NAIL - NAIL May Come In Handy In The Trader's Toolbox
2024-07-14 12:28:05 ET
Summary
- Direxion Daily Homebuilders & Supplies Bull 3X Shares ETF has substantially underperformed the SPY ETF in 2024.
- The ETF is heavily concentrated, with the top 10 positions accounting for 66.2% of net assets.
- These 10 holdings offer a forward P/E of 14.36 and a Seeking Alpha quant rating of 3.54.
- Lower interest rates will create a sector-wide tailwind for homebuilders.
- Key risks include no rate cuts from the Federal Reserve, a high expense ratio, and elevated volatility.
Introduction
The Direxion Daily Homebuilders & Supplies Bull 3X Shares ETF ( NAIL ) has substantially underperformed the SPDR S&P 500 ETF ( SPY ) so far in 2024, delivering a 3.5% total return against the 18.5% gain in the benchmark ETF:
NAIL vs SPY in 2024 (Seeking Alpha)
