57.32 -0.01 (-0.02%)
After hours: 5:32PM EDT
|Bid||57.06 x 900|
|Ask||57.67 x 40000|
|Day's Range||57.33 - 57.81|
|52 Week Range||47.05 - 61.21|
|PE Ratio (TTM)||N/A|
|Beta (3Y Monthly)||1.01|
|Expense Ratio (net)||0.13%|
CNBC's Bob Pisani talks with Todd Rosenbluth of CFRA Research and John Davi of Astoria Advisors to break down how investors should be trading materials.
Howard Silverblatt, Senior Index Analyst, Index Investment Strategy at S&P Dow Jones Indices, joins The Final Round to discuss the 10 year bull market
The oft-overlooked materials sector is a cyclical group and a small slice of the broader U.S. equity market, but for tactical investors, there are some compelling opportunities in this group.That includes mining stocks and the related exchange-traded funds (ETFs). Mining ETFs are considered industry funds and many are more volatile than traditional materials ETFs. While materials funds are usually heavily allocated to chemicals makers, investors willing to take on the added volatility associated with mining ETFs can access more focused assets, including precious metals miners, coal, steel and more.Another element investors need to acknowledge with mining ETFs is the array of factors that can affect these investors. Those factors include the strength of the U.S. dollar, international trade deals, geopolitical events and the strength of emerging markets economies.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Oversold Stocks to Run From For investors willing to add some more risk to their portfolios, here are some mining ETFs to consider. VanEck Vectors Gold Miners ETF (GDX)Expense Ratio: 0.53%, or $53 annually per $10,000 investedThe VanEck Vectors Gold Miners ETF (NYSEARCA:GDX) is not just the largest gold miners fund, it is one of the dominant names among mining ETFs of any stripe. Investors that are familiar with GDX and other gold mining ETFs know that simply because spot gold prices are rising, that does not mean miners will join in on that action.However, arguably the biggest risk with gold miners equities is that these stocks will overshoot the declines in spot gold. That scenario is happening right now. The SPDR Gold Shares (NYSEARCA:GLD) is lower by 2.68% this month, but GDX is down 7.78% over the same period and is in danger of falling below its 200-day moving average."The gold stocks are mired in something of a psychological limbo these days," reports Mining.com. "They aren't exactly out of favor, but there's little enthusiasm for this sector. Investors and speculators have largely lost interest for technical, sentimental, and fundamental reasons."Year-to-date, investors have pulled $1.36 billion from GDX. SPDR S&P Metals & Mining ETF (XME)Expense Ratio: 0.35%The SPDR S&P Metals & Mining ETF (NYSEARCA:XME) is a diverse mining ETF. This equal-weight fund, which is nearly 13 years old, targets the S&P Metals and Mining Select Industry Index.The $433.35 million XME "seeks to provide exposure to the metals & mining segment of the S&P TMI, which comprises the following sub-industries: Aluminum, Coal & Consumable Fuels, Copper, Diversified Metals & Mining, Gold, Precious Metals & Minerals, Silver, and Steel," according to State Street.XME holds just 29 stocks, more than half of which are steelmakers. Domestic steel stocks have benefited from the White House's tariff's on foreign steel, but that news has already been baked into those stocks. * 10 Stocks to Sell Before They Give Back 2019 Gains XME is a credible mining ETF for tactical traders with elevated risk tolerance. Over the past three years, this mining ETF's average annualized volatility was 27.30%, or 1,200 points above the same metric on the S&P 500 Materials Index. Global X Lithium & Battery Tech ETF (LIT) Expense Ratio: 0.75%The Global X Lithium & Battery Tech ETF (NYSEARCA:LIT) is often viewed as more of a thematic fund than a dedicated mining ETF, but several of LIT's 39 holdings actually do mine and produce lithium. While LIT has been a roller coaster ride for a while now, as highlighted by a 12-month loss of 15%, this is arguably one of the more compelling mining ETFs.Traditional mining ETFs focus on companies that are engaged in old school industries, such as coal mining and steel production. Conversely, LIT is at the epicenter of some futuristic trends, including the global shift to electric vehicles, which are powered by lithium-ion batteries."Battery metals tracker Adamas Intelligence says that in February 2019, 76% more lithium carbonate equivalent (LCE) was deployed worldwide in batteries of new electric, plug-in hybrid and hybrid electric passenger vehicles compared to the same month last year," reports Mining.com. "The Dutch-Canadian research company, which tracks EV registrations and battery chemistries in more than 80 countries, says among all metals and materials found in EV battery cathodes, lithium use saw the greatest gains."With electric vehicles just a few years away from meeting traditional automobiles in terms of price synergies, LIT is one of the most compelling mining ETFs in terms of favorable long-term fundamentals. Invesco S&P SmallCap Materials ETF (PSCM)Expense Ratio: 0.29%As its name implies, the Invesco S&P SmallCap Materials ETF (NASDAQ:PSCM) is a materials fund, not a dedicated mining ETF, but the fund does have some mining exposure and represents a solid choice for investors looking for mining exposure without the commitment of a fund explicitly dedicated to this industry.PSCM's 34 member firms "are principally