ETF · Industrials

State Street Industrial Select Sector SPDR ETF(XLI)

$178.15
-2.01%
Expense Ratio
$28.3B
Total AUM
Holdings
Inception
Active Share vs VOO
Truly Active
0%20%60%100%
91.5%

AI Look-Through Summary

AI Generated

The portfolio is heavily skewed towards industrials, with over 90% of its assets allocated to this sector, which suggests significant exposure to cyclical and capital-intensive companies. Geographically, it's difficult to discern any notable biases, but a cursory examination reveals that the fund has some degree of international diversification through holdings like GEV and DE. From a market-capitalization perspective, the portfolio appears to be skewed towards large-cap stocks, with CAT and GE being two of its largest holdings.

The sector mix is heavily concentrated in industrials, which may pose concentration risks if this sector experiences downturns. Notably, CAT and GE are among the fund's top holdings, but neither dominates the portfolio. The weighted P/E ratio of 31.2x suggests that the fund has a relatively high valuation posture compared to its peers. A macro environment characterized by strong industrial production growth and robust demand for capital goods would likely be favorable for this portfolio, while an economic downturn or decline in global trade could be unfavorable.

Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-06-20 07:57:54.43497+00

🔍 Theme Alignment Audit

AI GeneratedPurity: 95/100

The State Street Industrial Select Sector SPDR ETF demonstrates a high degree of thematic alignment, as its top holdings are overwhelmingly concentrated within the Industrials sector. The fund maintains strict adherence to its stated theme by excluding broad-market technology giants or unrelated sectors that often dilute pure-play industrial funds. While UBER appears in the top ten with a classification of Technology, it represents a minor 2.8% position and does not significantly disrupt the core industrial focus established by the majority of the portfolio. The absence of mega-cap stocks from non-industrial categories suggests the fund manager is successfully filtering for companies directly involved in manufacturing, aerospace, defense, and construction rather than using broad market names to stabilize returns or chase unrelated trends.

Sector coherence remains robust with Industrials comprising 91.5% of assets, indicating that the portfolio's performance will be driven almost exclusively by industrial sector dynamics. The top-ten concentration of 40.5% reflects a diversified yet focused approach typical of sector-specific vehicles, avoiding the extreme single-stock risks often found in thematic active funds while maintaining exposure to key industry leaders like Caterpillar and General Electric. This structure ensures that the fund remains genuinely differentiated from broad market indices, which would necessarily include significant weights in consumer discretionary or financial services sectors absent here. The data confirms a disciplined strategy where sector weightings are consistent with the industrial theme, providing investors with a concentrated view of specific economic drivers without unnecessary exposure to unrelated industries.

AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-17 12:12:31.495097+00

🏢 Sector Analysis

AI Generated

The State Street Industrial Select Sector SPDR ETF (XLI) exhibits a highly concentrated portfolio structure, with Industrials comprising 91.2% of total assets and only six holdings representing the entire Technology allocation at 6.1%. This overwhelming weight in the primary sector suggests an investment thesis strictly focused on capturing industrial-specific economic cycles rather than seeking broad diversification or exposure to adjacent growth drivers like software or semiconductors. The fund's design reflects a deliberate choice to isolate performance within manufacturing, aerospace, and defense sub-sectors, effectively filtering out volatility from unrelated industries while simultaneously limiting the portfolio's ability to hedge against sector-wide downturns through asset class rotation.

Concentration risk is notably elevated given that the top five holdings account for approximately 26.5% of assets alone, with the broader top-10 concentration reaching 43%. This heavy reliance on a small number of large-cap entities such as Caterpillar and General Electric implies significant idiosyncratic risk; adverse news or operational challenges affecting just one or two of these major constituents could materially impact overall fund performance. The limited holding count of sixty-five further underscores this vulnerability, indicating that the fund lacks the dispersion typically found in broader market indices where hundreds of companies dilute individual stock influence.

In terms of factor tilts, the allocation heavily favors large-cap value characteristics inherent to established industrial giants rather than small-cap growth or high-beta momentum strategies often associated with cyclical recovery plays. The inclusion of technology stocks serves primarily as a minor satellite exposure within an otherwise traditional heavy-industry framework, likely intended to provide negligible beta adjustment without altering the core defensive-to-cyclical nature of the portfolio. Ultimately, this structure offers precise sector targeting but requires investors to accept substantial single-sector dependency and limited internal diversification as inherent features of the strategy.

AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-24 11:02:02.050516+00

Flow Driver Analysis

2-Step Circle

Which larger ETFs share XLI's holdings — and mechanically drive its price through index rebalancing flows?

Approximately 100% of XLI's weight flows through these larger ETFs

Driver ETFAUMExpenseShared StocksWeight Overlap
SPYState Street SPDR S&P 500 ETF Trust$640B0.09%8199.9%
SPTMSPTM$12B8199.9%
VISVIS$8B7999.6%
VOOVanguard S&P 500 ETF$1.5T0.03%7999.6%
QUSQUS$1B7598.5%

100% of XLI's portfolio by weight is also held by SPY, which commands 23× more assets under management. When SPY receives inflows, it mechanically buys these shared stocks — dragging XLI's NAV along regardless of any thematic or sector catalyst. Combined, the top 5 overlapping ETFs control exposure to 100% ofXLI'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.

32.0x
Weighted P/E
13.73x
Weighted P/B
$157B
Wtd Avg Market Cap

Weighted metrics calculated based on 99% of fund assets with available data.

Herfindahl-Hirschman Concentration Index

01000200030004000275
Well Diversified
Top 5: 27.6%Top 10: 41.0%

Morningstar-Style Box

Value
Blend
Growth
Large
Mid
Small
Large Growth

Sector & Cap Explorer

Industrials91.7%
Visualization Mode

ETF Fundamental Radar

Total Analysis
100% Weight
Market Cap
Large
Risk Profile
Moderate

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

↑ Weight (%)100%80%60%40%20%
1%
0–3 Weak
63%
4–6 Average
36%
7–9 Strong

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

Deterministic
39%
Wtd FCF Payout Ratio
0.75%
TTM Yield
Very Safe
Dividend Durability
39% of FCF
0% (retains all cash)50%100% (pays out everything)

The dividend-paying companies inside XLI collectively pay out 39% of their Free Cash Flow to maintain the current yield. This leaves a substantial cash buffer, making dividend cuts unlikely even in a downturn. Based on 89% 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

Proprietary
+23.7%
ETF 1Y Return
+23.6%
Wtd Earnings Growth
+0.1%
Multiple Expansion
Earnings
P/E Inflation

XLI is up 23.7% over the last 12 months. The underlying weighted earnings growth of its constituents is +23.6%. Price performance is closely aligned with fundamental earnings growth — valuations are roughly unchanged.

Earnings growth = weighted average YoY EPS growth of all constituents (capped at ±500% to limit outlier distortion). Based on 100% of fund weight with earnings data. Not investment advice.

Value Creation Map

ROIC vs WACC

What percentage of XLI's weight is allocated to companies that create economic value (ROIC > WACC) vs. destroy it?

55% Creators
45% Destroyers
Value Creators (ROIC > WACC)53.3%
Value Destroyers44.1%

Of XLI's analyzed weight, 55% is invested in companies earning more than their cost of capital — genuine value creators. The remaining 45% consists of companies whose ROIC falls below their WACC, effectively destroying shareholder value with every dollar invested.

ROIC-WACC spread for 97% of fund weight with available data. Not investment advice.

Concentration Risk Monitor

ELEVATED
8.3%
Largest Holding
CAT
20.2%
Top 3 Weight
36
Effective # of Stocks
25%
Top Stock Var. Share
Portfolio weight concentration
CAT
GE
Other 45 stocks

XLI's top holding CAT at 8.3% is above the 8% elevated-concentration threshold. The effective number of stocks is 36 vs. the actual count of 50.

Effective # of Stocks = 1 / HHI (Herfindahl-Hirschman Index). Variance share approximated as w² / Σw². Not investment advice.

Passive Crowding Score

MODERATE

How much of each constituent's market cap is structurally locked in passive ETFs — a proxy for liquidity fragility during sell-offs.

40/ 100
Wtd Avg Passive Ownership11.9%
Most Crowded HoldingFAST (20.0%)
Least CrowdedFDXF (1.1%)
Coverage99% of fund weight
0 — Low255075100 — Extreme

XLI has a Passive Crowding Score of 40/100. On average, 11.9% of the market capitalization of XLI'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 38 tracked ETFs. Actual passive ownership is higher (includes mutual funds, pension funds). Not investment advice.

