Latest news with #SmallCap
Yahoo
2 days ago
- Business
- Yahoo
Is WisdomTree U.S. SmallCap Quality Dividend Growth ETF (DGRS) a Strong ETF Right Now?
Designed to provide broad exposure to the Style Box - Small Cap Blend category of the market, the WisdomTree U.S. SmallCap Quality Dividend Growth ETF (DGRS) is a smart beta exchange traded fund launched on 07/25/2013. Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy. A good option for investors who believe in market efficiency, market cap weighted indexes offer a low-cost, convenient, and transparent way of replicating market returns. However, some investors believe in the possibility of beating the market through exceptional stock selection, and choose a different type of fund that tracks non-cap weighted strategies: smart beta. Based on specific fundamental characteristics, or a combination of such, these indexes attempt to pick stocks that have a better chance of risk-return performance. Even though this space provides many choices to investors--think one of the simplest methodologies like equal-weighting and more complicated ones like fundamental and volatility/momentum based weighting--not all have been able to deliver first-rate results. Because the fund has amassed over $354.58 million, this makes it one of the average sized ETFs in the Style Box - Small Cap Blend. DGRS is managed by Wisdomtree. Before fees and expenses, DGRS seeks to match the performance of the WisdomTree U.S. SmallCap Quality Dividend Growth Index. The WisdomTree U.S. SmallCap Quality Dividend Growth Index is a fundamentally weighted index that consists of the small-capitalization segment of dividend-paying stocks with growth characteristics. Expense ratios are an important factor in the return of an ETF and in the long-term, cheaper funds can significantly outperform their more expensive cousins, other things remaining the same. Annual operating expenses for this ETF are 0.38%, making it on par with most peer products in the space. It has a 12-month trailing dividend yield of 2.64%. Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings. This ETF has heaviest allocation in the Financials sector - about 25.5% of the portfolio. Industrials and Consumer Discretionary round out the top three. Taking into account individual holdings, Western Union Co/the (WU) accounts for about 2.35% of the fund's total assets, followed by Exterran Holdings Inc (EXH) and Victory Capital Holding - A (VCTR). The top 10 holdings account for about 16.83% of total assets under management. The ETF has lost about -9.77% and is down about -0.23% so far this year and in the past one year (as of 06/19/2025), respectively. DGRS has traded between $40.64 and $56.61 during this last 52-week period. The ETF has a beta of 1.06 and standard deviation of 20.83% for the trailing three-year period, making it a medium risk choice in the space. With about 217 holdings, it effectively diversifies company-specific risk . WisdomTree U.S. SmallCap Quality Dividend Growth ETF is a reasonable option for investors seeking to outperform the Style Box - Small Cap Blend segment of the market. However, there are other ETFs in the space which investors could consider. iShares Core Dividend Growth ETF (DGRO) tracks Morningstar US Dividend Growth Index and the Vanguard Dividend Appreciation ETF (VIG) tracks NASDAQ US Dividend Achievers Select Index. iShares Core Dividend Growth ETF has $31.14 billion in assets, Vanguard Dividend Appreciation ETF has $89.92 billion. DGRO has an expense ratio of 0.08% and VIG changes 0.05%. Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Small Cap Blend To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report WisdomTree U.S. SmallCap Quality Dividend Growth ETF (DGRS): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research Sign in to access your portfolio
Yahoo
2 days ago
- Business
- Yahoo
Is WisdomTree Emerging Markets SmallCap Dividend ETF (DGS) a Strong ETF Right Now?
