KBE - ETF AI Analysis
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SPDR S&P Bank ETF (KBE)
KBE, the SPDR S&P Bank ETF, has an overall rating that suggests it is a generally solid but not risk-free way to invest in the banking sector. Strong contributors like United Bankshares and East West Bancorp, which show solid financial performance, attractive valuations, and positive or bullish technical trends, help support the fund’s quality. However, weaker names such as Equitable Holdings, with financial challenges and bearish technical signals, and some holdings with neutral or bearish trends introduce risk, and the ETF’s focus on banks means it is heavily exposed to the health of the financial sector overall.
KBE vs. SPDR S&P 500 ETF (SPY)
- AUM
- 1.41B
- Region
- North America
- Expense Ratio
- 0.35%
- Beta
- 0.91
- Issuer
- SPDR
- Inception Date
- Nov 08, 2005
- Dividend Yield
- 2.33%
- Asset Class
- Equity
- Index Tracked
- S&P Banks Select Industry
KBE Summary
The SPDR S&P Bank ETF (KBE) is a fund that focuses on U.S. banks by tracking the S&P Banks Select Industry Index. It holds a wide mix of banking companies, from regional players like WesBanco to financial groups such as Equitable Holdings. Someone might invest in KBE to get broad exposure to the banking sector in a single investment, which can offer income and potential growth when the economy and interest rates move in banks’ favor. A key risk is that it is heavily tied to the health of the banking industry, so its value can rise or fall sharply with changes in the financial sector.
How much will it cost me?
The SPDR S&P Bank ETF (KBE) has an expense ratio of 0.35%, meaning you’ll pay $3.50 per year for every $1,000 invested. This is slightly higher than average for ETFs because it is passively managed but focuses on a specific sector, which can involve more specialized tracking costs.
What would affect this ETF?
The SPDR S&P Bank ETF (KBE) could benefit from rising interest rates, as banks typically earn more from lending in such environments, and economic growth may drive increased demand for banking services. However, it faces risks from potential regulatory changes or economic slowdowns, which could reduce profitability and loan activity. With its focus on U.S. banks like JPMorgan Chase and Bank of America, the ETF is closely tied to the health of the U.S. economy and financial sector trends.
KBE Top 10 Holdings
KBE is a pure play on U.S. banks, and its story right now is mostly about steady regional strength with a few trouble spots. Names like First Financial Bancorp, Simmons First, and NBT Bancorp have been rising this year, helping to pull the fund forward, while Stock Yards Bancorp and Old National look more mixed, losing a bit of steam in recent months. The real drag is Bancorp, whose sharp recent slide has been a headwind. Overall, performance is driven by a broad bench of regional and mid-size financials rather than a few mega-bank stars.
| Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
 CBC | Central Bancompany | 1.03% | $14.54M | $7.76B | 63.64% | ―― |
 EQH | Equitable Holdings | 1.01% | $14.25M | $14.52B | 12.15% | 40Underperform |
 CRBG | Corebridge Financial, Inc. | 1.01% | $14.20M | $15.34B | 11.04% | 67Neutral |
 OFG | OFG Bancorp | 1.00% | $14.07M | $2.21B | 26.40% | 78Outperform |
 UBSI | United Bankshares | 0.98% | $13.88M | $6.31B | 31.51% | 80Outperform |
 NBTB | NBT Bancorp | 0.98% | $13.86M | $2.63B | 26.23% | 74Outperform |
 SYBT | Stock Yards Bancorp | 0.98% | $13.80M | $2.37B | 14.64% | 69Neutral |
 CVBF | Cvb Financial | 0.98% | $13.81M | $3.85B | 17.85% | 72Outperform |
 TRMK | Trustmark | 0.98% | $13.79M | $2.58B | 18.66% | 68Neutral |
 EWBC | East West Bancorp | 0.98% | $13.79M | $17.19B | 30.76% | 79Outperform |
KBE Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For KBE, the sentiment is Negative. The current price of 63.12 is below the 20-day moving average (MA) of 63.81, below the 50-day MA of 66.53, and below the 200-day MA of 64.29, indicating a bearish trend. The MACD of -0.95 indicates Negative momentum. The RSI at 39.25 is Neutral, neither overbought nor oversold. The STOCH value of 57.22 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for KBE.
KBE Peer Comparison
Comparison Results
| Name | Price | Price Target | AUM | Expense Ratio | Overall Rating |
|---|---|---|---|---|---|
| KBE | $63.12 | $71.00(12.48% Upside) | $1.41B | 0.35% | 72Outperform |
 KBWB | $85.85 | $104.01(21.15% Upside) | $6.06B | 0.35% | 74Outperform |
 IYF | $127.84 | $149.73(17.12% Upside) | $3.77B | 0.37% | 72Outperform |
 FNCL | $77.82 | $89.71(15.28% Upside) | $2.28B | 0.08% | 72Outperform |
 IYG | $91.94 | $107.40(16.82% Upside) | $2.22B | 0.37% | 72Outperform |
 FXO | $62.47 | $72.46(15.99% Upside) | $1.04B | 0.60% | 72Outperform |
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| KBE | SPDR S&P Bank ETF | 63.12 | 7.27 | 13.02% | |
| KBWB | Invesco KBW Bank ETF | 85.85 | 11.88 | 16.05% | |
| IYF | iShares U.S. Financials ETF | 127.84 | 7.25 | 6.01% | |
| FNCL | Fidelity MSCI Financials Index ETF | 77.82 | 4.42 | 6.02% | |
| IYG | iShares US Financial Services ETF | 91.94 | 5.02 | 5.78% | |
| FXO | First Trust Financials AlphaDEX Fund | 62.47 | 6.50 | 11.61% |
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.