tiprankstipranks
Advertisement

RSPM - ETF AI Analysis

Compare

Top Page

RSPM

Invesco S&P 500 Equal Weight Materials ETF (RSPM)

Rating:67Neutral
Price Target:
RSPM, the Invesco S&P 500 Equal Weight Materials ETF, earns a solid overall rating driven by several strong core holdings with healthy financials and growth prospects, such as Newmont Mining, CF Industries, Avery Dennison, and Packaging Corp of America, which together provide a supportive foundation for the fund. However, weaker names like International Paper and Ball Corporation, which face cash flow and market challenges, along with some bearish technical trends and valuation concerns across a few holdings, introduce risk and can hold back the ETF’s rating. The main risk factor is the fund’s focus on the materials sector, which can be sensitive to economic cycles, commodity prices, and operational issues at key companies.
Positive Factors
Strong Year-to-Date Performance
The ETF has delivered strong gains so far this year, suggesting its equal-weight materials approach has recently worked in investors’ favor.
Multiple Strong-Performing Holdings
Several top holdings, including companies like Corteva, Ball, CF Industries, and Air Products and Chemicals, have shown strong or steady performance, helping support the fund’s overall returns.
Balanced Exposure Across Top Positions
The largest holdings each make up a similar share of the portfolio, which helps avoid relying too heavily on any single stock.
Negative Factors
Recent Short-Term Weakness
The ETF has shown weak performance over the last three months, indicating some recent pressure on the materials and related holdings.
Underperforming Top Holdings
Some key positions, such as International Paper, Mosaic, and Sherwin-Williams, have lagged, which can drag on the fund’s overall results.
High Concentration in U.S. Materials and Consumer Cyclical Stocks
With almost all assets in U.S. companies and heavy exposure to the materials and consumer cyclical sectors, the fund is sensitive to downturns in these specific areas of the economy.

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

RSPM Summary

RSPM is the Invesco S&P 500 Equal Weight Materials ETF, which follows a materials-focused version of the S&P 500 index. It invests in U.S. companies that make chemicals, packaging, construction materials, and paper products. Well-known holdings include Sherwin-Williams and International Paper. Because each company is given roughly the same weight, you’re not overly dependent on a few giants, which can help with diversification and give smaller firms a chance to contribute to returns. A key risk is that it is heavily tied to the materials sector, so its value can rise or fall sharply with economic cycles and commodity prices.
How much will it cost me?The Invesco S&P 500 Equal Weight Materials ETF (RSPM) has an expense ratio of 0.40%, which means you’ll pay $4 per year for every $1,000 invested. This is slightly higher than average for ETFs because it uses an equal-weight strategy, which requires more active management compared to passively managed funds. It’s a reasonable cost for investors seeking targeted exposure to the materials sector with balanced diversification.
What would affect this ETF?The Invesco S&P 500 Equal Weight Materials ETF (RSPM) could benefit from increased demand for materials driven by infrastructure spending, construction growth, or advancements in green technologies, which often rely on metals and chemicals. However, it may face challenges from rising interest rates, which can increase borrowing costs for companies in the sector, or economic slowdowns that reduce demand for raw materials. Its focus on U.S.-based companies and equal weighting provides diversification but may limit exposure to faster-growing international markets.

RSPM Top 10 Holdings

RSPM is leaning heavily into U.S. materials names, with a clear tilt toward miners, chemicals, and packaging rather than flashy tech. Newmont and Freeport-McMoRan are doing much of the heavy lifting, riding stronger metals sentiment, while CF Industries has been a quiet powerhouse in the background. On the steadier side, Amcor is chugging along, helping smooth out volatility. But paper and packaging players like International Paper and Ball have been more mixed, occasionally putting sand in the ETF’s gears. Overall, performance is driven by a broad, equal-weight mix rather than any single star.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Newmont Mining5.05%$9.64M$134.85B72.02%
81
Outperform
Smurfit Westrock4.54%$8.67M$25.25B1.96%
69
Neutral
International Paper Co4.52%$8.63M$20.82B-20.87%
49
Neutral
Freeport-McMoRan4.51%$8.61M$109.78B72.18%
67
Neutral
Amcor4.47%$8.55M$21.58B8.16%
73
Outperform
Mosaic Co4.36%$8.32M$7.50B-29.34%
65
Neutral
International Flavors & Fragrances4.34%$8.28M$22.44B30.28%
61
Neutral
Ball4.26%$8.15M$16.88B21.14%
59
Neutral
Cf Industries Holdings4.21%$8.05M$19.04B45.20%
72
Outperform
Avery Dennison4.17%$7.96M$13.47B3.55%
73
Outperform

RSPM Technical Analysis

Technical Analysis Sentiment
Neutral
Last Price
Price Trends
50DMA
39.58
Positive
100DMA
39.29
Positive
200DMA
37.79
Positive
Market Momentum
MACD
0.30
Positive
RSI
47.39
Neutral
STOCH
23.64
Neutral
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For RSPM, the sentiment is Neutral. The current price of undefined is equal to the 20-day moving average (MA) of 40.59, equal to the 50-day MA of 39.58, and equal to the 200-day MA of 37.79, indicating a neutral trend. The MACD of 0.30 indicates Positive momentum. The RSI at 47.39 is Neutral, neither overbought nor oversold. The STOCH value of 23.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for RSPM.

RSPM Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$189.63M0.40%
67
Neutral
$858.54M0.48%
70
Neutral
$836.51M0.40%
71
Outperform
$805.31M0.61%
67
Neutral
$627.83M0.08%
68
Neutral
$407.04M0.64%
69
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
RSPM
Invesco S&P 500 Equal Weight Materials ETF
40.83
8.19
25.09%
REZ
iShares Residential and Multisector Real Estate ETF
RSPH
Invesco S&P 500 Equal Weight Health Care ETF
FXU
First Trust Utilities AlphaDEX Fund
FMAT
Fidelity MSCI Materials Index ETF
FXZ
First Trust Materials AlphaDEX Fund
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: ―
Table of Contents
Advertisement