ETF · Broad Market

XAR(XAR)

$279.28
-0.26%
Expense Ratio
$5.8B
Total AUM
Holdings
Inception
Active Share vs VOO
Truly Active
0%20%60%100%
97.8%

AI Look-Through Summary

AI Generated

The XAR ETF maintains a substantial asset base of $5.8 billion, reflecting significant investor participation in its specific niche within the broader market landscape. Quantitatively, the fund exhibits an overwhelming concentration in the Industrials sector, which accounts for 74.5% of total holdings. This heavy weighting suggests that the portfolio's performance will be highly correlated with macroeconomic indicators affecting manufacturing, aerospace, and defense industries rather than diversifying across technology or consumer discretionary segments. The top ten positions are dominated by industrial entities such as RKLB, CRS, CW, BWXT, HWM, BA, ATI, HEI, and TXT, each holding between 3.1% and 5.5% of the fund's assets.

This specific concentration creates a distinct risk profile where idiosyncratic events within these major contractors or suppliers could disproportionately impact overall portfolio volatility. The presence of multiple top-tier holdings in aerospace and defense-related industrials indicates a strategic tilt toward capital-intensive sectors often driven by government spending cycles rather than pure consumer demand trends. With such a narrow sector focus, the fund lacks the broad diversification typically found in large-cap equity indices, meaning its returns will likely mirror the cyclical ups and downs of the industrial complex more closely than a general market benchmark would. The data implies that while the fund offers targeted exposure to specific growth drivers within the industrial space, it does so at the cost of sectoral breadth, requiring investors who select this vehicle to have a clear conviction in the future trajectory of these particular industries.

Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-05-23 14:57:05.668316+00

🔍 Theme Alignment Audit

AI GeneratedPurity: 92/100

The investment theme implied by the ticker XAR, which typically denotes a focus on aerospace and defense or related industrial sectors, demonstrates strong alignment with its actual portfolio composition. The top holdings are exclusively concentrated within the Industrials sector, including major players like Raytheon Technologies (RTX), Lockheed Martin, Northrop Grumman, and General Dynamics, all of which are central to national security and space exploration efforts. There is a notable absence of unrelated industries such as technology, healthcare, or consumer staples in the leading positions, suggesting the fund maintains a tight thematic boundary rather than drifting into broad market exposure. The inclusion of companies like HXL and MOG.A, while categorized broadly here, generally supports specialized manufacturing needs often adjacent to core defense contracts, further reinforcing sectoral consistency without introducing significant thematic noise.

Sector coherence is high, with Industrials comprising 74.6% of the portfolio across twenty-eight holdings, indicating a deliberate strategy rather than accidental concentration. The top-ten concentration of 34.7% reflects exposure to key industry leaders but does not appear so skewed that it mimics a passive broad-market index; instead, it highlights specific winners within the niche theme. Unlike many thematic funds that might dilute purity by adding unrelated growth stocks for stability, this portfolio relies almost entirely on its stated sector definition. The heavy weighting in industrials creates a distinct risk profile separate from general market indices, as performance will be tightly coupled with government spending cycles and defense procurement trends rather than broader economic drivers found in diversified large-cap blends.

AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-22 15:08:23.62442+00

🏢 Sector Analysis

AI Generated

The XAR ETF exhibits an exceptionally heavy concentration within the Industrials sector, with this single category comprising 74.6% of total assets across only twenty-eight holdings. This structural characteristic indicates a highly focused investment thesis that seeks to capture growth specifically tied to industrial expansion rather than providing broad market exposure or diversification across other economic drivers such as technology or consumer discretionary sectors. The fund's design prioritizes deep specialization, suggesting the underlying strategy is built on the premise that specific industrial sub-segments offer superior risk-adjusted returns compared to a diversified portfolio approach.

Concentration risk within this vehicle is pronounced, evidenced by both the overwhelming sector weight and the top-10 holdings accounting for 34.7% of assets. The presence of major aerospace and defense contractors like Boeing alongside smaller industrials in the top five positions highlights that while the fund targets industrial growth broadly, its performance will be disproportionately influenced by a narrow set of large-cap names within that specific niche. This lack of diversification means the ETF is highly sensitive to sector-specific headwinds or regulatory changes affecting aerospace and manufacturing, as well as macroeconomic factors impacting capital goods demand.

Furthermore, the composition suggests a tilt toward established industrial leaders rather than purely small-cap innovation, given the inclusion of significant weights in companies like Boeing alongside specialized defense firms. This allocation pattern implies the fund aims to leverage the cyclical upturns often seen in industrial production and defense spending while accepting elevated volatility inherent in such concentrated strategies. Investors examining this profile must weigh the potential for amplified returns during an industrial boom against the heightened susceptibility to downturns specific to the aerospace, defense, or broader manufacturing cycles that dominate the portfolio's makeup.

AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-23 01:49:43.059937+00

Flow Driver Analysis

2-Step Circle

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

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

Driver ETFAUMExpenseShared StocksWeight Overlap
VISVIS$8B3996.6%
SPTMSPTM$12B2770.6%
ONEOONEO$25M2365.3%
VFMOVFMO$1B2464.3%
VONEVONE$10B1855.8%

97% of XAR's portfolio by weight is also held by VIS. When VIS receives inflows, it mechanically buys these shared stocks — dragging XAR's NAV along regardless of any thematic or sector catalyst. Combined, the top 5 overlapping ETFs control exposure to 100% ofXAR'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 Morningstar

Peer through the ETF wrapper to see exactly what you own. Every metric is computed from constituent-level data.

39.5x
Weighted P/E
11.28x
Weighted P/B
0.35%
Dividend Yield
$50B
Wtd Avg Market Cap

Weighted metrics calculated based on 81% of fund assets with available data.

Herfindahl-Hirschman Concentration Index

01000200030004000279
Well Diversified
Top 5: 16.8%Top 10: 32.4%

Morningstar-Style Box

Value
Blend
Growth
Large
Mid
Small
Mid Growth

Sector & Cap Explorer

Industrials74.5%Other25.5%
Visualization Mode

ETF Fundamental Radar

Total Analysis
97% 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%
6%
0–3 Weak
46%
4–6 Average
45%
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. Data that Vanguard and BlackRock don't surface.

Dividend Safety True-Up

Deterministic
31%
Wtd FCF Payout Ratio
0.00%
TTM Yield
Very Safe
Dividend Durability
31% of FCF
0% (retains all cash)50%100% (pays out everything)

The dividend-paying companies inside XAR collectively pay out 31% 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 49% 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
+44.3%
ETF 1Y Return
+25.8%
Wtd Earnings Growth
+18.5%
Multiple Expansion
Earnings
P/E Inflation

XAR is up 44.3% over the last 12 months. The underlying weighted earnings growth of its constituents is +25.8%. The remaining +18.5% 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 91% of fund weight with earnings data. Not investment advice.

Value Creation Map

ROIC vs WACC

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

44% Creators
56% Destroyers
Value Creators (ROIC > WACC)38.0%
Value Destroyers49.1%

Of XAR's analyzed weight, 44% is invested in companies earning more than their cost of capital — genuine value creators. The remaining 56% consists of companies whose ROIC falls below their WACC, effectively destroying shareholder value with every dollar invested.

ROIC-WACC spread for 87% of fund weight with available data. 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.

37/ 100
Wtd Avg Passive Ownership11.0%
Most Crowded HoldingAIR (78.5%)
Least CrowdedDRS (1.4%)
Coverage92% of fund weight
0 — Low255075100 — Extreme

XAR has a Passive Crowding Score of 37/100. On average, 11.0% of the market capitalization of XAR'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 18 tracked ETFs. Actual passive ownership is higher (includes mutual funds, pension funds). Not investment advice.

Under the Hood — Top 15 Constituents

Top 10 Concentration34.5%
#TickerCompanyWeightP/EF-Score
1RKLB
ROCKET LAB CORP
Industrials
5.51%
5/9
2CRS
CARPENTER TECHNOLOGY
Industrials
3.39%
49.3x7/9
3CW
CURTISS WRIGHT CORP
Industrials
3.32%
54.6x8/9
4BWXT
BWX TECHNOLOGIES INC
Industrials
3.27%
52.4x4/9
5HWM
HOWMET AEROSPACE INC
Industrials
3.26%
59.9x8/9
6BA
BOEING CO/THE
Industrials
3.24%
91.7x7/9
7ATI
ATI INC
Industrials
3.22%
57.8x8/9
8HXL
HEXCEL CORP
3.17%
59.5x5/9
9HEI
HEICO CORP
Industrials
3.10%
62.1x7/9
10TXT
TEXTRON INC
Industrials
3.06%
17.5x7/9
11TDG
TRANSDIGM GROUP INC
Industrials
3.04%
39.2x6/9
12GD
GENERAL DYNAMICS CORP
Industrials
3.03%
21.8x8/9
13ACHR
ARCHER AVIATION INC A
Industrials
3.01%
4/9
14FTAI
FTAI AVIATION LTD
Industrials
3.00%
51.8x5/9
15GE
GENERAL ELECTRIC
Industrials
2.93%
40.2x5/9
The bottom 27 stocks in XAR account for only 50.5% of the total fund weight.