Designed to provide broad exposure to the Broad Emerging Market ETFs category of the market, the WisdomTree Emerging Markets SmallCap Dividend ETF (DGS) is a smart beta exchange traded fund launched on 10/30/2007. The ETF industry has long been dominated by products based on market cap weighted indexes, a strategy created to reflect the market or a particular market segment. Because market cap weighted indexes provide a low-cost, convenient, and transparent way of replicating market returns, they work well for investors who believe in market efficiency. There are some investors, though, who think it's possible to beat the market with great stock selection; this group likely invests in another class of funds known as smart beta, which track non-cap weighted strategies. Non-cap weighted indexes try to choose stocks that have a better chance of risk-return performance, which is based on specific fundamental characteristics, or a mix of other such characteristics. This area offers many different investment choices, such as simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies; however, not all of these strategies can deliver superior results. Because the fund has amassed over $1.63 billion, this makes it one of the larger ETFs in the Broad Emerging Market ETFs. DGS is managed by Wisdomtree. Before fees and expenses, this particular fund seeks to match the performance of the WisdomTree Emerging Markets SmallCap Dividend Index. The WisdomTree Emerging Markets SmallCap Dividend Index is a fundamentally weighted index that measures the performance of primarily small cap stocks selected from the WisdomTree Emerging Markets Dividend Index. Companies included in the Index fall within the bottom 10% of total market capitalization of the WisdomTree Emerging Markets Dividend Index. Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same. Operating expenses on an annual basis are 0.58% for DGS, making it on par with most peer products in the space. The fund has a 12-month trailing dividend yield of 3.08%. Most ETFs are very transparent products, and disclose their holdings on a daily basis. ETFs also offer diversified exposure, which minimizes single stock risk, though it's still important for investors to research a fund's holdings. Taking into account individual holdings, Old Mutual Ltd (OMU) accounts for about 0.82% of the fund's total assets, followed by Tisco Financial Group Pcl - Nvdr (TISCO-R) and Grupo Aeroportuario Del Centro (OMAB). The top 10 holdings account for about 7.32% of total assets under management. The ETF has added roughly 10.97% and is up roughly 6.42% so far this year and in the past one year (as of 06/19/2025), respectively. DGS has traded between $43.34 and $54.95 during this last 52-week period. The ETF has a beta of 0.65 and standard deviation of 14.35% for the trailing three-year period, making it a medium risk choice in the space. With about 1112 holdings, it effectively diversifies company-specific risk . WisdomTree Emerging Markets SmallCap Dividend ETF is not a suitable option for investors seeking to outperform the Broad Emerging Market ETFs segment of the market. Instead, there are other ETFs in the space which investors should consider. Vanguard FTSE Emerging Markets ETF (VWO) tracks FTSE Emerging Markets All Cap China A Inclusion Index and the iShares Core MSCI Emerging Markets ETF (IEMG) tracks MSCI Emerging Markets Investable Market Index. Vanguard FTSE Emerging Markets ETF has $87.35 billion in assets, iShares Core MSCI Emerging Markets ETF has $89.57 billion. VWO has an expense ratio of 0.07% and IEMG changes 0.09%. Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Broad Emerging Market ETFs To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report WisdomTree Emerging Markets SmallCap Dividend ETF (DGS): ETF Research Reports This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Time of India
3 days ago
- Business
- Time of India
Smallcaps soar Rs 75 lakh crore in value over 7 years, growing 5x: Study
India's small-cap stocks have added a staggering Rs 75 lakh crore in market value since 2017, ballooning from Rs 17 lakh crore to Rs 92 lakh crore by end-2024, a fivefold jump driven by a 27.6% compound annual growth rate, according to a study by Bajaj Finserv Asset Management Company (AMC). This sharp rise dwarfs the returns of large-cap and mid-cap peers and underscores the growing clout of small caps in India's equity landscape. