FVAL: Well-Positioned For Outperformance (Rating Upgrade)
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Konstantinos Kosmidis1.07K FollowersFollow5ShareSavePlay(7min)CommentsSummaryFidelity Value Factor ETF (FVAL) is upgraded to buy, reflecting its defensive positioning amid macroeconomic uncertainty and slowing growth. FVAL’s value strategy emphasizes FCF yield and EBITDA/EV, resulting in a tech-heavy portfolio with ~25% in NVDA, AAPL, MSFT, and GOOG. FVAL’s performance closely tracks large-cap growth ETFs but with lower volatility, offering growth upside with value-style risk mitigation. Current macro conditions—sticky inflation, softening labor market, and uncertain monetary policy—favor FVAL’s large- and mid-cap value exposure over small caps. Torsten Asmus/iStock via Getty Images The Fidelity Value Factor ETF (FVAL), launched on 09/12/2016 and managed by Fidelity Management & Research Company LLC, provides exposure to value stocks within the mid- and large-cap segments of the U.S. equity market. It charges an expense ratioThis article was written byKonstantinos Kosmidis1.07K FollowersFollowI began learning about markets when I was 19. Today, my trading is informed by macro insights and technical indicators.When I'm neither working on my next article nor reading about macro and markets, I either run, cycle, or lift (probably thinking about macro and markets while doing so).Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.