IYZ(IYZ)
AI Look-Through Summary
AI GeneratedThe IYZ ETF presents a concentrated equity profile heavily weighted toward the technology and communication services sectors, which together account for over 70% of its total assets. This significant sector tilt is driven primarily by top holdings in CSCO, VZ, T, CIEN, ANET, IRDM, LITE, UI, TIGO, and ROKU, creating a portfolio that mirrors the performance dynamics of large-cap internet infrastructure and media companies rather than providing broad diversification across all market sectors. Within this narrow focus, Cisco Systems alone represents more than one-fifth of the fund's value, while Verizon and AT&T collectively comprise nearly 23%, indicating substantial idiosyncratic risk tied to these specific telecommunications giants alongside major tech players like Adobe and Roku.
With an asset base under $1 billion, the fund operates with a relatively small scale compared to broader market indices, yet its internal structure suggests a deliberate strategy targeting established leaders in digital connectivity rather than emerging growth or value stocks outside this niche. The heavy reliance on communication service providers for nearly one-third of the portfolio exposes investors to regulatory headwinds and capital expenditure cycles specific to that industry, while the 40% technology allocation ensures sensitivity to semiconductor demand and software subscription trends. This lack of exposure to financials, healthcare, or consumer staples means the fund's beta will likely track closely with the volatility of its top ten constituents rather than smoothing out market-wide fluctuations through traditional sector diversification.
Quantitatively, the high concentration in just a few names implies that the ETF's performance variance may be driven significantly by the earnings reports and stock price movements of CSCO, VZ, and T alone. The absence of smaller-cap or international holdings further narrows the investment thesis to domestic large-cap equities within these two specific industries. Consequently, this vehicle serves as a targeted proxy for investors seeking exposure to the convergence of telecommunications infrastructure and digital media services, offering a streamlined but highly correlated view into those segments without the dilution found in more diversified broad-market funds.
Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-05-21 14:00:35.529798+00
🔍 Theme Alignment Audit
AI GeneratedPurity: 85/100The investment theme implied by the ticker IYZ, which typically denotes a focus on cloud infrastructure and networking solutions, demonstrates strong alignment with its actual top holdings. The portfolio is heavily weighted toward technology giants like Cisco Systems and Application Technologies, alongside communication services leaders such as Verizon and AT&T, all of which are central players in global connectivity and data transmission networks. Notably absent from the top ten positions are unrelated sectors or broad-market mega-caps that do not contribute to a networking narrative; instead, every significant holding operates within the core domains of telecommunications hardware, software, or service provision required for cloud adoption. This consistency suggests the fund maintains its thematic integrity without diluting focus on non-essential assets.
Sector coherence is further reinforced by the concentration metrics and weight distribution between Technology and Communication Services, which together comprise over seventy percent of the portfolio. The high top-ten concentration indicates a deliberate strategy to capture exposure to specific leaders within this niche rather than mimicking a broad market index through diversified, low-weight holdings across disparate industries. While the heavy reliance on a few large positions introduces idiosyncratic risk tied to these specific companies' performance, it also ensures that the fund's returns remain tightly coupled with the growth trajectory of cloud and network infrastructure. The sector breakdown reflects a genuine differentiation from general market indices by prioritizing specialized utility players over cyclical or unrelated business models, thereby preserving the logical structure intended by the investment theme.
AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-22 09:59:29.790491+00
🏢 Sector Analysis
AI GeneratedThe IYZ ETF exhibits a distinct sector bias heavily weighted toward Technology and Communication Services, which collectively account for nearly 71% of the portfolio. This allocation strategy suggests an investment thesis centered on exposure to large-cap internet infrastructure providers rather than broad market diversification or small-to-mid cap growth opportunities. The concentration within these two sectors is amplified by the top five holdings alone comprising a significant portion of assets under management, with Cisco Systems and Verizon Wireless individually representing substantial weights that dwarf typical single-stock exposures in diversified funds.
This structural setup introduces notable idiosyncratic risk tied specifically to the performance dynamics of telecommunications giants and networking hardware manufacturers. The fund's reliance on just nine companies for nearly three-quarters of its total value indicates a lack of horizontal diversification across industries, leaving returns highly correlated with regulatory shifts, capital expenditure cycles in telecom, or technological obsolescence risks within specific niches. Furthermore, the heavy weighting toward established incumbents like Cisco and Verizon implies a tilt toward large-cap stability and dividend yields rather than aggressive growth seeking in emerging sub-sectors such as software-as-a-service or semiconductors outside of network equipment.
The resulting factor profile likely emphasizes value characteristics and low volatility relative to pure tech innovation plays, given the dominance of mature utility-like communication service providers alongside infrastructure heavyweights. Investors observing this allocation must recognize that performance will be inextricably linked to the macroeconomic health of the digital connectivity sector rather than broader economic indicators affecting other industries like healthcare or consumer discretionary. The absence of meaningful exposure outside these two pillars means that any adverse headwinds specific to internet service providers could disproportionately impact overall portfolio returns, creating a high-beta environment relative to the fund's stated diversification goals.
AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-24 11:49:50.971836+00
Flow Driver Analysis
2-Step CircleWhich larger ETFs share IYZ's holdings — and mechanically drive its price through index rebalancing flows?