engaged in the business of producing raw materials, including paper or wood products, chemicals, construction materials, and mining and metals," according to Invesco. * 7 Renewable Energy Stocks to Buy for Sunny Long-Term Returns More than 17% of PSCM's holdings are considered mining companies. Nearly 36% of the mining ETF's components are classified as value stocks while more than 29% are considered growth stocks. PSCM is beating the large-cap XLB by nearly 800 basis points YTD. Global X Silver Miners ETF (SIL) Expense Ratio: 0.65%Many of the same dynamics that apply to gold and gold mining ETFs apply to silver and the related miners. That makes sense because silver often follows gold in either direction. Currently, that is problematic for the Global X Silver Miners ETF (NYSEARCA:SIL), which is lower by nearly 11% this month.What is concerning about SIL's price action this year and that of silver itself is that the global economy is mostly strong. That should benefit silver because about half the demand for the white metal is industrial demand. Additionally, some market observers argue that the silver market is not in a supply deficit despite reports to the contrary. If there were a legitimate supply deficit, then silver and the related mining ETFs would likely be displaying better price action.For the seven trading sessions ending Tuesday, April 23, SIL closed lower on six of those days and now resides about 5.50% below its 200-day moving average. This is a mining ETF for traders to keep on their radars, but being in it right now is a risky bet at best.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Oversold Stocks to Run From * 7 Red-Hot E-Commerce Stocks to Consider * 4 Stocks Surging on Earnings Surprises Compare Brokers The post 5 Mining ETFs to Dig Into appeared first on InvestorPlace.
The materials sector is one of the smallest sectors in the S&P 500 and as such, the group often goes overlooked. However, there are reasons for investors to give the Materials Select Sector SPDR (NYSEArca: ...
Materials stocks like Freeport McMoRan are handily outperforming the broader market this year, and ETF professionals see opportunity in the space.
To help investors keep up with the markets, we present our ETF Scorecard. The Scorecard takes a step back and looks at how various asset classes across the globe are performing. The weekly performance is from last Friday’s open to this week’s Thursday close.
April is upon us and the fourth month is, historically, kind to equities. Over the past 20 years, the S&P 500 has risen in 75 percent of those Aprils , posting an average gain of 1.7 percent. That ties ...
Among the 11 sectors represented in the S&P 500, materials is usually the most overlooked and it is easy to understand why. Simply put, at a weight of 2.61%, materials is the smallest sector allocation in the S&P 500.Diminutive status aside, materials ETFs are worth considering. The largest materials ETF is the Materials Select Sector SPDR (NYSEARCA:XLB). An interesting aside about XLB is that this materials ETF ranks as either the best or second-best sector SPDR fund in six months of year, more than any of the other sector SPDR ETFs, according to CXO Advisory.A basic materials ETF, such as XLB, is typically heavily allocated to chemicals manufacturers with some exposure to metals miners, plastics makers and makers of building products. However, investors can find potentially more compelling ideas by drilling deeper into the universe of materials ETFs.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Tech Stocks That Transformed Their Business For investors looking to add some cyclical exposure to their portfolios, here are some materials ETFs to consider in the second quarter. Fidelity MSCI Materials ETF (FMAT)Source: Shutterstock Expense ratio: 0.084% per year, or $8.40 on a $10,000 investment. Like the aforementioned XLB, the Fidelity MSCI Materials ETF (NYSEARCA:FMAT) is a traditional, cap-weighted materials ETF. The primary benefit with this Fidelity materials ETF is that this fund, like Fidelity's other sector ETFs, is the cheapest ETF available for its respective sector. Fidelity clients can transact in FMAT on a commission-free basis.The rub with cap-weighted materials ETFs like FMAT and XLB is that these funds feature significant concentration risk. Currently, FMAT devotes over a quarter of its weight to DowDuPont (NYSE:DWDP) and Linde (NYSE:LIN).DowDuPont was formed by Dow Chemical's acquisition of DuPont in 2017 and the combined company retained DuPont's position in the Dow Jones Industrial Average. However, the company is being split into three separate units, with a new unit known as Dow maintaining a spot in the blue-chip index. Invesco S&P SmallCap Materials ETF (PSCM)Source: Shutterstock Expense ratio: 0.29%. The materials sector is usually the territory of large-cap companies and many materials ETFs reflect that trait, but there are some avenues for investors looking for tactical small-cap exposure in this group. The Invesco S&P SmallCap Materials ETF (NASDAQ:PSCM) is the prime avenue for investors looking for a small-cap materials ETF.PSCM tracks an index that is the materials derivative of the widely followed S&P SmallCap 600 Index, making this materials ETF the small-cap answer to the large-cap XLB. * 10 Tech Stocks With Key Products That Face an Uncertain Future PSCM's 34 holdings have an average market capitalization of $1.57 billion. Nearly two-thirds of the fund's components are chemicals makers and this materials