SMH - ETF AI Analysis
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VanEck Semiconductor ETF (SMH)
SMH, the VanEck Semiconductor ETF, earns a solid overall rating largely because its biggest positions in leaders like Nvidia, TSMC, and ASML combine strong financial performance with powerful growth drivers in AI and advanced chip technologies. These strengths are slightly tempered by common risks across several holdings, including high valuations, signs of overbought or mixed technical momentum, and exposure to geopolitical and export-control issues, especially related to China, which together form the main risk factor for the fund.
SMH vs. SPDR S&P 500 ETF (SPY)
- AUM
- 67.99B
- Region
- Global
- Expense Ratio
- 0.35%
- Beta
- 1.79
- Issuer
- VanEck
- Inception Date
- May 05, 2000
- Dividend Yield
- 0.20%
- Asset Class
- Equity
- Index Tracked
- MVIS US Listed Semiconductor 25
SMH Summary
The VanEck Semiconductor ETF (SMH) is a fund that tracks the MVIS US Listed Semiconductor 25 Index, focusing on companies that design and make computer chips used in phones, computers, cars, and data centers. It holds big names like Nvidia and TSMC, giving you a simple way to invest in the growth of the chip industry without picking individual stocks. Someone might invest in SMH for long-term growth and to get targeted exposure to the technology behind AI and modern electronics. A key risk is that it’s heavily tied to semiconductor and tech stocks, so its price can rise and fall sharply with that sector.
How much will it cost me?
The VanEck Semiconductor ETF (SMH) 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 the average for ETFs because it is a sector-focused fund that requires more active management to track the semiconductor industry. However, it may be worth it for investors seeking targeted exposure to this fast-growing sector.
What would affect this ETF?
The VanEck Semiconductor ETF (SMH) could benefit from increasing demand for semiconductors driven by advancements in AI, cloud computing, and electric vehicles, as well as global digital transformation trends. However, it may face challenges from geopolitical tensions affecting key players like TSMC, regulatory changes, or economic slowdowns that reduce consumer and corporate spending on technology. Interest rate hikes could also impact growth-oriented companies within the ETF's portfolio.
SMH Top 10 Holdings
SMH is essentially a bet on the global chip boom, with Nvidia sitting in the driver’s seat as a rising AI powerhouse that’s doing much of the heavy lifting for returns. AMD and Micron are also surging, adding fuel to the fund’s momentum, while TSMC’s performance has been more mixed, reflecting both its strength in advanced manufacturing and some recent hesitation. Broadcom has been a bit of a laggard lately, tempering gains, and Intel’s rebound is still a work in progress. Overall, this is a highly concentrated, globally focused semiconductor play.
| Name | Company Name | Weight % | Market Value | Market Cap | Yearly Gain | Overall Rating |
|---|---|---|---|---|---|---|
 NVDA | Nvidia | 20.05% | $13.58B | $5.16T | 17.78% | 76Outperform |
 TSM | TSMC | 9.31% | $6.31B | $1.93T | 37.61% | 81Outperform |
 AMD | Advanced Micro Devices | 5.57% | $3.77B | $863.17B | 125.42% | 73Outperform |
 AVGO | Broadcom | 5.55% | $3.76B | $1.57T | -7.17% | 76Outperform |
 TXN | Texas Instruments | 4.95% | $3.35B | $252.49B | 57.56% | 78Outperform |
 MU | Micron | 4.68% | $3.17B | $994.34B | 333.93% | 79Outperform |
 ADI | Analog Devices | 4.49% | $3.04B | $191.62B | 63.67% | 78Outperform |
 ASML | ASML Holding | 4.45% | $3.01B | $633.67B | 61.00% | 81Outperform |
 MRVL | Marvell | 4.44% | $3.01B | $199.78B | 158.22% | 76Outperform |
 KLAC | KLA | 4.42% | $2.99B | $216.29B | 50.84% | 77Outperform |
SMH Technical Analysis
Price Trends
Market Momentum
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For SMH, the sentiment is Negative. The current price of 539.79 is below the 20-day moving average (MA) of 601.04, below the 50-day MA of 579.03, and above the 200-day MA of 511.35, indicating a neutral trend. The MACD of -3.21 indicates Positive momentum. The RSI at 31.42 is Neutral, neither overbought nor oversold. The STOCH value of 7.10 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for SMH.
SMH Peer Comparison
Comparison Results
| Name | Price | Price Target | AUM | Expense Ratio | Overall Rating |
|---|---|---|---|---|---|
| SMH | $539.79 | $623.00(15.42% Upside) | $67.99B | 0.35% | 73Outperform |
 CIBR | $98.82 | $115.77(17.15% Upside) | $18.12B | 0.58% | 71Outperform |
 GRID | $169.84 | $212.57(25.16% Upside) | $11.61B | 0.56% | 63Neutral |
 IGF | $63.84 | $73.17(14.62% Upside) | $10.50B | 0.37% | 65Neutral |
 IXN | $137.37 | $182.06(32.53% Upside) | $9.34B | 0.37% | 66Neutral |
 CHPS | $77.78 | $110.65(42.26% Upside) | $134.64M | 0.15% | 62Neutral |
Performance Comparison
| Show on chart | Ticker | Company Name | Price | Change | % Change |
|---|---|---|---|---|---|
| SMH | VanEck Semiconductor ETF | 539.79 | 195.56 | 56.81% | |
| CIBR | First Trust NASDAQ Cybersecurity ETF | 98.82 | 22.17 | 28.93% | |
| GRID | First Trust Nasdaq Clean Edge Smart GRID Infrastructure Index | 169.84 | 16.63 | 10.85% | |
| IGF | iShares Global Infrastructure ETF | 63.84 | 4.23 | 7.10% | |
| IXN | iShares Global Tech ETF | 137.37 | 32.70 | 31.25% | |
| CHPS | Xtrackers Semiconductor Select Equity ETF | 77.78 | 34.16 | 78.33% |
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.