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Many Are Watching Tariffs - Few Are Watching What Nvidia Just Launched Seeking Alpha Read Now Undo The study found that while large-cap and mid-cap indices posted a CAGR of 14.5% and 21.6% respectively between 2017 and 2024, small caps have firmly outpaced them. More telling was the contribution of small-cap companies to the overall market capitalisation, which rose 1.4 times over the past three years, even as their share of corporate profits swelled 2.5 times in the last four years. Despite a modest 4% rise in the small-cap index since FY24, the segment saw a 38% jump in profit after tax (PAT) during FY25, climbing from Rs 21,669 crore to Rs 29,941 crore. Bajaj Finserv AMC pointed out that this decoupling between prices and earnings suggests 'unrealized value' in the space. Moreover, the study noted that '74% of the top 250 small-cap companies reported a double digit returns on capital employed (ROCE),' signaling strong fundamentals despite recent price corrections. Live Events Quality is key as volatility persists The second half of FY25 saw a correction in small-cap stocks, with most still trading below their 52-week highs as of April 2025. This has opened up 'an opportunity to accumulate quality small caps at better valuation,' the study said. Still, the volatility underscores the importance of selectivity. Bajaj Finserv AMC warns that 'nearly 50% of small-cap companies from 2017 have declined into the micro-cap category,' reinforcing the risk of indiscriminate exposure. Although 196 small-cap IPOs hit the market since 2020, only four have transitioned to mid-cap status and none to large-cap territory — further highlighting the need for careful stock selection. Quality index outshines peers Bajaj Finserv AMC emphasized that quality small caps have consistently outperformed their broader counterparts. 'The Nifty Small Cap 250 Quality 50 TRI has outperformed the Nifty Small Cap 250 TRI in 14 of the last 19 financial years,' the study said. In fact, the quality index 'delivered higher returns than all other indices in nine financial years from FY10,' with evidence that it has weathered volatility better in 17 of the past 19 financial years. Additionally, in some years, the Small Cap Quality index 'has exhibited lower standard deviation than large caps,' the study said, underlining its potential for steadier performance. While smallcaps remain prone to cyclical movements and elevated risk, the study presents a case for investors to reassess the segment with a quality lens. The long-term outperformance of quality indices and growing earnings power signal a maturing sector, albeit one that still demands rigorous screening and discipline. Also read | Neither largecaps, nor smallcaps! India Inc's Q4 result season belongs to the middle order
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Business Standard
11-06-2025
- Business
- Business Standard
India's mcap rises $1 trn since March; leads gains in top 10 equity markets
India's listed companies have added nearly $1 trillion in market capitalisation since early March 2025, taking the total to $5.33 trillion. This sharp increase comes on the back of a strong rally that followed a five-month correction between October 2024 and February 2025, Moneycontrol reported. In percentage terms, India's market capitalisation (mcap) surged by over 21 per cent — the highest growth among the world's top 10 equity markets. India now ranks as the fifth-largest equity market globally, trailing only the US, China, Japan, and Hong Kong. Germany recorded the second-largest gain during this period, with its mcap rising nearly 14 per cent. Canada followed with an 11 per cent jump, while Hong Kong's mcap increased by more than 9 per cent. Japan and the UK also saw gains of around 8 per cent each. By contrast, the US, the world's biggest equity market, reported a modest increase of around 2.4 per cent. China, the second-largest, recorded a 2.7 per cent rise. France and Taiwan reported gains of over 3.9 per cent and 3.2 per cent, respectively. Sensex and Nifty ride the rally India's benchmark indices, the Sensex and Nifty, rose by 12.5 per cent and 13.5 per cent, respectively, during this period. Broader market indices performed even better: the BSE MidCap index climbed over 20.7 per cent, and the SmallCap index jumped by 26 per cent. However, the rally has also led to stretched valuations, raising concerns among analysts. Many have started lowering their earnings forecasts, the report said. Earnings estimates reflect caution According to a recent note from JM Financial, the Nifty 50's earnings per share (EPS) estimate for FY25 saw a minor upward revision of 0.3 per cent in April 2025. However, estimates for FY26 and FY27 were downgraded by 1.1 per cent and 1.0 per cent, respectively. The slight upgrade for FY25 EPS is due to muted analyst expectations for Nifty's fourth-quarter FY25 profit after tax (PAT) heading into the results season, the news report said. The trend of downgrades continues, with the April 2025 cuts for FY26 and FY27 being sharper than those recorded in earlier months — 0.9/0.6 per cent in February and 0.2/0.6 per cent in March. This points to a cautious outlook on forward earnings. According to Bloomberg consensus estimates, the Nifty 50 companies are projected to grow earnings by 14 per cent year-on-year in FY26.