Under the Hood — Top 15 Constituents

Top 10 Concentration41.2%
#TickerCompanyWeightP/EF-Score
1CAT
CATERPILLAR INC
Industrials
8.33%
49.2x6/9
2GE
GENERAL ELECTRIC
Industrials
6.55%
44.4x6/9
3GEV
GE VERNOVA INC
Industrials
5.36%
32.5x6/9
4RTX
RTX CORP
Industrials
4.33%
34.9x8/9
5BA
BOEING CO/THE
Industrials
3.08%
88.0x7/9
6ETN
EATON CORP PLC
Industrials
2.99%
41.2x7/9
7UNP
UNION PACIFIC CORP
Industrials
2.73%
21.2x7/9
8DE
DEERE + CO
Industrials
2.66%
33.3x5/9
9UBER
UBER TECHNOLOGIES INC
Technology
2.57%
17.8x6/9
10HON
HONEYWELL INTERNATIONAL INC
Industrials
2.56%
36.5x5/9
11VRT
VERTIV HOLDINGS CO A
Industrials
2.43%
83.7x5/9
12PH
PARKER HANNIFIN CORP
Industrials
2.15%
35.2x7/9
13HWM
HOWMET AEROSPACE INC
Industrials
1.98%
64.6x8/9
14PWR
QUANTA SERVICES INC
Industrials
1.96%
96.7x5/9
15TT
TRANE TECHNOLOGIES PLC
Industrials
1.92%
37.0x9/9
The bottom 67 stocks in XLI account for only 48.4% of the total fund weight.

Historical Holdings Snapshots

Browse how XLI’s holdings have changed across SEC filing dates. Showing top holdings per snapshot.

2026-06-24

15 holdings · 51.6% tracked weight
#TickerWeightSharesMarket Value
1CAT8.33%2,693,238
2GE6.55%6,100,711
3GEV5.36%1,571,303
4RTX4.33%7,874,468
5BA3.08%4,609,401
6ETN2.99%2,270,519
7UNP2.73%3,471,571
8DE2.66%1,468,850
9UBER2.57%11,902,758
10HON2.56%3,703,935
11VRT2.43%2,245,998
12PH2.15%737,285
13HWM1.98%2,339,796
14PWR1.96%877,459
15TT1.92%1,292,554

2026-06-23

15 holdings · 51.2% tracked weight
#TickerWeightSharesMarket Value
1CAT8.07%2,676,195
2GE6.63%6,062,094
3GEV5.30%1,561,367
4RTX4.44%7,824,627
5BA3.12%4,580,237
6ETN2.91%2,256,144
7UNP2.71%3,449,606
8DE2.63%1,459,558
9UBER2.59%11,827,433
10HON2.58%3,680,475
11VRT2.27%2,231,784
12PH2.14%732,616
13HWM1.98%2,324,984
14TT1.90%1,284,366
15PWR1.87%871,916

2026-06-22

15 holdings · 51.1% tracked weight
#TickerWeightSharesMarket Value
1CAT7.95%2,711,832
2GE6.69%6,112,991
3GEV5.05%1,570,874
4RTX4.62%7,823,795
5BA3.17%4,576,505
6ETN2.84%2,263,478
7UNP2.74%3,458,008
8DE2.65%1,469,053
9UBER2.61%11,993,610
10HON2.59%3,699,893
11VRT2.17%2,229,924
12PH2.13%735,553
13HWM2.03%2,337,239
14LMT1.93%1,180,357
15PWR1.91%869,314

2026-06-21

15 holdings · 51.1% tracked weight
#TickerWeightSharesMarket Value
1CAT7.95%2,711,832
2GE6.69%6,112,991
3GEV5.05%1,570,874
4RTX4.62%7,823,795
5BA3.17%4,576,505
6ETN2.84%2,263,478
7UNP2.74%3,458,008
8DE2.65%1,469,053
9UBER2.61%11,993,610
10HON2.59%3,699,893
11VRT2.17%2,229,924
12PH2.13%735,553
13HWM2.03%2,337,239
14LMT1.93%1,180,357
15PWR1.91%869,314

