State Street Materials Select Sector SPDR ETF(XLB)
AI Look-Through Summary
AI GeneratedThe portfolio is heavily concentrated in basic materials, with over 84% of assets allocated to this sector, indicating a high degree of exposure to commodity prices and cyclical fluctuations. The remaining allocation is primarily to consumer cyclicals, which may provide some diversification benefits but also introduces potential correlations with the broader market.
Notably, the fund's top holding, Linde (LIN), accounts for nearly 15% of the portfolio, suggesting a significant concentration risk. The weighted P/E and P/B ratios are elevated at 26.0x and 4.37x, respectively, indicating that the portfolio is valued at a premium to its historical averages. A favorable macro environment would likely be one characterized by strong commodity prices and economic growth, while a downturn in these areas could be detrimental to the fund's performance.
Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-07-14 09:02:47.353807+00
🔍 Theme Alignment Audit
AI GeneratedPurity: 95/100The investment theme implied by the name Materials Select Sector SPDR ETF aligns almost perfectly with its actual holdings, as every single top position is classified within the Basic Materials sector. The portfolio demonstrates a high degree of thematic coherence without any apparent dilution from unrelated industries or broad-market mega-cap stocks that might obscure the fund's specific focus on raw materials and industrial goods. This consistency suggests the fund maintains strict adherence to its stated objective of providing exposure solely to companies involved in the production, processing, and distribution of basic commodities and related products.
Sector weights further reinforce this alignment, with Basic Materials comprising over 87% of the total portfolio while Consumer Discretionary holdings remain a minor fraction at roughly 12%. This structure ensures that the fund remains genuinely differentiated from broad market indices by concentrating heavily on cyclical industrial exposure rather than diversifying into technology or healthcare sectors. The significant top-ten concentration indicates a leveraged bet on industry leaders, which amplifies both potential gains and volatility inherent to this specific sector without deviating from the thematic mandate of pure materials exposure.
AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-18 21:52:57.948554+00
🏢 Sector Analysis
AI GeneratedThe State Street Materials Select Sector SPDR ETF exhibits an overwhelming concentration within the Basic Materials sector, which accounts for approximately 87.2% of its total assets across twenty holdings. This heavy weighting suggests a narrow investment thesis focused almost exclusively on companies engaged in raw material extraction and processing, such as chemicals, metals, and mining operations. The inclusion of only twelve percent in Consumer Discretionary serves primarily to capture downstream demand drivers rather than diversify the portfolio's exposure to different economic cycles or industry dynamics. Consequently, the fund functions less as a broad market proxy for materials and more as a specialized vehicle targeting specific upstream supply chain activities where commodity prices play a decisive role in valuation.
This structural composition introduces significant concentration risk, evidenced by the top ten holdings representing over sixty percent of the portfolio's value. The dominance of five major constituents—LIN, NEM, NUE, FCX, and APD—means that idiosyncratic events affecting these specific firms or a sudden shift in global commodity pricing could disproportionately impact overall performance. Such a lack of diversification implies that the fund is highly sensitive to macroeconomic factors influencing industrial demand and inflationary pressures on raw goods rather than benefiting from balanced exposure across various sub-sectors of materials.
Furthermore, the allocation pattern indicates a distinct tilt toward large-cap leaders within their respective industries, as the top five holdings alone comprise nearly forty percent of assets under management. This factor profile prioritizes established market players with significant scale and potentially higher barriers to entry over smaller or emerging companies that might offer different growth trajectories but carry greater volatility. The fund's design effectively filters out mid-tier competitors in favor of dominant industry participants, aligning the investment approach with a strategy that seeks stability through size while accepting heightened sensitivity to sector-wide trends rather than mitigating them through broader diversification.
AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-24 06:55:30.140656+00
Flow Driver Analysis
2-Step CircleWhich larger ETFs share XLB's holdings — and mechanically drive its price through index rebalancing flows?
Approximately 100% of XLB's weight flows through these larger ETFs
| Driver ETF | AUM | Expense | Shared Stocks | Weight Overlap |
|---|---|---|---|---|
| SPYState Street SPDR S&P 500 ETF Trust | $640B | 0.09% | 27 | 99.9% |
| SPTMSPTM | $12B | — | 27 | 99.9% |
| VOOVanguard S&P 500 ETF | $1.5T | 0.03% | 26 | 99.8% |
| VAWVAW | $4B | — | 26 | 99.8% |
| VONVVONV | $18B | — | 25 | 98.9% |
100% of XLB's portfolio by weight is also held by SPY, which commands 98× more assets under management. When SPY receives inflows, it mechanically buys these shared stocks — dragging XLB's NAV along regardless of any thematic or sector catalyst. Combined, the top 5 overlapping ETFs control exposure to 100% ofXLB's weight.