ETF does an admirable job of evenly dividing its exposure to growth and value stocks. VanEck Vectors Rare Earth/Strategic Metals ETF (REMX)Source: Karangahake Gorge Tunnel (New Zealand) via Flickr (Modified) Expense ratio: 0.61%. The VanEck Vectors Rare Earth/Strategic Metals ETF (NYSEARCA:REMX) is the only fund on the market dedicated to rare earths miners and is a materials ETF for highly risk-tolerant investors.That caveat is relevant with this materials ETF because REMX is historically more volatile than a standard materials ETF, like FMAT or XLB, and because the rare earths fund has been struggling since early 2018. Over the past 12 months, REMX is lower by 37.40% while XLB is lower by just 0.60%.When REMX debuted in late 2010, one of its selling points was exposure to themes such as increased demand for electric and hybrid vehicles, smartphones and tablets. While those themes remain largely intact, REMX's reaction to those demands is not always linear. Investors should also noted that less than 18% of REMX's holdings are large caps, adding another layer of volatility to thesis with this materials ETF. Global X Silver Miners ETF (SIL) Source: Sprott Money via Flickr Expense ratio: 0.65%. Metals miners and the related funds are part of the materials space and that group includes the Global X Silver Miners ETF (NYSEARCA:SIL). SIL, the largest silver miners ETF, tracks the Solactive Global Silver Miners Total Return Index.Miners ETFs, including SIL, are not for all investors because these funds are often much more volatile than standard sector plays. SIL's underlying index has annualized volatility of 36.43%, according to issuer data. The other side of that coin is that when the underlying metal, in this case silver, rips higher, miners funds can follow or even overshoot those moves. That makes this materials ETF an ideal way with which to capture some upside during a silver rally. * 7 Stocks Still Worth Buying at 52-Week Highs "Over the past five years, global demand for silver has exceeded supply," according to Global X research. "In 2017, demand outpaced supply by 810 tons. If investments in silver bars and coins are excluded from the analysis, however, then the supply of silver continues to exceed demand." Invesco DWA Basic Materials Momentum ETF (PYZ)Source: Shutterstock Expense ratio: 0.60%. While there may not be as many materials ETFs as there are funds representing other sector, materials funds are not lacking for unique methodologies. One example of that is the Invesco DWA Basic Materials Momentum ETF (NASDAQ:PYZ).This materials ETF follows a momentum-based benchmark known as the Dorsey Wright Basic Materials Technical Leaders Index."The Index is designed to identify companies that are showing relative strength (momentum), and is composed of at least 30 securities from the NASDAQ US Benchmark Index," according to Invesco. "Relative strength is the measurement of a security's performance in a given universe over time as compared to the performance of all other securities in that universe."PYZ is pricier and often more volatile than traditional materials ETFs, but since inception in late 2006, the Invesco fund is beating the S&P 500 Materials Index by nearly 200 basis points. VanEck Vectors Steel ETF (SLX)Source: Shutterstock Expense ratio: 0.56%. The White House's tariffs on imported goods have been controversial to say the least, but a case can be made that domestic steel producers have benefiting from the tariff effort. The VanEck Vectors Steel ETF (NYSEARCA:SLX), the only dedicated steel ETF in the U.S., is higher by more than 13% this year.Like other focused materials ETFs, SLX can be volatile and this fund highly sensitive to supply and demand dynamics. * 5 Cheap Dividend Stocks to Buy Now Bank of America Merrill Lynch analysts believe that "over the next few years, new project startups could produce an oversupply of steel commodities," reports ETF Trends. "The next wave of new additions is expected to come online by 2022, as U.S. steel capacity expands by 20%, inundating the market with steel and putting pressure on steelmakers' profit margins. Merrill also predicts the U.S. industry to tighten its belts as new electric arc furnaces replace older blast furnaces." SPDR S&P Metals & Mining ETF (XME)Source: Shutterstock Expense ratio: 0.35%. For investors that want to move beyond standard materials ETFs without going into a niche fund, the SPDR S&P Metals & Mining ETF (NYSEARCA:XME) is an excellent place to be. That is if the investor can handle some elevated volatility. Home to $462.19 million in assets under management, XME is one of the larger materials ETFs with an industry focus.XME holds 29 stocks and provides exposure to these industry groups: "Aluminum, Coal & Consumable Fuels, Copper, Diversified Metals & Mining, Gold, Precious Metals & Minerals, Silver, and Steel," according to State Street.Nearly half of XME's roster is allocated to steel companies, so this materials ETF should note be paired with the aforementioned SLX. Coal and aluminum stocks combine for 22.10% of the fund's weight. XME is up 12.10% this year and needs to rally another 24% to reclaim its 52-week high.Todd Shriber does not own any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 8 Genomic Testing Stocks That Can Ease the Sting of Theranos * 4 Pot Stocks That Could Be Fizzling Out * 7 Mid-Cap Growth Stocks That Could Be the Next Amazon or Netflix Compare Brokers The post 7 Materials ETFs to Buy Today appeared first on InvestorPlace.
