LCTU - ETF AI Analysis
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BlackRock U.S. Carbon Transition Readiness ETF (LCTU)
Rating:74Outperform
Price Target:―
Positive Factors
Strong Mega-Cap Leaders
Several of the largest positions, including Nvidia, Apple, Amazon, Alphabet, Broadcom, and Bank of America, have shown strong gains this year, helping support the fund’s overall performance.
Broad Sector Diversification
Holdings spread across technology, financials, consumer sectors, health care, industrials, and more help reduce the impact if any one industry runs into trouble.
Low Expense Ratio
The fund’s relatively low fee means more of the ETF’s returns stay in investors’ pockets instead of going to costs.
Negative Factors
Heavy Tilt Toward Technology
With over a third of assets in technology stocks, the fund is sensitive to swings in the tech sector.
High U.S. Concentration
Almost all of the ETF’s assets are invested in U.S. companies, offering very little geographic diversification.
Key Holdings With Weak Performance
Some major positions like Microsoft, Meta Platforms, and Tesla have shown weak results this year, which can drag on the fund’s returns if the trend continues.
LCTU vs. SPDR S&P 500 ETF (SPY)
AUM1.26B
RegionNorth America
Expense Ratio0.15%
Beta1.01
IssueriShares
Inception DateApr 06, 2021
Dividend Yield0.93%
Asset ClassEquity
Index TrackedNo Underlying Index
Share Statistics
EPS (TTM)N/A
Shares OutstandingN/A
10 Day Avg. Volume20,273
30 Day Avg. Volume78,052
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
99.52Price Target Upside― Downside
Rating ConsensusStrong Buy
Number of Analyst Covering325
EPS Forecast (FY)N/A
Revenue Forecast (FY)N/A
LCTU Summary
The BlackRock U.S. Carbon Transition Readiness ETF (LCTU) invests in U.S. companies that are better prepared for a shift toward a lower-carbon, more environmentally friendly economy. It doesn’t track a traditional index, but follows a “low carbon” theme, with a big focus on technology and other major sectors. Well-known holdings include Nvidia and Apple. Someone might invest in LCTU to seek long-term growth while supporting companies working to reduce their carbon impact. A key risk is that it leans heavily toward large U.S. tech-related stocks, so its price can rise and fall sharply with that part of the market.
How much will it cost me?The BlackRock U.S. Carbon Transition Readiness ETF (LCTU) has an expense ratio of 0.14%, meaning you’ll pay $1.40 per year for every $1,000 invested. This is lower than average for actively managed ETFs, as it’s designed to be cost-efficient while focusing on companies adapting to a low-carbon economy.
What would affect this ETF?The BlackRock U.S. Carbon Transition Readiness ETF (LCTU) could benefit from increasing regulatory support for carbon reduction initiatives and growing consumer demand for environmentally responsible companies, especially in sectors like technology and healthcare. However, it may face challenges if stricter regulations or economic slowdowns negatively impact high-growth sectors like technology or consumer cyclical industries, which make up a significant portion of its holdings. Additionally, shifts in interest rates or geopolitical tensions could influence the performance of its top holdings such as Nvidia, Apple, and Microsoft.
LCTU Top 10 Holdings
LCTU is leaning heavily on Big Tech to power its low‑carbon story, with Microsoft and Nvidia acting as the main engines thanks to their rising momentum and central roles in cloud and AI. Amazon and Alphabet are more of a mixed bag, with recent choppiness keeping their contribution in check even as their long‑term themes fit the fund’s transition focus. Apple looks steady but is losing a bit of short‑term steam, while Tesla’s lagging performance has turned it from star driver into a mild drag. Overall, it’s a U.S.-centric, tech‑tilted play on the carbon transition.
Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
| Nvidia | 8.01% | $100.99M | $5.55T | 37.92% | 76 Outperform | |
| Apple | 7.03% | $88.66M | $4.67T | 33.49% | 79 Outperform | |
| Microsoft | 4.73% | $59.62M | $3.71T | 0.95% | 79 Outperform | |
| Amazon | 3.12% | $39.36M | $2.79T | 11.27% | 71 Outperform | |
| Alphabet Class A | 2.53% | $31.87M | $4.12T | 44.02% | 85 Outperform | |
| Broadcom | 2.09% | $26.31M | $1.70T | 6.87% | 76 Outperform | |
| Meta Platforms | 1.97% | $24.82M | $1.57T | -18.03% | 76 Outperform | |
| Alphabet Class C | 1.94% | $24.49M | $4.12T | 42.58% | 82 Outperform | |
| Bank of America | 1.58% | $19.88M | $438.31B | 25.94% | 72 Outperform | |
| Tesla | 1.53% | $19.33M | $1.40T | 0.92% | 73 Outperform |
LCTU Technical Analysis
Positive
―
Price Trends
81.47
Positive
79.88
Positive
76.50
Positive
Market Momentum
0.38
Positive
56.08
Neutral
57.79
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For LCTU, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 82.86, equal to the 50-day MA of 81.47, and equal to the 200-day MA of 76.50, indicating a bullish trend. The MACD of 0.38 indicates Positive momentum. The RSI at 56.08 is Neutral, neither overbought nor oversold. The STOCH value of 57.79 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for LCTU.
LCTU Peer Comparison
Comparison Results
Performance Comparison
LCTU
BlackRock U.S. Carbon Transition Readiness ETF
83.00
12.96
18.50%
THRO
Ishares U.S. Thematic Rotation Active Etf
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―
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JTEK
JPMorgan U.S. Tech Leaders ETF
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DFAR
Dimensional US Real Estate ETF
―
―
―
PWRD
Tcw Transform Systems Etf
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―
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UTES
Virtus Reaves Utilities 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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