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UTES

Virtus Reaves Utilities ETF (UTES)

Rating:65Neutral
Price Target:$82.00â–²(6.99% Upside)

UTES, the Virtus Reaves Utilities ETF, earns a solid overall rating largely because several major holdings like Constellation Energy and Alliant Energy combine strong earnings performance, strategic growth plans, and supportive corporate events to create a resilient foundation for the fund. However, the rating is held back somewhat by holdings such as Talen Energy and Vistra Energy, where high leverage, cash flow challenges, and valuation concerns introduce risk. The main risk factor for the ETF is its concentration in utilities companies that often face high debt levels and cash flow pressures, which can make the fund more sensitive to interest rates and regulatory changes.

Positive Factors
Growing Asset BaseThe fund manages over a billion dollars, suggesting solid investor interest and enough size for efficient trading.
Focused Utilities ExposureNearly all assets are in U.S. utility companies, giving investors targeted access to a traditionally defensive sector.
Several Strong Utility HoldingsMany of the top holdings have shown steady to strong performance this year, helping support the ETF despite some weaker names.
Negative Factors
High Concentration in Top StocksA few companies make up a large share of the portfolio, which increases the impact if any of these holdings struggle.
Mixed Recent PerformanceThe ETF’s year-to-date and three-month returns have been weak, reflecting pressure on some of its largest positions.
Single-Sector, U.S.-Only FocusWith almost all assets in U.S. utilities, investors face higher risk if this sector or country experiences a downturn.

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

AUM
1.16B
Region
North America
Expense Ratio
0.49%
Beta
0.60
Issuer
Virtus
Inception Date
Sep 23, 2015
Dividend Yield
1.60%
Asset Class
Equity
Index Tracked
No Underlying Index

UTES Summary

Virtus Reaves Utilities ETF (UTES) is a U.S. fund that focuses on utility companies, which provide essential services like electricity, gas, and water. It doesn’t track a specific index, but instead holds a hand-picked mix of utilities, including well-known names like Constellation Energy and Xcel Energy. Investors might consider UTES for steady income and diversification, since utilities tend to be more stable and pay regular dividends. However, it is heavily concentrated in one sector, so its value can still go up and down with changes in the utilities market and interest rates.

How much will it cost me?

This ETF has an expense ratio of 0.49%, which means you’ll pay about $4.90 per year for every $1,000 you invest. That’s higher than the average ETF because it’s actively managed, with professionals selecting and adjusting utility stocks rather than simply tracking an index.

What would affect this ETF?

This U.S. utilities ETF could benefit from steady demand for electricity, gas, and water, supportive regulation, and a stable economy, which tend to help its major holdings like Constellation Energy and Vistra. On the downside, rising interest rates, stricter environmental rules, or slower economic growth could pressure utility profits and make this sector less attractive compared with faster-growing areas of the market.

UTES Top 10 Holdings

UTES is a pure play on U.S. utilities, and its story is all about power producers and regulated electric names. Talen Energy and Constellation Energy sit at the top, with Talen rising recently while Constellation has been more mixed, occasionally losing steam and tempering returns. Vistra has also been choppy, adding some volatility to the mix. On the brighter side, steady performers like CenterPoint, Entergy, and American Electric Power have been quietly pulling the fund forward. Overall, the ETF is concentrated in utilities, offering a defensive, income-oriented tilt with limited geographic surprises.

UTES top ten holdings
NameCompany NameWeight %Market ValueMarket CapYearly GainOverall Rating
CEGCEGConstellation Energy Corporation11.31%$131.41M$92.96B-31.40%68Neutral
TLNTLNTalen Energy Corp11.20%$130.11M$16.23B-12.43%60Neutral
VSTVSTVistra Corp9.45%$109.82M$46.44B-27.06%65Neutral
XELXELXcel Energy7.34%$85.29M$51.23B-2.17%61Neutral
CNPCNPCenterpoint Energy6.82%$79.25M$28.13B9.07%63Neutral
NININisource4.85%$56.37M$21.38B5.79%64Neutral
AEPAEPAmerican Electric Power4.84%$56.28M$70.90B6.83%69Neutral
ETRETREntergy4.86%$56.40M$52.61B14.64%66Neutral
LNTLNTAlliant Energy4.89%$56.86M$18.58B5.48%70Outperform
IDAIDAIdaCorp4.77%$55.37M$8.56B10.88%64Neutral

UTES Technical Analysis

Technical Analysis SentimentPositive
Last Price76.64

Price Trends

50DMA73.97Positive
100DMA76.68Negative
200DMA78.40Negative

Market Momentum

MACD0.67Negative
RSI57.77Neutral
STOCH72.64Neutral

Evaluating momentum and price trends is crucial in ETF analysis to make informed investment decisions. For UTES, the sentiment is Positive. The current price of 76.64 is above the 20-day moving average (MA) of 75.67, above the 50-day MA of 73.97, and below the 200-day MA of 78.40, indicating a neutral trend. The MACD of 0.67 indicates Negative momentum. The RSI at 57.77 is Neutral, neither overbought nor oversold. The STOCH value of 72.64 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for UTES.

UTES Peer Comparison

Comparison Results

UTES against its peer funds
NamePricePrice TargetAUMExpense RatioOverall Rating
UTESUTES$76.64$82.00(6.99% Upside)$1.16B0.49%65Neutral
THROTHRO$43.05$53.21(23.59% Upside)$7.49B0.57%74Outperform
JTEKJTEK$93.95$124.86(32.90% Upside)$4.56B0.65%68Neutral
DFARDFAR$25.41$28.50(12.16% Upside)$1.75B0.19%69Neutral
PWRDPWRD$97.59$128.84(32.02% Upside)$1.46B0.75%68Neutral
CHPYCHPY$56.71$85.32(50.45% Upside)$1.35B1.03%70Outperform

Performance Comparison

0%25%50%75%UTESTHROJTEKDFARPWRDCHPYDec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
UTES and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
UTESVirtus Reaves Utilities ETF76.64-6.42-7.73%
THROIshares U.S. Thematic Rotation Active Etf43.054.3411.22%
JTEKJPMorgan U.S. Tech Leaders ETF93.95-3.14-3.23%
DFARDimensional US Real Estate ETF25.412.9513.12%
PWRDTcw Transform Systems Etf97.59-4.57-4.47%
CHPYYieldMax Semiconductor Portfolio Option Income ETF56.7117.6545.18%
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.
Disclaimer

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.