SCHD ETF Faces Continued Pressure as Investors Shift to Growth Stocks
The Schwab U.S. Dividend Equity ETF (SCHD) declined 0.42% in pre-market trading, extending Thursday's 0.22% drop to $26.68. Dividend-focused funds are losing ground as capital rotates toward growth and technology sectors.
Year-to-date performance remains marginally positive at 0.45%, but the ETF has shed 1.39% over the past five trading sessions. Net outflows totaled $82 million during this period, reflecting weakening investor appetite for dividend strategies.
Analysts maintain a Moderate Buy rating with a $30.82 average price target, suggesting 16.4% upside potential. Top holdings with bullish outlooks include Coterra Energy and EOG Resources, while Murphy Oil and Buckle Inc. pose the greatest downside risks.