PGIM ETF Trust - PGIM Jennison Focused Value ETF (PJFV)

PGIM ETF Trust - PGIM Jennison Focused Value ETF (PVAL): A Summary

Profile:

The PGIM ETF Trust - PGIM Jennison Focused Value ETF (PVAL) is an actively managed exchange-traded fund that invests in a diversified portfolio of US-listed equities. The fund seeks to achieve long-term capital appreciation by employing a fundamental, bottom-up approach focused on identifying undervalued companies with strong growth potential. PVAL primarily invests in mid- and large-cap stocks across various sectors, with a bias towards financials, healthcare, and technology.

Objective:

The primary investment goal of PVAL is to generate long-term capital appreciation for its investors through a combination of stock price increases and dividend income.

Issuer:

The issuer of PVAL is PGIM ETF Trust, a subsidiary of PGIM Investments, a leading global investment management firm with over $1 trillion in assets under management. PGIM has a strong reputation for its investment expertise and track record of success.

Market Share:

PVAL currently has a market share of approximately 0.02% in the US large-cap value ETF category.

Total Net Assets:

As of October 26, 2023, PVAL has a total net asset value of approximately $232 million.

Moat:

PVAL's competitive advantages include:

• Experienced Management Team: The fund is managed by a team of experienced portfolio managers with a proven track record of success in value investing.
• Active Management: PVAL's active management approach allows the portfolio managers to identify and invest in undervalued companies that may not be included in traditional value indices.
• Focus on Dividends: PVAL's portfolio consists of companies with a history of paying dividends, providing investors with a potential source of income.

Financial Performance:

PVAL has a three-year annualized return of 6.93%, outperforming its benchmark, the Russell 1000 Value Index, which has a three-year annualized return of 4.57%.

Growth Trajectory:

PVAL's assets under management have been steadily increasing over the past year, indicating growing investor interest in the fund's strategy.

Liquidity:

PVAL has an average daily trading volume of approximately 10,000 shares, indicating reasonable liquidity. The bid-ask spread is also relatively tight, suggesting low trading costs.

Market Dynamics:

The market environment for PVAL is currently positive, with a strong economic outlook and a favorable environment for value investing.

Competitors:

PVAL's key competitors include iShares S&P 500 Value ETF (IVE), Vanguard Value ETF (VTV), and Schwab U.S. Large-Cap Value ETF (SCHV).

Expense Ratio:

PVAL has an expense ratio of 0.35%.

Investment Approach and Strategy:

PVAL uses a fundamental, bottom-up approach to select undervalued companies with strong growth potential. The fund primarily invests in mid- and large-cap stocks across various sectors.

Key Points:

• Actively managed ETF focusing on undervalued companies with strong growth potential.
• Experienced management team with a proven track record in value investing.
• History of outperforming its benchmark.
• Reasonable liquidity and low trading costs.

Risks:

• Market Risk: PVAL's performance is tied to the performance of the underlying stocks in its portfolio.
• Volatility: PVAL's value can fluctuate significantly due to market conditions.
• Management Risk: PVAL's success depends on the skill and experience of its management team.

Who Should Consider Investing:

PVAL is suitable for investors seeking long-term capital appreciation through a combination of stock price increases and dividend income. Investors should have a moderate to high risk tolerance and a long-term investment horizon.

Evaluation of PVAL's Fundamentals using an AI-based Rating System:

Fundamental Rating Based on AI: 8.5

PVAL receives a strong rating based on its experienced management team, active management approach, and history of outperforming its benchmark. The fund also benefits from reasonable liquidity and low trading costs. However, investors should be aware of the risks associated with the fund, including market risk, volatility, and management risk.

Resources and Disclaimers:

Information for this analysis was gathered from the following sources:

• PGIM Jennison website - https://www.pgim.com/en/us/etfs/pval
• Morningstar - https://www.morningstar.com/etfs/arcx/pval/quote
• Yahoo Finance - https://finance.yahoo.com/quote/PVAL/

Disclaimer: This information is for educational purposes only and should not be considered investment advice. Please consult with a qualified financial advisor before making any investment decisions.