SPY vs. SPYD — ETF comparison tool (2024)

FAQs

What is the difference between SPY and SPYD? ›

State Street's SPY, SPYG, SPYD ad SPYV all track different variations of the S&P 500 stock market index. SPY is the oldest and most popular straight S&P 500 tracking ETF in the world. SPYG tracks 240 growth stocks within the S&P 500. SPYD tracks only 79 stocks.

The ETF has a beta of 1.02 and standard deviation of 17.05% for the trailing three-year period, making it a medium risk choice in the space. With about 83 holdings, it effectively diversifies company-specific risk.

SPYD has a consensus rating of Moderate Buy which is based on 57 buy ratings, 23 hold ratings and 2 sell ratings. What is SPYD's price target? The average price target for SPYD is $46.75. This is based on 82 Wall Streets Analysts 12-month price targets, issued in the past 3 months.

Index constituents are equally weighted and the Index is rebalanced semi-annually, in January and July. As of August 31, 2023, a significant portion of the Fund comprised companies in the financial and real estate sectors, although this may change from time to time.

SPYD Dividend Information

SPYD has a dividend yield of 4.11% and paid $1.83 per share in the past year. The dividend is paid every three months and the last ex-dividend date was Jun 21, 2024.

And one of the world's most popular index funds, the Vanguard S&P 500 ETF (VOO), happens to pay a dividend. However, some income-focused investors may prefer to focus on other funds that pay more than the VOO dividend.

Bottom line. The SPY ETF is a cost-effective investment option for investors looking to gain exposure to about 500 large US companies. However, it is also subject to the same risks as any other investment in the stock market, including market volatility, and economic and geopolitical risks.

Cons. No guarantee of future dividends. Stock price declines may offset yield. Dividends are taxed in the year they are distributed to shareholders.

The SPY ETF holds buy signals from both short and long-term Moving Averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average.

What is the outlook for spy ETF? ›

SPY 12 Month Forecast

Based on 504 Wall Street analysts offering 12 month price targets to SPY holdings in the last 3 months. The average price target is $624.98 with a high forecast of $725.42 and a low forecast of $513.06. The average price target represents a 12.73% change from the last price of $554.42.

Liquidity risk: SPY is generally considered to be a highly liquid investment, but there is always a risk that it may be difficult to buy or sell shares of the ETF when you want to, due to market conditions or other factors.

The reason is because SPYD doesn't screen for quality. Furthermore, its equal-weighting scheme assigns too much weight to the lowest-quality stocks, whereas market-cap-weighted ETFs generally don't do this.

The SPY is an ETF. This is the broad name for a kind of security that aggregates or tracks multiple stocks within an index, industry, or another grouping. SPDRs are a specific type of ETF issued by State Street Global Advisors that tracks a certain index, such as the S&P 500.

The Fund is classified as “diversified” under the Investment Company Act of 1940, as amended (the “1940 Act”); however, the Fund may become “non-diversified,” as defined under the 1940 Act, solely as a result of tracking the Index (e.g., changes in weightings of one or more component securities).

While the two ETFs follow the same strategy, they earn different ratings. VOO earns a top rating of Gold, while SPY earns the next best rating of Silver. Almahasneh says the reason is fees and inefficiencies of the unit investment trust structure.

SPY is the stock code of exchange traded funds that track the performance of the S&P 500 index; It trades like a stock. SPX is only a value representing the level of the Standard & Poor's 500 Index and cannot be traded directly.