See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
ProShares Russell 2000 Dividend Growers ETF (SMDV) - free report >>
We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
ProShares Russell 2000 Dividend Growers ETF (SMDV) - free report >>
Image: Bigstock
Small-Cap Dividend Growers ETF (SMDV) Hits New 52-Week High
For investors seeking momentum, Russell 2000 Dividend Growers ETF (SMDV - Free Report) is probably on radar now. The fund just hit a 52-week high and is up over 14.5% from its 52-week low price of $51.18 per share.
But are more gains in store for this ETF? Let’s take a quick look at the fund and the near-term outlook on it to get a better idea on where it might be headed:
SMDV in Focus
The fund tracks the Russell 2000 Index and have increased dividend payments each year for at least 10 years. Utilities (24.94%), Industrials (14.07%), Financials (12.01%) and Consumer Staples (11.49%) take top four spots in the index. The product charges 40 bps in fees (see all Small Cap ETFs here).
Why the Move?
Small-cap stocks are more domestically-focused and thus not exposed to geopolitical risks and negative currency translations. Both criteria enabled small-cap stocks to cash in on an improving U.S. economy while dodging tensions stemming from trade war and a rising dollar. However, given the recent rally in the small-cap space, overvaluation concerns are sure to come. This is why investors probably tapped a quality ETF like Dividend Growers in the small-cap segment.
More Gains Ahead?
The fund has a Zacks ETF Rank #3 (Hold) with a medium risk outlook. It seems that this fund can be exercised a little further as evident by the positive weighted alpha of 9.50.
Want key ETF info delivered straight to your inbox?
Zacks’ free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. Get it free >>