Approximately 100% of IYZ's weight flows through these larger ETFs
| Driver ETF | AUM | Expense | Shared Stocks | Weight Overlap |
|---|---|---|---|---|
| ONEOONEO | $25M | — | 10 | 75.9% |
| XTLXTL | $418M | — | 8 | 68.4% |
| SPTMSPTM | $12B | — | 7 | 64.3% |
| ESGVESGV | $11B | — | 7 | 63.1% |
| VONEVONE | $10B | — | 7 | 63.1% |
76% of IYZ's portfolio by weight is also held by ONEO. When ONEO receives inflows, it mechanically buys these shared stocks — dragging IYZ's NAV along regardless of any thematic or sector catalyst. Combined, the top 5 overlapping ETFs control exposure to 100% ofIYZ'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
Replaces $249/yr MorningstarPeer through the ETF wrapper to see exactly what you own. Every metric is computed from constituent-level 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
Based on 76% of fund weight with Piotroski data.
Computed by rolling up individual stock Piotroski F-Scores, Altman Z-Scores, and Beneish M-Scores weighted by each constituent's allocation. Data that Vanguard and BlackRock don't surface.
Dividend Safety True-Up
DeterministicThe dividend-paying companies inside IYZ collectively pay out 47% 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 57% 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
ProprietaryIYZ is up 64.7% over the last 12 months. The underlying weighted earnings growth of its constituents is +60.0%. The remaining +4.7% 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 76% of fund weight with earnings data. Not investment advice.
Value Creation Map
ROIC vs WACCWhat percentage of IYZ's weight is allocated to companies that create economic value (ROIC > WACC) vs. destroy it?
Of IYZ's analyzed weight, 84% is invested in companies earning more than their cost of capital — genuine value creators. The remaining 16% consists of companies whose ROIC falls below their WACC, effectively destroying shareholder value with every dollar invested.
ROIC-WACC spread for 63% of fund weight with available data. Not investment advice.
Concentration Risk Monitor
CRITICALCSCO at 21.1% has captured IYZ's portfolio. The top 3 holdings (44%) dominate the fund's variance — the remaining 7 stocks provide minimal diversification.IYZ effectively behaves like a 12-stock portfolio, not a 10-stock one.
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.
IYZ has a Passive Crowding Score of 33/100. On average, 9.9% of the market capitalization of IYZ'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 42 tracked ETFs. Actual passive ownership is higher (includes mutual funds, pension funds). Not investment advice.
Under the Hood — Top 10 Constituents
| # | Ticker | Company | Weight | P/E | F-Score |
|---|---|---|---|---|---|
| 1 | CSCO | Cisco Systems Inc Technology | 21.13% | 40.1x | 8/9 |
| 2 | VZ | Verizon Communications Inc Communication Services | 12.05% | 11.7x | 5/9 |
| 3 | T | AT&T Inc Communication Services | 10.84% | 8.2x | 6/9 |
| 4 | CIEN | Ciena Corp Technology | 5.41% | 369.6x | 7/9 |
| 5 | ANET | Arista Networks Inc Technology | 5.25% | 55.0x | 4/9 |
| 6 | IRDM | Iridium Communications Inc | 4.94% | 52.3x | 7/9 |
| 7 | LITE | Lumentum Holdings Inc Technology | 4.67% | 151.6x | 7/9 |
| 8 | UI | Ubiquiti Inc Technology | 4.15% | 37.6x | 5/9 |
| 9 | TIGO | Millicom International Cellular SA Communication Services | 3.79% | 11.6x | 8/9 |
| 10 | ROKU | Roku Inc Class A Communication Services | 3.72% | 96.4x | 6/9 |
Historical Holdings Snapshots
Browse how IYZ’s holdings have changed across SEC filing dates. Showing top holdings per snapshot.
2026-05-24
10 holdings · 75.9% tracked weight2026-05-23
10 holdings · 75.9% tracked weight2026-05-22
10 holdings · 75.9% tracked weight2026-05-21
10 holdings · 75.9% tracked weight2026-05-20
10 holdings · 75.9% tracked weightSource: 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.
Price Chart with Moving Averages
What Drove IYZ Today?
Daily return attribution — which holdings contributed most (and least) to the fund's move.
Technical Setup
AI GeneratedThe current price of $44.70 for IYZ sits within a context where risk dynamics are heavily influenced by the absence of specific volatility metrics or drawdown data in the provided information. Without quantitative measures of recent price swings or peak-to-trough declines, it is impossible to ascertain whether any observed momentum represents a robust structural shift driven by fundamental backing or merely a fragile correction susceptible to sudden reversal. The lack of supporting technical indicators such as moving average crossovers, relative strength index readings, or volume profiles further obscures the sustainability of this price level, leaving the underlying trend ambiguous. In an environment where only the snapshot price is available, distinguishing between genuine value appreciation and speculative volatility becomes a significant challenge for market participants. The fundamental backdrop remains undefined in this limited dataset, meaning that any upward movement cannot be definitively attributed to earnings strength or sector tailwinds versus temporary liquidity flows. Consequently, the technical setup appears neutral yet inconclusive regarding long-term resilience; without data on how deeply prices have retraced from highs or how erratic recent fluctuations have been, one cannot determine if the current trajectory is supported by a widening margin of safety or an increasingly narrow base prone to sharp corrections.
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 IYZ’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: 2026-06-02.
SecuritiesDB is for informational purposes only. Not investment advice.