XHB(XHB)
AI Look-Through Summary
AI GeneratedThe portfolio exhibits a significant tilt towards consumer cyclical and industrial sectors, which account for nearly two-thirds of its allocation, suggesting a focus on companies that benefit from economic growth and expansion. This sector mix is more concentrated in these areas than the broader market, implying a potential higher sensitivity to changes in consumer spending and business investment.
The top holdings are largely comprised of building materials, home improvement retailers, and furniture manufacturers, with Owens Corning (OC) being the largest single holding at 4% of the portfolio. This concentration in a specific area of the economy may amplify exposure to regional economic trends or supply chain disruptions. The valuation metrics suggest that the fund holds stocks with a moderate growth profile, but it is worth noting that the sector mix and holdings could be more vulnerable in an economic downturn than in a period of sustained growth.
Generated by Qwen-32B from constituent-level data. Not investment advice. Updated: 2026-07-14 09:40:20.648752+00
🔍 Theme Alignment Audit
AI GeneratedPurity: 92/100The investment theme implied by the ticker XHB, widely recognized as a homebuilding ETF, aligns strongly with the provided portfolio composition. The top holdings are predominantly composed of major residential construction and real estate development firms such as D.R. Horton, Lennar, and PulteGroup, which directly serve the housing sector. While several positions lack explicit industry labels in the data provided, their inclusion within a fund named for homebuilding suggests they operate within the same value chain or are closely linked ancillary services rather than unrelated industries. The portfolio avoids significant exposure to sectors that would contradict a residential focus, maintaining a tight thematic boundary despite some holdings having ambiguous sector classifications in this specific dataset.
Sector coherence is high, with Consumer Cyclical and Industrials combining for over sixty percent of the total assets under management, reflecting the capital-intensive nature of housing development which requires both manufacturing inputs and construction services. The concentration risk appears manageable given that the top ten positions account for approximately thirty-eight percent of the fund, preventing any single entity from dominating performance while still ensuring deep exposure to industry leaders. This structure differentiates the vehicle from a broad market index by heavily weighting specific cyclical sectors tied to housing starts and interest rate sensitivity, rather than diversifying across technology or financial services. The minimal allocation to Real Estate further indicates that the fund targets the builders themselves rather than property owners, preserving its distinct identity as an equity play on construction activity.
AI analysis of holdings alignment vs fund theme. Not investment advice. Updated: 2026-05-20 13:00:18.7315+00
🏢 Sector Analysis
AI GeneratedThe sector allocation of XHB reveals a distinct strategic emphasis on cyclical growth and manufacturing activity, with Consumer Cyclical and Industrials collectively comprising over 62% of the portfolio. This heavy weighting suggests an investment thesis predicated on economic expansion, where demand for discretionary goods and industrial output is expected to outpace broader market averages. The presence of significant positions in companies like MOD within these sectors further indicates a focus on firms with substantial exposure to construction materials and infrastructure spending. Conversely, the minimal Real Estate allocation at 1.1% highlights an intentional avoidance of interest rate sensitivity often found in property-heavy funds, reinforcing a bias toward operational cash flows rather than asset appreciation driven by leverage or rental yields.
Concentration risk is notably elevated given that the top ten holdings account for nearly 40% of total assets under management, with individual positions such as MOD and BLD approaching single-digit percentages. This lack of diversification implies that portfolio performance will be highly correlated with the fortunes of specific large-cap industrials and cyclical retailers rather than broad sector trends. The dominance of Industrials in both the top five holdings list and overall sector weight underscores a factor tilt toward momentum and value characteristics often associated with heavy machinery, automotive parts, and home improvement retailers. Such a structure exposes the fund to heightened volatility during economic slowdowns or supply chain disruptions that specifically impact these concentrated industries, while potentially offering amplified returns if cyclical conditions strengthen relative to defensive sectors.
AI-generated sector analysis from constituent-level data. Not investment advice. Updated: 2026-05-22 05:32:27.925609+00
Flow Driver Analysis
2-Step CircleWhich larger ETFs share XHB's holdings — and mechanically drive its price through index rebalancing flows?