Overlap computed from constituent-level holdings data across 5 ETFs. Price co-movement with driver ETFs is structural, not coincidental. Not investment advice.
ETF Look-Through Dashboard
Peer through the ETF wrapper to see exactly what you own. Every metric is computed from constituent-level data.
Weighted metrics calculated based on 91% of fund assets with available data.
Herfindahl-Hirschman Concentration Index
Morningstar-Style Box
Sector & Cap Explorer
ETF Fundamental Radar
Operational health is mixed, with the bulk of weight in the mid-range (4–6) Piotroski scores.
Piotroski F-Score (Operational Health)
Score 0-9: Measures Profitability, Leverage, and Efficiency
Computed by rolling up individual stock Piotroski F-Scores, Altman Z-Scores, and Beneish M-Scores weighted by each constituent's allocation.
Dividend Safety True-Up
DeterministicThe dividend-paying companies inside XLB collectively pay out 66% of their Free Cash Flow to maintain the current yield. This is a sustainable payout level with moderate room for dividend growth. Based on 85% of fund weight in dividend-paying stocks.
FCF Payout Ratio = Dividends Paid / Free Cash Flow, weighted by constituent allocation. Not investment advice.
Earnings vs. Price Decomposition
ProprietaryXLB is up 13.1% over the last 12 months. The underlying weighted earnings growth of its constituents is -17.2%. The remaining +30.3% of performance is driven by multiple expansion (P/E inflation) — prices rose faster than earnings grew.
Earnings growth = weighted average YoY EPS growth of all constituents (capped at ±500% to limit outlier distortion). Based on 97% of fund weight with earnings data. Not investment advice.
Value Creation Map
ROIC vs WACCWhat percentage of XLB's weight is allocated to companies that create economic value (ROIC > WACC) vs. destroy it?
Of XLB's analyzed weight, 40% is invested in companies earning more than their cost of capital — genuine value creators. The remaining 60% consists of companies whose ROIC falls below their WACC, effectively destroying shareholder value with every dollar invested.
ROIC-WACC spread for 100% of fund weight with available data. Not investment advice.
Concentration Risk Monitor
HIGHLIN at 14.1% contributes an estimated 37% of portfolio variance.XLB holds 27 stocks but behaves like an 19-stock portfolio due to weight concentration in the top holdings.
Effective # of Stocks = 1 / HHI (Herfindahl-Hirschman Index). Variance share approximated as w² / Σw². Not investment advice.
Passive Crowding Score
MODERATEHow much of each constituent's market cap is structurally locked in passive ETFs — a proxy for liquidity fragility during sell-offs.
XLB has a Passive Crowding Score of 43/100. On average, 13.0% of the market capitalization of XLB's underlying holdings is structurally locked in passive ETF vehicles. This indicates moderate passive ownership density. Index rebalances and ETF creation/redemption activity can amplify short-term volatility in the underlying holdings.
Passive $ = Σ(ETF AUM × holding weight) across all 20 tracked ETFs. Actual passive ownership is higher (includes mutual funds, pension funds). Not investment advice.
Under the Hood — Top 15 Constituents
| # | Ticker | Company | Weight | P/E | F-Score |
|---|---|---|---|---|---|
| 1 | LIN | LINDE PLC Basic Materials | 14.11% | 34.5x | 5/9 |
| 2 | NEM | NEWMONT CORP Basic Materials | 5.68% | 11.8x | 9/9 |
| 3 | CTVA | CORTEVA INC Basic Materials | 5.07% | 46.7x | 7/9 |
| 4 | FCX | FREEPORT MCMORAN INC Basic Materials | 4.93% | 30.9x | 6/9 |
| 5 | SHW | SHERWIN WILLIAMS CO/THE Basic Materials | 4.85% | 32.5x | 6/9 |
| 6 | VMC | VULCAN MATERIALS CO Basic Materials | 4.69% | 34.7x | 9/9 |
| 7 | APD | AIR PRODUCTS + CHEMICALS INC Basic Materials | 4.69% | 31.3x | 3/9 |
| 8 | ECL | ECOLAB INC Basic Materials | 4.68% | 37.3x | 5/9 |
| 9 | CRH | CRH PLC Basic Materials | 4.60% | 19.6x | 6/9 |
| 10 | MLM | MARTIN MARIETTA MATERIALS Basic Materials | 4.55% | 36.2x | 8/9 |
| 11 | NUE | NUCOR CORP Basic Materials | 4.10% | 23.4x | 5/9 |
| 12 | STLD | STEEL DYNAMICS INC Basic Materials | 3.82% | 25.2x | 4/9 |
| 13 | PPG | PPG INDUSTRIES INC Basic Materials | 3.54% | 17.0x | 6/9 |
| 14 | SW | SMURFIT WESTROCK PLC Consumer Cyclical | 3.14% | 62.4x | 6/9 |
| 15 | DOW | DOW INC Basic Materials | 2.83% | — | 3/9 |
Historical Holdings Snapshots
Browse how XLB’s holdings have changed across SEC filing dates. Showing top holdings per snapshot.
