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SIXS - ETF AI Analysis

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SIXS

ETC 6 Meridian Small Cap Equity ETF (SIXS)

Rating:70Outperform
Price Target:
SIXS, the ETC 6 Meridian Small Cap Equity ETF, earns a solid overall rating thanks to several strong core holdings with healthy finances and growth prospects. Standout positions like Cal-Maine Foods, Enact Holdings, and Progyny support the fund with robust financial performance, attractive valuations, and positive earnings outlooks, while weaker names such as Pitney Bowes and StoneX Group, which face leverage, profitability, and cash flow challenges, modestly weigh on the rating. The main risk factor is its focus on smaller companies, where issues like high leverage, overbought technical conditions, and uneven profitability can make the fund more volatile than broad-market ETFs.
Positive Factors
Strong Recent Performance
The ETF has shown strong gains so far this year and in recent months, indicating positive momentum for investors.
Top Holdings Mostly Performing Well
Most of the largest positions, such as Enact Holdings, Progyny, Pitney Bowes, Enova International, and Par Pacific Holdings, have delivered strong returns, helping support the fund’s overall results.
Broad Sector Diversification
The fund spreads its investments across many sectors, including financials, health care, utilities, consumer stocks, and technology, which helps reduce the impact if any one area of the market struggles.
Negative Factors
Higher Expense Ratio for a Passive Investor
The fund’s expense ratio is on the higher side compared with many low-cost index ETFs, which means more of your returns go toward fees.
Single-Country Concentration
With almost all assets invested in U.S. companies, the ETF offers little geographic diversification and is heavily tied to the U.S. economy.
Some Weakness in Top Holdings
At least one of the larger positions, such as HCI Group, has shown weak performance this year, which can drag on the fund if that stock continues to struggle.

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

SIXS Summary

The ETC 6 Meridian Small Cap Equity ETF (SIXS) focuses on smaller U.S. companies, mainly in areas like financials, health care, and utilities. It does not track a single index, but instead follows a small‑cap theme, aiming to find growing businesses with market values in the hundreds of millions to low billions of dollars. Well-known names in the fund include Cal-Maine Foods and Pitney Bowes. Investors might consider SIXS for growth potential and diversification beyond large, familiar brands. However, small-cap stocks can be more volatile, so the ETF’s price can move up and down more sharply than the overall market.
How much will it cost me?The ETC 6 Meridian Small Cap Equity ETF (SIXS) has an expense ratio of 0.52%, which means you’ll pay $5.20 per year for every $1,000 invested. This is higher than average because the fund is actively managed, focusing on small-cap stocks that require more research and oversight compared to passively managed funds tracking broad indexes.
What would affect this ETF?The ETC 6 Meridian Small Cap Equity ETF (SIXS) could benefit from economic growth and innovation in the U.S., as small-cap companies often thrive in expanding markets and emerging industries. However, it may face challenges from rising interest rates, which can increase borrowing costs for smaller firms, and economic slowdowns, which tend to impact small-cap stocks more significantly due to their higher volatility. Additionally, sector-specific risks, such as regulatory changes in health care or financial sectors, could influence performance.

SIXS Top 10 Holdings

SIXS is leaning heavily into U.S. small-cap financials and health care, and a handful of names are doing much of the heavy lifting. Enact Holdings and Horace Mann Educators are steadily rising, giving the fund a solid financial backbone, while Cal-Maine Foods adds a defensive, consumer-staples boost that’s also been climbing. On the growthier side, Progyny has been a standout, helping power recent gains, and Enova International is another financial name pushing higher. Offsetting some of that strength, Innoviva has been lagging, reminding investors that small caps can be a bumpy ride even in a broadly diversified portfolio.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
Horace Mann Educators2.46%$3.49M$2.10B26.27%
78
Outperform
Enact Holdings2.31%$3.28M$6.61B34.68%
82
Outperform
HCI Group2.15%$3.05M$2.23B26.03%
73
Outperform
Cal-Maine Foods2.03%$2.87M$4.12B-18.63%
84
Outperform
Innoviva1.92%$2.73M$1.55B12.56%
61
Neutral
Progyny1.82%$2.57M$2.44B38.42%
79
Outperform
Enova International1.79%$2.54M$6.33B152.72%
71
Outperform
Par Pacific Holdings1.77%$2.51M$4.31B186.96%
67
Neutral
Pitney Bowes1.72%$2.43M$2.40B55.82%
52
Neutral
1.55%$2.19M

SIXS Technical Analysis

Technical Analysis Sentiment
Positive
Last Price
Price Trends
50DMA
56.84
Positive
100DMA
54.97
Positive
200DMA
52.84
Positive
Market Momentum
MACD
RSI
STOCH
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SIXS, the sentiment is Positive. The current price of undefined is equal to the 20-day moving average (MA) of 59.05, equal to the 50-day MA of 56.84, and equal to the 200-day MA of 52.84, indicating a bullish trend. The MACD of ― indicates undefined momentum. The RSI at ― is undefined, neither overbought nor oversold. The STOCH value of ― is undefined, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for SIXS.

SIXS Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
$141.49M0.50%
70
Outperform
$577.33M0.55%
70
Neutral
$306.16M0.36%
64
Neutral
$153.88M0.70%
73
Outperform
$147.30M0.45%
66
Neutral
$119.94M0.75%
69
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
SIXS
ETC 6 Meridian Small Cap Equity ETF
59.22
12.66
27.19%
SEIS
SEI Select Small Cap ETF
FSCC
Federated Hermes MDT Small Cap Core ETF
SCDV
Bahl & Gaynor Small Cap Dividend ETF
FSML
Franklin Small Cap Enhanced ETF
AFSM
First Trust Active Factor Small Cap 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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