Mint
03-06-2025
- Business
- Mint
Stock to buy under ₹100: Experts recommend six shares to buy today — 3 June 2025
Stock to buy under ₹ 100: After opening lower in the early morning session, the Indian stock market showed resilience and steadily recovered on Monday. The Nifty 50 index successfully defended the previous swing low of 24 462 established on 22 May 2025 and closed with a marginal loss 24,716. The BSE Sensex went off 77 points and closed at 81,373. The Bank Nifty index added 153 points and ended at 55,903. Broader market indices continued their outperformance trajectory, with the Small Cap index surging over 1%, while Nifty Bank reclaimed the psychologically significant 55900 level. The mid and small-cap segments reinforced their relative strength, advancing 0.62% and 1.19%, respectively, demonstrating sustained investor appetite for these market segments. On the Indian stock market's outlook today, Siddhartha Khemka, Head of Research—Wealth Management at Motilal Oswal, said, "The Indian market is expected to continue its consolidation amid weak global cues, although downside may be limited due to strong domestic macros and a potential boost from the anticipated RBI rate cut." Speaking on the outlook of the Nifty 50 today, Shiju Kuthupalakkal, Senior Manager of Technical Research at Prabhudas Lilladher, said, "The Nifty 50 index, after witnessing a huge gap down opening in the morning session, recovered significantly as the day progressed and closed on a flat note with overall bias sustained and as mentioned earlier, a decisive breach above the 25,000 zone shall confirm a breakout with upside targets of 25,500 and 26,300 levels achievable in the coming days. At the same time, on the downside, the 24,500 zone is positioned as the important and strong support level which needs to be sustained to maintain the overall bias intact." "The Bank Nifty index, after a long period of the rangebound session, has indicated a breakout closing wise above the tough resistance hurdle of 55,800 zones to strengthen the trend and can anticipate a further rise in the coming days and can trigger fresh upside targets of 57,700 and 60,300. As mentioned earlier, the near-term support shall be maintained near the 54,500 zone, which needs to be sustained as of now," said Shiju Kuthupalakkal. Regarding stocks to buy today, market experts — Vaishali Parekh, Vice President—Technical Research at Prabhudas Lilladher; Mahesh M Ojha, AVP — Research at Hensex Securities; Sugandha Sachdeva, Founder of SS WealthStreet; and Anshil Jain, Head of Research at Lakshmishree Investment and Securities — recommended these six intraday stocks for today: Indian Overseas Bank, OLA Electric, Yes Bank, TTML, PSB, and Sigachi Industries. 1] Indian Overseas Bank: Buy at ₹ 42, Target ₹ 50, Stop Loss ₹ 38. 2] OLA Electric: Buy at ₹ 52.70 to ₹ 53.70, Targets ₹ 55, ₹ 56.50, ₹ 58; 3] Yes Bank: Buy at ₹ 22.80 to ₹ 23.30, Targets ₹ 23.90, ₹ 24.50, ₹ 26, Stop Loss ₹ 21.80; and 4] TTML: Buy at ₹ 72 to ₹ 73.50, Targets ₹ 75.50, ₹ 78, ₹ 80, Stop Loss ₹ 70.80. 5] PSB or Punjab & Sind Bank: Buy at ₹ 32.90, Target ₹ 37.50, Stop Loss ₹ 35.50. 6] Sigachi Industries: Buy at ₹ 53.50, Target ₹ 60, Stop Loss ₹ 50. Disclaimer: The views and recommendations made above are those of individual analysts or broking companies, and not of Mint. We advise investors to check with certified experts before making any investment decisions.