2026-07-19
15 holdings · 75.3% tracked weight| # | Ticker | Weight | Shares | Market Value |
|---|---|---|---|---|
| 1 | LIN | 14.11% | 2,287,730 | — |
| 2 | NEM | 5.68% | 5,282,507 | — |
| 3 | CTVA | 5.07% | 4,943,698 | — |
| 4 | FCX | 4.93% | 7,113,308 | — |
| 5 | SHW | 4.85% | 1,211,179 | — |
| 6 | VMC | 4.69% | 1,349,984 | — |
| 7 | APD | 4.69% | 1,331,304 | — |
| 8 | ECL | 4.68% | 1,432,335 | — |
| 9 | CRH | 4.60% | 3,681,771 | — |
| 10 | MLM | 4.55% | 665,806 | — |
| 11 | NUE | 4.10% | 1,469,466 | — |
| 12 | STLD | 3.82% | 1,371,766 | — |
| 13 | PPG | 3.54% | 2,518,820 | — |
| 14 | SW | 3.14% | 5,926,668 | — |
| 15 | DOW | 2.83% | 8,144,801 | — |
2026-07-18
15 holdings · 75.3% tracked weight| # | Ticker | Weight | Shares | Market Value |
|---|---|---|---|---|
| 1 | LIN | 14.11% | 2,287,730 | — |
| 2 | NEM | 5.68% | 5,282,507 | — |
| 3 | CTVA | 5.07% | 4,943,698 | — |
| 4 | FCX | 4.93% | 7,113,308 | — |
| 5 | SHW | 4.85% | 1,211,179 | — |
| 6 | VMC | 4.69% | 1,349,984 | — |
| 7 | APD | 4.69% | 1,331,304 | — |
| 8 | ECL | 4.68% | 1,432,335 | — |
| 9 | CRH | 4.60% | 3,681,771 | — |
| 10 | MLM | 4.55% | 665,806 | — |
| 11 | NUE | 4.10% | 1,469,466 | — |
| 12 | STLD | 3.82% | 1,371,766 | — |
| 13 | PPG | 3.54% | 2,518,820 | — |
| 14 | SW | 3.14% | 5,926,668 | — |
| 15 | DOW | 2.83% | 8,144,801 | — |
2026-07-17
15 holdings · 75.5% tracked weight| # | Ticker | Weight | Shares | Market Value |
|---|---|---|---|---|
| 1 | LIN | 14.04% | 2,287,730 | — |
| 2 | NEM | 6.00% | 5,282,507 | — |
| 3 | FCX | 5.18% | 7,113,308 | — |
| 4 | CTVA | 4.98% | 4,943,698 | — |
| 5 | SHW | 4.80% | 1,211,179 | — |
| 6 | APD | 4.67% | 1,331,304 | — |
| 7 | VMC | 4.66% | 1,349,984 | — |
| 8 | ECL | 4.62% | 1,432,335 | — |
| 9 | CRH | 4.57% | 3,681,771 | — |
| 10 | MLM | 4.52% | 665,806 | — |
| 11 | NUE | 4.15% | 1,469,466 | — |
| 12 | STLD | 3.86% | 1,371,766 | — |
| 13 | PPG | 3.47% | 2,518,820 | — |
| 14 | SW | 3.08% | 5,926,668 | — |
| 15 | DOW | 2.89% | 8,144,801 | — |
2026-07-16
15 holdings · 75.6% tracked weight| # | Ticker | Weight | Shares | Market Value |
|---|---|---|---|---|
| 1 | LIN | 14.22% | 2,278,070 | — |
| 2 | NEM | 5.96% | 5,260,191 | — |
| 3 | FCX | 5.23% | 7,083,264 | — |
| 4 | CTVA | 4.99% | 4,922,810 | — |
| 5 | APD | 4.74% | 1,325,676 | — |
| 6 | SHW | 4.73% | 1,206,069 | — |
| 7 | VMC | 4.69% | 1,344,286 | — |
| 8 | ECL | 4.60% | 1,426,287 | — |
| 9 | CRH | 4.55% | 3,666,217 | — |
| 10 | MLM | 4.55% | 662,992 | — |
| 11 | NUE | 4.09% | 1,463,264 | — |
| 12 | STLD | 3.81% | 1,365,970 | — |
| 13 | PPG | 3.44% | 2,508,180 | — |
| 14 | SW | 3.03% | 5,901,636 | — |
| 15 | DOW | 2.94% | 8,110,389 | — |
2026-07-15
15 holdings · 75.5% tracked weight| # | Ticker | Weight | Shares | Market Value |
|---|---|---|---|---|
| 1 | LIN | 14.29% | 2,289,110 | — |
| 2 | NEM | 5.86% | 5,285,695 | — |