Air Products and Chemicals Increased Its Q1 DividendHigher first-quarter dividendAir Products and Chemicals (APD) has declared its regular quarterly cash dividend for the first quarter. To be eligible for the dividend, investors should hold Air
Eastman Chemical: New Client Order for Its Tritan Copolyester(Continued from Prior Part)Analysts’ recommendations There has been a gradual increase in analysts’ interest in Eastman Chemical. Currently, there are 18 analysts tracking Eastman
Shares of Nucor Corp. sank 1.8% in premarket trade Friday, after the steel maker provided a first-quarter profit outlook that was below expectations. The company said it expects EPS for the quarter ending March 30 to rise to $1.45 to $1.50 from $1.10 a year ago, but fall from $2.07 in the sequential fourth quarter, but that is below the FactSet EPS consensus of $1.62. Nucor said the decline from the fourth quarter is due primarily to lower average selling prices and margins in its sheet mill group, and amid shipment delays to construction customers because of an "unusually wet winter season." Nucor said, however, that it believes sheet pricing "reached the low point" during the first quarter, and is "encouraged" by recent price increases. The stock has declined 11.1% over the past 12 months through Thursday, while the SPDR Materials Select Sector ETF has lost 6.8% and the S&P 500 has gained 2.2%.
DowDuPont Board Approves Materials Science Division SeparationDowDuPont approves Materials Science Division separation In a press release on March 8, DowDuPont (DWDP) made an announcement that its board of directors has approved the separation of
I liked the look of the Materials Select Sector SPDR ETF daily chart -- and then I decided to take a look at the bigger picture on the weekly chart next. The weekly chart got me even more excited about this pick.
Shares of Mosaic Co. fell 0.9% in premarket trade Thursday, after the fertilizer company said it will cut its phosphate production plans by 300,000 tons for the spring season, citing continued weather concerns and higher-than-normal carryover inventory levels. In the fourth quarter, the company reported North American finished phosphate production of 2.1 million tons. Mosaic said the reduced production will affect its facilities in Florida and Louisiana. "Mosaic believes the current margin structure does not reflect today's balanced market conditions," the company said in a statement. "Protecting margins at this seasonably slow time of the year is important for the company and its customers." The stock has shed 12.8% over the past three months, while the SPDR Materials Select Sector ETF has climbed 6.1% and the S&P 500 has gained 5.3%.
Specialty Chemical Companies: Business Updates Last Week(Continued from Prior Part)Praxair to build a new hydrogen plantIn a press release on February 28, Praxair, the wholly owned subsidiary of Linde (LIN), announced the construction of new
Air Products and Chemicals Completes Acquisition of ACP Europe SAAPD completes its acquisition of ACP Europe SAIn a press release today, Air Products and Chemicals (APD) announced that it had completed its acquisition of ACP Europe SA. The deal was
What DowDuPont's Q1 Dividend Means for Investors(Continued from Prior Part)DowDuPont’s dividend yieldAt the end of February 27, DowDuPont’s (DWDP) dividend yield was ~2.8%. Celanese (CE), LyondellBasell (LYB), and Eastman Chemical (EMN) have
Chemical Companies: How Did They Perform Last Week?(Continued from Prior Part)Praxair’s new Syngas plant in Geismar On February 18, Praxair, the wholly owned subsidiary of Linde (LIN), announced that it completed the Syngas plant in Geismar,
Chemical Companies: How Did They Perform Last Week?Corteva announces 2019 guidanceOn February 21, Corteva Agriscience, DowDuPont’s (DWDP) agriculture division, provided its 2019 guidance in its sell-side analyst meeting. Corteva is scheduled to
Energy Sector Is Isolated from Trade Talk Optimism(Continued from Prior Part)US equity indexesOn February 14–21, US equity indexes had the following correlations with US crude oil April futures:the Dow Jones Industrial Average (DIA): 91.4%the