Approximately 100% of XHB's weight flows through these larger ETFs
| Driver ETF | AUM | Expense | Shared Stocks | Weight Overlap |
|---|---|---|---|---|
| SPTMSPTM | $12B | — | 32 | 95.3% |
| ONEOONEO | $25M | — | 21 | 67.5% |
| ESGVESGV | $11B | — | 18 | 60.7% |
| VCRVCR | $6B | — | 22 | 59.0% |
| VONVVONV | $18B | — | 17 | 58.6% |
95% of XHB's portfolio by weight is also held by SPTM, which commands 8× more assets under management. When SPTM receives inflows, it mechanically buys these shared stocks — dragging XHB's NAV along regardless of any thematic or sector catalyst. Combined, the top 5 overlapping ETFs control exposure to 100% ofXHB'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 96% of fund assets with available data.
Herfindahl-Hirschman Concentration Index
Morningstar-Style Box
Sector & Cap Explorer
ETF Fundamental Radar
Caution: 22% of fund weight scores below 4 — indicating weak profitability or deteriorating fundamentals.
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 XHB collectively pay out 114% of their Free Cash Flow to maintain the current yield. Warning: constituent companies are paying out nearly all cash flow. A wave of dividend cuts may be imminent if earnings decline. Based on 71% 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
ProprietaryXHB is up 7.4% over the last 12 months. The underlying weighted earnings growth of its constituents is -20.4%. The remaining +27.8% 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 100% of fund weight with earnings data. Not investment advice.
Value Creation Map
ROIC vs WACCWhat percentage of XHB's weight is allocated to companies that create economic value (ROIC > WACC) vs. destroy it?
Of XHB's analyzed weight, 52% is invested in companies earning more than their cost of capital — genuine value creators. The remaining 48% consists of companies whose ROIC falls below their WACC, effectively destroying shareholder value with every dollar invested.
ROIC-WACC spread for 93% of fund weight with available data. 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.
XHB has a Passive Crowding Score of 31/100. On average, 9.4% of the market capitalization of XHB'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 17 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 | OC | OWENS CORNING | 3.99% | — | 3/9 |
| 2 | IBP | INSTALLED BUILDING PRODUCTS | 3.82% | 24.4x | 7/9 |
| 3 | WMS | ADVANCED DRAINAGE SYSTEMS IN | 3.71% | 27.8x | 5/9 |
| 4 | MAS | MASCO CORP | 3.59% | 19.9x | 6/9 |
| 5 | TOL | TOLL BROTHERS INC Consumer Cyclical | 3.57% | 11.8x | 4/9 |
| 6 | KBH | KB HOME | 3.52% | 14.1x | 3/9 |
| 7 | LII | LENNOX INTERNATIONAL INC Industrials | 3.52% | 24.8x | 5/9 |
| 8 | WSM | WILLIAMS SONOMA INC Consumer Cyclical | 3.50% | 25.6x | 4/9 |
| 9 | SGI | SOMNIGROUP INTERNATIONAL INC Consumer Cyclical | 3.49% | 29.1x | 6/9 |
| 10 | MTH | MERITAGE HOMES CORP | 3.49% | 14.1x | 4/9 |
| 11 | SKY | CHAMPION HOMES INC | 3.49% | 23.6x | 9/9 |
| 12 | HD | HOME DEPOT INC Consumer Cyclical | 3.47% | 24.7x | 4/9 |
| 13 | PHM | PULTEGROUP INC Consumer Cyclical | 3.46% | 12.5x | 5/9 |
| 14 | ALLE | ALLEGION PLC Industrials | 3.43% | 19.0x | 6/9 |
| 15 | CSL | CARLISLE COS INC Industrials | 3.42% | 20.6x | 5/9 |
Historical Holdings Snapshots
Browse how XHB’s holdings have changed across SEC filing dates. Showing top holdings per snapshot.
2026-07-18
15 holdings · 53.5% tracked weight2026-07-17
15 holdings · 53.3% tracked weight2026-07-16
15 holdings · 53.3% tracked weight2026-07-15
15 holdings · 53.3% tracked weight2026-07-14
15 holdings · 53.3% tracked weight2026-07-13
15 holdings · 53.3% 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 XHB Today?
Daily return attribution — which holdings contributed most (and least) to the fund's move.
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 XHB’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.
Positions Increased (0)
Positions Decreased (35)
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Quant metrics computed deterministically from financial statements and price data. Updated: 2026-07-17.
SecuritiesDB is for informational purposes only. Not investment advice.