| 3 | FCX | 5.08% | 7,117,600 | — |
| 4 | CTVA | 5.07% | 4,946,682 | — |
| 5 | APD | 4.79% | 1,332,108 | — |
| 6 | SHW | 4.75% | 1,211,909 | — |
| 7 | VMC | 4.71% | 1,350,798 | — |
| 8 | ECL | 4.64% | 1,433,199 | — |
| 9 | MLM | 4.52% | 666,208 | — |
| 10 | CRH | 4.51% | 3,683,993 | — |
| 11 | NUE | 4.08% | 1,470,352 | — |
| 12 | STLD | 3.83% | 1,372,594 | — |
| 13 | PPG | 3.42% | 2,520,340 | — |
| 14 | SW | 3.05% | 5,930,244 | — |
| 15 | DOW | 2.95% | 8,149,717 | — |
2026-07-14
15 holdings · 75.6% tracked weight| # | Ticker | Weight | Shares | Market Value |
|---|---|---|---|---|
| 1 | LIN | 14.35% | 2,307,740 | — |
| 2 | NEM | 5.96% | 5,328,733 | — |
| 3 | FCX | 5.18% | 7,175,542 | — |
| 4 | CTVA | 5.02% | 4,986,966 | — |
| 5 | SHW | 4.79% | 1,221,764 | — |
| 6 | APD | 4.72% | 1,342,962 | — |
| 7 | VMC | 4.72% | 1,361,787 | — |
| 8 | ECL | 4.65% | 1,444,863 | — |
| 9 | CRH | 4.57% | 3,713,990 | — |
| 10 | MLM | 4.56% | 671,635 | — |
| 11 | NUE | 3.96% | 1,482,313 | — |
| 12 | STLD | 3.71% | 1,383,772 | — |
| 13 | PPG | 3.48% | 2,540,860 | — |
| 14 | SW | 3.10% | 5,978,520 | — |
| 15 | DOW | 2.80% | 8,216,083 | — |
Source: SEC filings and fund provider disclosures. Shows last 6 snapshot dates, top 15 holdings per date by weight.
Risk Profile
Sharpe = risk-adjusted return (higher is better). Computed from 1,200+ trading days with 5% risk-free rate.
Fama-French 5-Factor Exposure
Academic factor model decomposition — what's really driving this ETF's returns.
Fama-French 5-Factor Model. Data: Kenneth French Data Library. Regression over 3 years of daily returns.
Price Chart with Moving Averages
What Drove XLB Today?
Daily return attribution — which holdings contributed most (and least) to the fund's move.
Technical Setup
AI GeneratedThe current price of XLB is slightly below its 50-day moving average but well above the longer-term 200-day moving average, suggesting near-term weakness amid an overall positive trend. The RSI reading at 37.5 indicates that momentum may be lacking as it sits in neutral territory, neither overbought nor oversold.
Underwater (Drawdown from Peak)
How far below the all-time high the price has been over time. Deeper = more pain for holders.
Rolling 60-Day Beta vs S&P 500 (VOO)
How the ETF's sensitivity to market moves changes over time. β > 1 = more volatile than the market.
Yield & Income
Sector Drift Over Time
How XLB’s sector allocation has shifted across snapshots. Use the slider to travel through time.
Active Conviction Tracker
Shares bought and sold between the latest two data snapshots — reveals what the fund manager is actually doing.
Explore More
Quant metrics computed deterministically from financial statements and price data. Updated: 2026-07-17.
SecuritiesDB is for informational purposes only. Not investment advice.