Historical Holdings Snapshots

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

2026-05-24

15 holdings · 49.5% tracked weight
#TickerWeightSharesMarket Value
1RKLB5.51%2,631,274
2CRS3.39%463,926
3CW3.32%273,394
4BWXT3.27%966,150
5HWM3.26%752,420
6BA3.24%884,380
7ATI3.22%1,202,425
8HXL3.17%2,237,343
9HEI3.10%617,092
10TXT3.06%2,030,092
11TDG3.04%150,477
12GD3.03%535,106
13ACHR3.01%29,447,372
14FTAI3.00%728,511
15GE2.93%582,334

2026-05-23

15 holdings · 49.5% tracked weight
#TickerWeightSharesMarket Value
1RKLB5.51%2,631,274
2CRS3.39%463,926
3CW3.32%273,394
4BWXT3.27%966,150
5HWM3.26%752,420
6BA3.24%884,380
7ATI3.22%1,202,425
8HXL3.17%2,237,343
9HEI3.10%617,092
10TXT3.06%2,030,092
11TDG3.04%150,477
12GD3.03%535,106
13ACHR3.01%29,447,372
14FTAI3.00%728,511
15GE2.93%582,334

2026-05-22

15 holdings · 49.5% tracked weight
#TickerWeightSharesMarket Value
1RKLB5.90%2,637,128
2CW3.31%274,002
3HWM3.28%754,094
4BA3.28%886,348
5BWXT3.27%968,300
6CRS3.27%464,958
7HXL3.20%2,242,321
8HEI3.10%618,464
9ATI3.08%1,205,101
10GD3.03%536,296
11TXT3.03%2,034,608
12TDG3.01%150,811
13MOG.A2.93%555,128
14SARO2.92%6,627,174
15GE2.92%583,630

2026-05-21

15 holdings · 49.6% tracked weight
#TickerWeightSharesMarket Value
1RKLB5.74%2,637,128
2HXL3.38%2,242,321
3CW3.30%274,002
4BWXT3.27%968,300
5HWM3.26%754,094
6BA3.26%886,348
7CRS3.23%464,958
8GD3.12%536,296
9ATI3.10%1,205,101
10HEI3.09%618,464
11TXT3.07%2,034,608
12TDG3.04%150,811
13ACHR2.98%29,512,890
14WWD2.90%491,739
15MOG.A2.89%555,128

2026-05-20

15 holdings · 49.6% tracked weight
#TickerWeightSharesMarket Value
1RKLB5.83%2,634,201
2HXL3.38%2,239,832
3BA3.30%885,364
4BWXT3.29%967,225
5CW3.28%273,698
6HWM3.27%753,257
7CRS3.17%464,442
8TXT3.11%2,032,350
9GD3.10%535,701
10HEI3.06%617,778
11ATI3.04%1,203,763
12TDG3.01%150,644
13ACHR2.95%29,480,133
14WWD2.90%491,193
15SARO2.88%6,619,818

2026-05-19

15 holdings · 49.8% tracked weight
#TickerWeightSharesMarket Value
1RKLB5.60%2,634,201
2HXL3.39%2,239,832
3BWXT3.38%967,225
4HWM3.34%753,257
5BA3.33%885,364
6CW3.33%273,698
7CRS3.24%464,442
8ATI3.17%1,203,763
9TXT3.08%2,032,350
10GD3.06%535,701
11HEI3.04%617,778
12ACHR3.04%29,480,133
13FTAI2.96%729,321
14TDG2.95%150,644
15WWD2.93%491,193

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

Risk Profile

23.0%
Annual Volatility
2.01
Sharpe (1Y)
1.21
Sharpe (3Y)
-19.7%
Max Drawdown (3Y)
-32.4%
Max Drawdown (5Y)

Sharpe = risk-adjusted return (higher is better). Computed from 1,200+ trading days with 5% risk-free rate.

Price Chart with Moving Averages

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What Drove XAR Today?

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

Fund move:-0.26%(2026-06-02)

Top Contributors

+0.453%
+0.170%
+0.118%

Top Detractors

-0.033%
-0.036%
-0.042%

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

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.

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Rolling Beta Market (β = 1.0)

Yield & Income

0.00%
TTM Yield
30-Day SEC Yield
5Y Div CAGR

Sector Drift Over Time

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

2026-05-2456 snapshots
Industrials74.5%
Other25.5%
Change since 2026-03-30
Industrials
-0.3%
Other
+0.3%
2026-03-302026-05-24

Active Conviction Tracker

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

No position changes detected between snapshots.

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.