FTCS - ETF AI Analysis
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First Trust Capital Strength ETF (FTCS)
FTCS, the First Trust Capital Strength ETF, earns a solid overall rating thanks to several high-quality holdings like Merck, Amgen, and Gilead, which bring strong financial performance, attractive growth prospects, and supportive earnings call outlooks. At the same time, holdings such as Airbnb, Garmin, Mastercard, and Visa introduce some caution due to bearish technical trends and premium valuations. The main risk factor is the fund’s exposure to multiple stocks with high valuations and some negative momentum, which could increase volatility if market conditions worsen.
FTCS vs. SPDR S&P 500 ETF (SPY)
- AUM
- 7.92B
- Region
- North America
- Expense Ratio
- 0.53%
- Beta
- 0.50
- Issuer
- First Trust
- Inception Date
- Jul 06, 2006
- Dividend Yield
- 1.14%
- Asset Class
- Equity
- Index Tracked
- NASDAQ Capital Strength Index
FTCS Summary
The First Trust Capital Strength ETF (FTCS) tracks the NASDAQ Capital Strength Index, focusing on large U.S. companies with strong finances and steady earnings. It holds well-known names like Lockheed Martin and 3M, and spreads investments across many sectors, including financials, industrials, and consumer companies. Someone might invest in FTCS to seek long-term growth from solid, established businesses while still staying diversified across the U.S. stock market. A key risk is that it can still go up and down with the overall stock market, and its focus on large, financially strong companies may lag more aggressive growth funds in booming markets.
How much will it cost me?
FTCS has an expense ratio of 0.53%, which means you’ll pay about $5.30 per year for every $1,000 invested. This cost is higher than the average for many broad, passively managed index ETFs because FTCS uses a more specialized, rules-based strategy to select financially strong companies.
What would affect this ETF?
FTCS could benefit if the U.S. economy remains steady, interest rates eventually ease, and financially strong companies in sectors like financials, industrials, and consumer defensive continue to grow and maintain dividends, supporting its large-cap focus. On the downside, higher-for-longer interest rates, economic slowdowns that hurt banks and industrial firms, or regulatory changes affecting financial and health care companies could weigh on the ETF’s future performance.
FTCS Top 10 Holdings
FTCS leans heavily into U.S. health care and consumer staples, with names like Merck, Johnson & Johnson, Gilead, and Coca-Cola quietly powering the fund thanks to steady, rising share prices and resilient earnings. Garmin has been another bright spot, adding a bit of tech flavor to the mix. On the flip side, Resmed, CME Group, and Airbnb have been more mixed lately, occasionally dragging on returns as their momentum cools. Overall, the ETF is a U.S.-centric, large-cap story built around durable, defensive leaders rather than flashy high-growth bets.
| Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
 LMT | Lockheed Martin | 2.17% | $169.43M | $139.57B | 23.79% | 70Outperform |
 NOC | Northrop Grumman | 2.11% | $164.77M | $78.34B | -8.96% | 76Outperform |
 ADP | Automatic Data Processing | 2.09% | $163.40M | $120.52B | 8.03% | 70Outperform |
 MMM | 3M | 2.08% | $162.14M | $89.63B | 1.08% | 59Neutral |
 MRSH | Marsh & McLennan Companies | 2.07% | $161.58M | $93.90B | 5.00% | 71Outperform |
 CSX | CSX | 2.06% | $160.96M | $93.63B | 42.95% | 78Outperform |
 CME | CME Group | 2.06% | $160.90M | $109.93B | 13.69% | 74Outperform |
 VRTX | Vertex Pharmaceuticals | 2.06% | $160.79M | $132.80B | 23.97% | 78Outperform |
 CINF | Cincinnati Financial | 2.05% | $159.79M | $27.06B | 13.22% | 76Outperform |
 TROW | T Rowe Price | 2.04% | $159.54M | $22.23B | 1.67% | 75Outperform |
FTCS Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For FTCS, the sentiment is Positive. The current price of 100.72 is above the 20-day moving average (MA) of 96.80, above the 50-day MA of 97.89, and above the 200-day MA of 95.55, indicating a bullish trend. The MACD of 1.11 indicates Negative momentum. The RSI at 66.07 is Neutral, neither overbought nor oversold. The STOCH value of 90.64 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for FTCS.
FTCS Peer Comparison
Comparison Results
| Name | Price | Price Target | AUM | Expense Ratio | Overall Rating |
|---|---|---|---|---|---|
| FTCS | $100.72 | $107.00(6.24% Upside) | $7.92B | 0.53% | 74Outperform |
 JQUA | $75.92 | $88.64(16.76% Upside) | $9.47B | 0.12% | 73Outperform |
 VONE | $343.44 | $428.33(24.72% Upside) | $9.28B | 0.06% | 73Outperform |
 FELC | $42.98 | $52.74(22.71% Upside) | $8.70B | 0.18% | 74Outperform |
 QYLD | $18.09 | $23.59(30.42% Upside) | $8.28B | 0.60% | 76Outperform |
 TCAF | $43.04 | $53.81(25.03% Upside) | $8.10B | 0.31% | 69Neutral |
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| FTCS | First Trust Capital Strength ETF | 100.72 | 8.31 | 9.00% | |
| JQUA | JPMorgan U.S. Quality Factor ETF | 75.92 | 13.00 | 20.66% | |
| VONE | Vanguard Russell 1000 ETF | 343.44 | 35.85 | 11.66% | |
| FELC | Fidelity Enhanced Large Cap Core ETF | 42.98 | 5.13 | 13.54% | |
| QYLD | Global X NASDAQ 100 Covered Call ETF | 18.09 | 2.64 | 17.09% | |
| TCAF | T. Rowe Price Capital Appreciation Equity ETF | 43.04 | 4.13 | 10.63% |
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.