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FRTY - ETF AI Analysis

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FRTY

Alger Mid Cap 40 ETF (FRTY)

Rating:55Neutral
Price Target:
FRTY, the Alger Mid Cap 40 ETF, has a solid but not top-tier overall rating, reflecting a mix of strong performers and more challenged holdings. High-quality names like Heico (HEI.A) and Comfort Systems USA (FIX) support the fund’s rating with robust growth, profitability, and effective cash flow management, while companies such as Twist Bioscience (TWST) and Nebius Group (NBIS) weigh on the score due to financial and cash flow weaknesses and concerns about overvaluation. The main risk factor is exposure to several companies with profitability and valuation challenges, which can add volatility even as the fund benefits from its stronger holdings.
Positive Factors
Strong Year-to-Date Results
The fund has delivered solid gains so far this year, showing that its strategy has recently been working well for investors.
High-Performing Top Holdings
Several of the largest positions, such as Twist Bioscience, Cloudflare, Comfort Systems, Modine, nLIGHT, and Nebius Group, have shown strong performance, helping drive the ETF’s overall returns.
Diversified Sector Mix Within Mid Caps
Holdings spread across technology, industrials, health care, and several other sectors help reduce the impact if any one industry runs into trouble.
Negative Factors
Concentrated Portfolio in Only 40 Stocks
With a relatively small number of holdings, each stock has a bigger impact on results, which can increase volatility for investors.
Heavy U.S.-Only Exposure
Almost all assets are invested in U.S. companies, offering little geographic diversification if the U.S. market weakens.
Mixed Performance Among Top Holdings
Some key positions like Liberty Media Liberty Formula One, Repligen, Heico, and Axon Enterprise have shown weaker recent performance, which can offset gains from stronger names.

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

FRTY Summary

The Alger Mid Cap 40 ETF (FRTY) is a fund that invests in about 40 medium‑sized U.S. companies that are focused on growth. It doesn’t track a set index, but instead follows a mid‑cap growth theme, choosing firms in areas like technology, industrials, and health care. Well‑known names in the fund include Cloudflare and Axon Enterprise. Someone might invest in FRTY to seek higher growth than large, slower‑moving companies and to diversify beyond big blue‑chip stocks. A key risk is that mid‑cap growth stocks can be more volatile, so the ETF’s value can rise and fall sharply with the market.
How much will it cost me?The Alger Mid Cap 40 ETF (Ticker: FRTY) 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 the fund is actively managed, focusing on a curated portfolio of 40 mid-cap growth stocks, which requires more research and management compared to passively managed ETFs.
What would affect this ETF?The Alger Mid Cap 40 ETF (FRTY) could benefit from continued innovation and growth in sectors like technology and communication services, which make up a significant portion of its holdings. However, it may face challenges if economic conditions worsen, as mid-cap companies are often more sensitive to market volatility and higher interest rates could impact growth-focused stocks. Regulatory changes or sector-specific disruptions in industries like healthcare or consumer cyclical could also influence performance.

FRTY Top 10 Holdings

FRTY is leaning hard into U.S. mid-cap growth, with a clear tilt toward health care and cloud tech names that can really move the needle. Twist Bioscience and Guardant Health have been rising, helping power returns but also adding volatility given their still-uneven finances. On the tech side, Snowflake and Cloudflare are climbing steadily, acting like twin engines for the fund’s growth story. Meanwhile, Nebius Group’s mixed trajectory and a recently lagging Comfort Systems are holding things back a bit, showing that not every bet in this concentrated, U.S.-focused portfolio is firing at once.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Twist Bioscience6.10%$9.01M$8.21B384.16%
43
Neutral
Liberty Media Liberty Formula One4.56%$6.74M$23.76B-5.21%
66
Neutral
Repligen4.25%$6.27M$9.46B34.55%
68
Neutral
Snowflake3.75%$5.53M$116.87B49.47%
54
Neutral
Cloudflare3.39%$5.01M$99.32B30.08%
61
Neutral
Heico Cp Cl A3.29%$4.85M$38.28B-4.82%
79
Outperform
Nebius Group3.24%$4.78M$61.55B245.79%
46
Neutral
Arrowhead Pharmaceuticals3.15%$4.65M$12.20B196.96%
57
Neutral
Guardant Health3.05%$4.50M$21.66B168.44%
61
Neutral
Comfort Systems3.00%$4.42M$56.67B127.99%
80
Outperform

FRTY Technical Analysis

Technical Analysis Sentiment
Negative
Last Price
Price Trends
50DMA
22.97
Negative
100DMA
22.61
Negative
200DMA
21.68
Positive
Market Momentum
MACD
-0.14
Positive
RSI
42.81
Neutral
STOCH
21.95
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FRTY, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 23.11, equal to the 50-day MA of 22.97, and equal to the 200-day MA of 21.68, indicating a neutral trend. The MACD of -0.14 indicates Positive momentum. The RSI at 42.81 is Neutral, neither overbought nor oversold. The STOCH value of 21.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FRTY.

FRTY Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$147.46M0.60%
55
Neutral
$787.41M0.20%
71
Outperform
$498.27M0.18%
71
Outperform
$165.41M0.80%
74
Outperform
$116.06M0.85%
67
Neutral
$103.81M0.45%
68
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
FRTY
Alger Mid Cap 40 ETF
22.36
1.50
7.19%
AVMV
Avantis U.S. Mid Cap Value ETF
AVMC
Avantis U.S. Mid Cap Equity ETF
GLRY
Inspire Faithward Mid Cap Momentum ESG ETF
TMFM
Motley Fool Mid-Cap Growth ETF
MID.ETF
American Century Mid Cap Growth Impact 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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