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TRUU - ETF AI Analysis

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TRUU

VanEck Utilities TruSector ETF (TRUU)

Rating:67Neutral
Price Target:―
TRUU, the VanEck Utilities TruSector ETF, appears to offer solid but not outstanding quality, largely driven by strong core holdings like NextEra Energy and Duke Energy, which bring robust earnings, strategic growth plans, and financial stability to the portfolio. However, several holdings such as Sempra Energy and Xcel Energy face issues like high leverage, cash flow challenges, and cautious technical signals, which weigh on the fund’s overall appeal. The main risk factor is the concentration in the utilities sector, where many companies share similar leverage and cash flow pressures, making the ETF sensitive to sector-wide financial and regulatory challenges.
Positive Factors
Low Expense Ratio
The ETF has a relatively low fee, which helps investors keep more of any returns generated by the fund.
Focused Utilities Exposure
The fund’s strong tilt toward the utilities sector offers targeted access to a traditionally more defensive, income-oriented area of the market.
Mix of Strong and Steady Top Holdings
Several major holdings, such as American Electric Power, Dominion Energy, and Entergy, have shown strong or steady performance, helping offset weaker names in the portfolio.
Negative Factors
Recent Weak Overall Performance
The ETF’s year-to-date and recent one-month returns have been weak, which may concern investors looking for near-term momentum.
Concentration in a Single Sector
With most assets in utilities, the fund is heavily exposed to sector-specific risks like regulation changes and interest rate sensitivity.
High U.S. Market Dependence
Almost all holdings are in U.S. companies, so the fund’s results are closely tied to the health of the U.S. market and economy.

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

TRUU Summary

VanEck Utilities TruSector ETF (TRUU) is a U.S. utilities fund that focuses on companies providing essential services like electricity, natural gas, and power generation, rather than tracking a broad stock market index. It holds well-known names such as NextEra Energy and Duke Energy, giving investors a simple way to invest in a group of utility companies known for steady demand and potential long-term growth. Someone might consider TRUU to diversify their portfolio and add exposure to a more defensive sector. A key risk is that it is heavily concentrated in utilities, so its value can rise or fall with changes in interest rates, regulation, and the utilities sector overall.
How much will it cost me?This ETF has an expense ratio of 0.10%, which means you’ll pay about $1 per year for every $1,000 invested. That’s lower than the average stock ETF because it’s passively managed and focuses on a specific utilities sector rather than using a high-cost active strategy.
What would affect this ETF?TRUU focuses heavily on U.S. utility companies like NextEra Energy, Southern Company, and Duke Energy, so it can benefit if interest rates fall, if spending on power grid upgrades and cleaner energy grows, and if steady demand for electricity and natural gas continues. On the downside, higher interest rates, stricter or unpredictable utility regulations, or slower economic growth in North America could weigh on these companies and make this concentrated utilities ETF more volatile than a broader market fund.

TRUU Top 10 Holdings

TRUU is a pure play on U.S. utilities, and its story right now is one of defensive stocks facing a rough patch. Heavyweights like NextEra Energy, Southern Company, and Duke Energy have been lagging lately, acting as a headwind for the fund despite their core role in power and infrastructure. Constellation Energy has also been under pressure, adding to the drag. On the brighter side, names like Dominion Energy and Entergy have been steadier and helping cushion the blow. Overall, the ETF is highly concentrated in traditional utilities, with little diversification beyond the sector.
Name
Company Name
Weight %
Market Value
Market Cap
Yearly Gain
Overall Rating
NextEra Energy12.79%$27.85K$158.70B-0.94%
71
Outperform
Southern Co7.69%$16.74K$95.34B-12.31%
68
Neutral
Duke Energy7.13%$15.53K$88.38B-7.65%
70
Outperform
Constellation Energy Corporation7.01%$15.27K$93.28B-22.09%
68
Neutral
American Electric Power5.16%$11.24K$64.43B7.67%
69
Neutral
Dominion Energy4.29%$9.34K$53.37B-1.05%
63
Neutral
Sempra Energy4.12%$8.96K$50.96B-14.28%
61
Neutral
Entergy3.71%$8.08K$47.09B4.86%
66
Neutral
Vistra Corp3.50%$7.62K$46.47B-30.27%
65
Neutral
Xcel Energy3.49%$7.61K$43.60B-13.32%
61
Neutral

TRUU Technical Analysis

Technical Analysis Sentiment
Negative
Last Price―
Price Trends
50DMA
23.61
Negative
100DMA
200DMA
Market Momentum
MACD
-0.55
Positive
RSI
23.73
Positive
STOCH
2.46
Positive
Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For TRUU, the sentiment is Negative. The current price of undefined is equal to the 20-day moving average (MA) of 22.77, equal to the 50-day MA of 23.61, and equal to the 200-day MA of ―, indicating a neutral trend. The MACD of -0.55 indicates Positive momentum. The RSI at 23.73 is Positive, neither overbought nor oversold. The STOCH value of 2.46 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TRUU.

TRUU Peer Comparison

Comparison Results
Name
Price
Price Target
AUM
Expense Ratio
Overall Rating
――$217.77K0.10%
67
Neutral
――$55.62M0.35%
70
Outperform
――$54.23M0.68%
69
Neutral
――$49.71M1.24%
66
Neutral
――$43.87M0.75%
75
Outperform
――$33.48M0.81%
62
Neutral
Performance Comparison
Ticker
Company Name
Price
Change
% Change
TRUU
VanEck Utilities TruSector ETF
21.63
-3.03
-12.29%
PSR
Invesco Active U.S. Real Estate Fund
―
―
―
REIT
ALPS Active REIT ETF
―
―
―
GABF
Gabelli Financial Services Opportunities ETF
―
―
―
SEMI
Columbia Seligman Semiconductor and Technology ETF
―
―
―
BESF
Bastion Energy 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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