Analysts See Significant Upside in iShares Morningstar Value ETF
In our review of exchange-traded funds (ETFs), we analyzed the underlying holdings of the iShares Morningstar Value ETF (Symbol: ILCV). By comparing each holding’s trading price to the average 12-month analyst target price, we’ve calculated a weighted average implied analyst target price for the ETF itself. For ILCV, this target price stands at $90.53 per unit.
Currently trading at approximately $78.08 per unit, this indicates a potential upside of 15.93% based on analysts’ expectations for the ETF’s underlying assets. Notably, three underlying holdings exhibit strong upside potential relative to their analyst target prices: Aon plc (Symbol: AON), Skyworks Solutions Inc (Symbol: SWKS), and Starbucks Corp. (Symbol: SBUX). Aon, priced at $335.85 per share, has an average target price of $405.31, suggesting a 20.68% increase. Skyworks Solutions shows a 19.23% increase potential from its recent share price of $61.52, aiming for an average target of $73.35. Likewise, analysts project Starbucks’ target at $99.87, representing a 19.16% rise from its current price of $83.81.
Below is a twelve-month price history chart comparing the stock performance of AON, SWKS, and SBUX:
Here’s a summary table of the current analyst target prices:
| Name | Symbol | Recent Price | Avg. Analyst 12-Mo. Target | % Upside to Target |
|---|---|---|---|---|
| iShares Morningstar Value ETF | ILCV | $78.08 | $90.53 | 15.93% |
| Aon plc | AON | $335.85 | $405.31 | 20.68% |
| Skyworks Solutions Inc | SWKS | $61.52 | $73.35 | 19.23% |
| Starbucks Corp. | SBUX | $83.81 | $99.87 | 19.16% |
Investors may wonder whether analysts’ targets are realistic or overly optimistic. Are these forecasts warranted based on recent company and industry developments, or do they reflect outdated expectations? A price target that is significantly higher than a stock’s current trading price may signal optimism but may also lead to potential downgrades if market conditions change. These considerations warrant further examination by investors.
10 ETFs With Most Upside To Analyst Targets »
Also see:
• Cheap Technology Shares
• NCBS shares outstanding history
• Funds Holding ISCG
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
