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PYZ - ETF AI Analysis

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PYZ

Invesco DWA Basic Materials Momentum ETF (PYZ)

Rating:65Neutral
Price Target:
PYZ, the Invesco DWA Basic Materials Momentum ETF, has a solid overall rating that reflects a portfolio of generally strong, growing basic materials companies. Key holdings like ATI, Alcoa, Steel Dynamics, and Corteva support the fund’s quality through robust financial performance, positive earnings commentary, and favorable technical trends, though often balanced by higher valuations or specific operational issues. Risks include exposure to company-specific operational challenges, such as Freeport-McMoRan’s incident-related risks, and the inherent cyclicality of the basic materials sector.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered solid gains so far this year, showing positive momentum for investors.
Leading Holdings Showing Strong Momentum
Most of the top positions, such as CF Industries, Carpenter Technology, and Albemarle, have posted strong year-to-date gains that support the fund’s overall performance.
Focused Exposure to Materials Sector
The fund’s heavy tilt toward basic materials gives investors targeted exposure to a sector that has recently been performing well.
Negative Factors
High Sector Concentration
With the vast majority of assets in the materials sector, the ETF is vulnerable if this single area of the market weakens.
Limited Geographic Diversification
Almost all holdings are in U.S. companies, which reduces the benefits of global diversification.
Above-Average Expense Ratio
The fund’s management fee is relatively high for an ETF, which can eat into long-term returns compared with lower-cost options.

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

PYZ Summary

PYZ is an ETF that follows the Dorsey Wright Basic Materials Technical Leaders Index, focusing on U.S. companies in the basic materials sector, like metals, chemicals, and mining. It holds stocks such as Alcoa and Freeport-McMoRan, which produce key raw materials used in construction, manufacturing, and technology. Investors might consider PYZ if they want targeted exposure to materials companies that have been showing strong recent performance, which can benefit when the economy is growing and demand for raw materials rises. A key risk is that it is heavily tied to the materials sector, so it can be quite volatile and move sharply with commodity prices and the economic cycle.
How much will it cost me?The Invesco DWA Basic Materials Momentum ETF (PYZ) 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 stocks with strong momentum in the basic materials sector.
What would affect this ETF?The Invesco DWA Basic Materials Momentum ETF (PYZ) could benefit from economic expansion and increased industrial activity, which often drive demand for raw materials and mining companies like Hecla Mining and Newmont Mining. However, it may face challenges from rising interest rates or regulatory changes affecting the materials and energy sectors, as well as potential slowdowns in the U.S. economy, where it is primarily focused.

PYZ Top 10 Holdings

PYZ is leaning hard into U.S. basic materials, with names like Carpenter Technology, ATI, and Steel Dynamics doing most of the heavy lifting as demand in metals and industrials keeps their shares rising. Alcoa and USA Rare Earth add extra punch, riding renewed interest in aluminum and critical minerals. On the flip side, silver and gold players Hecla Mining and Coeur Mining are lagging, acting like a bit of sand in the fund’s gears. Overall, this is a sector-heavy bet on cyclical U.S. materials rather than a broad global mix.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Carpenter Technology6.23%$5.34M$24.21B97.83%
75
Outperform
Cf Industries Holdings5.44%$4.66M$17.43B22.92%
72
Outperform
ATI4.97%$4.26M$24.36B117.87%
78
Outperform
Alcoa4.05%$3.47M$22.11B202.93%
76
Outperform
USA Rare Earth3.67%$3.14M$6.85B238.10%
Steel Dynamics3.66%$3.14M$39.14B98.34%
76
Outperform
Hecla Mining Company3.47%$2.97M$11.94B208.49%
74
Outperform
Corteva3.43%$2.94M$51.88B8.96%
75
Outperform
Freeport-McMoRan3.23%$2.77M$103.10B78.23%
67
Neutral
Coeur Mining3.20%$2.75M$19.85B118.07%
69
Neutral

PYZ Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
125.56
Positive
100DMA
125.51
Positive
200DMA
115.85
Positive
Market Momentum
MACD
1.32
Negative
RSI
62.86
Neutral
STOCH
96.83
Negative
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For PYZ, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 128.71, equal to the 50-day MA of 125.56, and equal to the 200-day MA of 115.85, indicating a bullish trend. The MACD of 1.32 indicates Negative momentum. The RSI at 62.86 is Neutral, neither overbought nor oversold. The STOCH value of 96.83 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PYZ.

PYZ Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$84.01M0.60%
65
Neutral
$91.80M0.61%
69
Neutral
$82.83M0.60%
68
Neutral
$80.51M0.60%
66
Neutral
$76.83M0.60%
68
Neutral
$21.39M0.29%
64
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
PYZ
Invesco DWA Basic Materials Momentum ETF
133.52
42.92
47.37%
PBJ
Invesco Dynamic Food & Beverage ETF
PSL
Invesco DWA Consumer Staples Momentum ETF
PXI
Invesco DWA Energy Momentum ETF
PUI
Invesco DWA Utilities Momentum ETF
PSCM
Invesco S&P SmallCap Materials 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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