2026-06-20

15 holdings · 51.1% tracked weight
#TickerWeightSharesMarket Value
1CAT7.95%2,711,832
2GE6.69%6,112,991
3GEV5.05%1,570,874
4RTX4.62%7,823,795
5BA3.17%4,576,505
6ETN2.84%2,263,478
7UNP2.74%3,458,008
8DE2.65%1,469,053
9UBER2.61%11,993,610
10HON2.59%3,699,893
11VRT2.17%2,229,924
12PH2.13%735,553
13HWM2.03%2,337,239
14LMT1.93%1,180,357
15PWR1.91%869,314

2026-06-19

15 holdings · 51.1% tracked weight
#TickerWeightSharesMarket Value
1CAT7.95%2,711,832
2GE6.69%6,112,991
3GEV5.05%1,570,874
4RTX4.62%7,823,795
5BA3.17%4,576,505
6ETN2.84%2,263,478
7UNP2.74%3,458,008
8DE2.65%1,469,053
9UBER2.61%11,993,610
10HON2.59%3,699,893
11VRT2.17%2,229,924
12PH2.13%735,553
13HWM2.03%2,337,239
14LMT1.93%1,180,357
15PWR1.91%869,314

Source: SEC filings and fund provider disclosures. Shows last 6 snapshot dates, top 15 holdings per date by weight.

Risk Profile

19.4%
Annual Volatility
1.39
Sharpe (1Y)
-13.4%
Max Drawdown (5Y)

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.

0.93
Market β
+0.121
Size (SMB)
Small-cap tilt
+0.121
Value (HML)
Value tilt
+0.004
Profit (RMW)
Neutral
+0.244
Invest (CMA)
Conservative
Alpha (annual): +9.51%
R²: 84.6%of variance explained by 5 factors

Fama-French 5-Factor Model. Data: Kenneth French Data Library. Regression over 3 years of daily returns.

Price Chart with Moving Averages

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What Drove XLI Today?

Daily return attribution — which holdings contributed most (and least) to the fund's move.

Fund move:-2.01%(2026-06-23)

Top Contributors

+0.109%
+0.042%
+0.036%

Top Detractors

-0.269%
-0.310%
-0.440%

Attribution = holding weight × stock daily return. Only the top contributors and detractors are shown.

Technical Setup

AI Generated

The XLI ETF is trading below its 50-day moving average but above the 200-day moving average, indicating a potential consolidation phase. The RSI at 38.5 suggests that near-term momentum may be weak and leaning towards bearish territory, which typically ranges below 30 to 70 for neutral conditions.

Underwater (Drawdown from Peak)

How far below the all-time high the price has been over time. Deeper = more pain for holders.

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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.

Loading beta chart...
Rolling Beta Market (β = 1.0)

Yield & Income

0.75%
TTM Yield
30-Day SEC Yield
5Y Div CAGR

Sector Drift Over Time

How XLI’s sector allocation has shifted across snapshots. Use the slider to travel through time.

2026-06-2470 snapshots
Industrials91.7%
Technology5.5%
Other2.8%
Change since 2026-03-26
Technology
-0.7%
Industrials
+0.5%
Other
+0.2%
2026-03-262026-06-24

Active Conviction Tracker

Shares bought and sold between the latest two data snapshots — reveals what the fund manager is actually doing.

Comparing 2026-06-232026-06-2450 buys, 1 sells

Positions Increased (50)

NEWHUBB
0309K+309K
0.50%(+0.50)
BUYUBER
11.8M11.9M+75K (+0.6%)
2.57%(-0.02)
BUYCSX
10.8M10.9M+69K (+0.6%)
1.52%(+0.01)
BUYRTX
7.8M7.9M+50K (+0.6%)
4.33%(-0.11)
BUYFAST
6.7M6.7M+42K (+0.6%)
0.94%(-0.00)
BUYGE
6.1M6.1M+39K (+0.6%)
6.55%(-0.08)
BUYBA
4.6M4.6M+29K (+0.6%)
3.08%(-0.04)
BUYCARR
4.5M4.6M+29K (+0.6%)
0.99%(-0.00)

Positions Decreased (1)

EXITOTIS
2.2M0-2.2M (-100.0%)
0.00%(-0.50)

Explore More

Quant metrics computed deterministically from financial statements and price data. Updated: 2026-06-23.

SecuritiesDB is for informational purposes only. Not investment advice.