SYLD: A Deep Value ETF With A Distinct Sector Mix
Cambria Shareholder Yield ETF (SYLD) employs a shareholder yield strategy, emphasizing dividends, buybacks, and debt paydown, resulting in deep value exposure. SYLD is overweight energy, consumer discretionary, and financials, but underweight technology, industrials, and real estate, leading to modest growth and profitability metrics. At a 10.9x P/E, SYLD trades at a significant discount to the S&P MidCap 400 and peers, but its growth (-3.2% earnings, 0.5% sales) and profitability (12.5% ROE) lag benchmarks.
SYLD: Diversified Mid-Cap Value ETF Outperforming Competitors
The Cambria Shareholder Yield ETF targets U.S. stocks with high shareholder yield, combining dividends, buybacks, and debt paydowns using a quantitative approach. SYLD's portfolio is diversified across 99 small- and mid-cap stocks, with notable exposure in financials, consumer discretionary, energy, and materials, and strong value characteristics. SYLD has outperformed the S&P MidCap 400 benchmark since 2013 and several peer ETFs since 2017, though with higher volatility and a relatively high 0.59% expense ratio.
SYLD: Should You Buy The Dip After A Disappointing Year?
SYLD is one of Cambria's Total Shareholder Yield ETFs, offering exposure to 100 companies with high combinations of dividends, buybacks, and debt retirement. Its expense ratio is 0.59%. SYLD was one of the worst-performing funds over the last year, and my fundamental analysis reveals the likely source is its substantial exposure to the size and value factors. In contrast, its growth rates are extremely poor, and with S&P 500 Index sales and earnings surprises still solid, this lack of exposure to the growth factor matters.
SYLD: Losing Steam For 12 Months, But Strong Value Characteristics
Cambria Shareholder Yield ETF holds 100 stocks with high shareholder yield, a factor combining dividends, buybacks and debt reduction. SYLD is focused on small and mid-caps, with significant exposure in consumer discretionary and financials. SYLD has strong value characteristics and has outperformed a mid-cap benchmark since inception, even though it has lagged for 12 months.
SYLD: A Fund To Hold For The Coming Decade
The Cambria Shareholder Yield ETF is recommended for the next decade due to its focus on high shareholder yield through dividends, buybacks, and debt reduction. Shareholder Yield prevents inefficient use of free cash flows by management, offering a compelling long-term investment case with higher returns and lower drawdowns. SYLD is well-positioned for valuation compression with a lower PE ratio and better value metrics compared to the S&P 500 and mid-cap value category.
SYLD: Bad Timing For Cambria's Deep Value Shareholder Yield ETF
Cambria Shareholder Yield ETF is an actively managed fund selecting 100 securities from a universe of approximately 3,000 U.S. securities based on their shareholder yield, value, quality, and momentum characteristics. Since its strategy change on June 1, 2020, the SYLD ETF has delivered an outstanding 147% total return, trouncing peers like VFVA and FMDE. However, its recent results aren't very impressive. The reason is that SYLD is a niche product, likely best suited to periods of economic recovery, like the period immediately following the Q1 2020 pandemic crash.
SYLD: A Winner Amid Sector Rotation
SYLD has rallied so far in 2024 but has also underperformed the S&P 500 in 2024 amid relative weakness in areas away from megacap tech. The betting market predicts an 80% chance of a Fed rate cut in September, and lower interest rates could help companies with high total shareholder yields. SYLD remains a compelling value with the potential for equity market rotation favoring the total shareholder yield factor, and I point out key price levels on the chart to monitor.
3,436 Shares in Cambria Shareholder Yield ETF (BATS:SYLD) Bought by Meridian Wealth Management LLC
Meridian Wealth Management LLC purchased a new stake in shares of Cambria Shareholder Yield ETF (BATS:SYLD – Free Report) during the fourth quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor purchased 3,436 shares of the company’s stock, valued at approximately $232,000. A number of other institutional investors have also bought and sold shares of the company. Park Avenue Securities LLC bought a new stake in Cambria Shareholder Yield ETF in the third quarter worth approximately $217,000. Private Advisor Group LLC boosted its stake in Cambria Shareholder Yield ETF by 32.8% during the third quarter. Private Advisor Group LLC now owns 48,875 shares of the company’s stock worth $3,023,000 after acquiring an additional 12,068 shares in the last quarter. MGO One Seven LLC raised its holdings in shares of Cambria Shareholder Yield ETF by 35.5% during the third quarter. MGO One Seven LLC now owns 40,630 shares of the company’s stock valued at $2,513,000 after purchasing an additional 10,645 shares during the period. MONECO Advisors LLC boosted its position in shares of Cambria Shareholder Yield ETF by 13.0% during the 3rd quarter. MONECO Advisors LLC now owns 74,449 shares of the company’s stock worth $4,605,000 after purchasing an additional 8,555 shares in the last quarter. Finally, Breakwater Capital Group grew its stake in shares of Cambria Shareholder Yield ETF by 18.8% in the 3rd quarter. Breakwater Capital Group now owns 88,958 shares of the company’s stock valued at $5,292,000 after buying an additional 14,055 shares during the period. Cambria Shareholder Yield ETF Price Performance Shares of Cambria Shareholder Yield ETF stock opened at $70.51 on Monday. The company has a 50 day moving average price of $70.81 and a 200-day moving average price of $67.63. The company has a market cap of $1.21 billion, a price-to-earnings ratio of 7.91 and a beta of 0.89. Cambria Shareholder Yield ETF Company Profile (Free Report) The Cambria Shareholder Yield ETF (SYLD) is an exchange-traded fund that mostly invests in total market equity. The fund offers active exposure to US stocks with attractive cash flow characterized by dividends, shares buybacks and net debt paydown. SYLD was launched on May 14, 2013 and is managed by Cambria.
