Trying on the underlying holdings of the ETFs in our protection universe at ETF Channel, we’ve in contrast the buying and selling value of every holding towards the typical analyst 12-month ahead goal value, and computed the weighted common implied analyst goal value for the ETF itself. For the Invesco S&P SmallCap 600 Income ETF (Image: RWJ), we discovered that the implied analyst goal value for the ETF primarily based upon its underlying holdings is $54.69 per unit.
With RWJ buying and selling at a current value close to $45.91 per unit, that signifies that analysts see 19.13% upside for this ETF wanting via to the typical analyst targets of the underlying holdings. Three of RWJ’s underlying holdings with notable upside to their analyst goal costs are Fox Manufacturing unit Holding Corp (Image: FOXF), Balchem Corp. (Image: BCPC), and Tripadvisor Inc (Image: TRIP). Though FOXF has traded at a current value of $30.17/share, the typical analyst goal is 28.32% larger at $38.71/share. Equally, BCPC has 24.47% upside from the current share value of $159.08 if the typical analyst goal value of $198.00/share is reached, and analysts on common expect TRIP to achieve a goal value of $18.59/share, which is 23.75% above the current value of $15.02. Under is a twelve month value historical past chart evaluating the inventory efficiency of FOXF, BCPC, and TRIP:
Under is a abstract desk of the present analyst goal costs mentioned above:
Identify | Image | Current Worth | Avg. Analyst 12-Mo. Goal | % Upside to Goal |
---|---|---|---|---|
Invesco S&P SmallCap 600 Income ETF | RWJ | $45.91 | $54.69 | 19.13% |
Fox Manufacturing unit Holding Corp | FOXF | $30.17 | $38.71 | 28.32% |
Balchem Corp. | BCPC | $159.08 | $198.00 | 24.47% |
Tripadvisor Inc | TRIP | $15.02 | $18.59 | 23.75% |
Are analysts justified in these targets, or overly optimistic about the place these shares can be buying and selling 12 months from now? Do the analysts have a legitimate justification for his or her targets, or are they behind the curve on current firm and trade developments? A excessive value goal relative to a inventory’s buying and selling value can replicate optimism in regards to the future, however will also be a precursor to focus on value downgrades if the targets have been a relic of the previous. These are questions that require additional investor analysis.
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Additionally see:
SPR Videos
Funds Holding USTB
FICV market cap history
The views and opinions expressed herein are the views and opinions of the writer and don’t essentially replicate these of Nasdaq, Inc.