Investor Insights

This summary was created by AI, based on 11 opinions in the last 12 months.

Experts have mixed opinions about ZWK-T, with some expressing disappointment in the stock's performance and others highlighting the potential for income generation. There are concerns about the impact of economic factors such as interest rates and a potential recession on US banks, including those included in the ETF. However, some experts see opportunities in the current market conditions and believe that ZWK-T may present a good buying opportunity in the future.

Consensus
Mixed
Valuation
Fair Value
BUY

Likes covered call ETFs on banks and dividend payers, not tech. He prefers BMO ETFs, because they run the covered call on 50-60% of the stocks, so you still get the upside on the balance. ZWK pays around 10% dividends, but remember you don't enjoy the tax credit in Canada on these American banks

banks
WEAK BUY

Bought this to enhance gains, but has really enhance losses. A stinker. The Silicon Valley bank collapsed hit the entire US banking sector, but this sector is a core holding. The ZWK yield remains good. He's averaged down on this instead of dumping it. Disappointed, though.

banks
WEAK BUY

Yield gets up to about 10% with the covered call overlay. Likes US banks, cheap relative to 5-10 year history. If economy continues to recover, banks should be there. Last 3 months, this has returned 17.5%. 

Are you looking for income, or do you just want exposure to US banks? Makes sense if you need the income. He'd argue that you'll get a better total return owning the underlying shares, or an ETF of US banks, instead of using the covered call strategy.

banks
BUY ON WEAKNESS

Would wait to buy on weakness. Economic hard landing in the horizon. Wait for impact of interest rates to be felt. 

banks
BUY ON WEAKNESS

Hard economic landing will not be good for US banks. Would be risky if economy slows down. Would not buy. Wait for markets to fall before investing. 

banks
BUY ON WEAKNESS

Believes challenges remain in US banking system with higher interest rates.
Would wait to buy as bank shares fall even more.
Quality names in top US banks. 


banks
BUY

0.72% MER good.
Fundamentals of banking industry improving.
Would be a good time to buy given share price.
Lots of risk priced in.

banks
BUY
Trevor Rose’s Insights - Trevor’s most-liked answers from 5i Research

With the US banking sector 'settling' down, ZWK does look a bit better. It is up 8.6% in the past month as the crisis subsides. We still have recession and rate risks, but with no new bank failures in a while and confidence returning, we would be more comfortable with ZWK today. 
Unlock Premium - Try 5i Free

banks
BUY ON WEAKNESS

Silicon Valley Bank included in this ETF (reason for share price weakness).
Would recommend buying in the coming months as higher interest rates rake their toll (job losses).
Other banks in ETF are strong.

banks
DON'T BUY

Not a good time to invest.
Wait for bottom in the market.
Looming recession will present good buying opportunity.

banks
HOLD

Mix of large and smaller banks.
Recent bank weakness included in ETF.
Would look at if interested in dividend yields.

banks
HOLD
Broad basket of US regional & National banks (5% weighting to each name). Question is how much exposure investors want to banks. Low dividend rate, not as high as Canadian banks. Not a good investment for someone in their 80's.
banks
BUY
Good option for someone in their mid-80s? Broad equal-weight basket of US regional and national banks. Pretty volatile and cyclical and getting less dividend than with Canadian banks. If already exposed to Canadian banks then good option, otherwise it would be wise to wait 3 to 6 months to see how the recession is going to play out on capital markets.
banks
COMMENT
It pays around an 8% dividend. This holds not just US banks, but the selective covered-call ETFs index with 1.25% leverage, and you get an 11-12% distribution yield, but there is a 38% tech and communications weighting, so that's a warning. This is down 18% vs. the S&P. A new ETF.
banks
PAST TOP PICK
(A Top Pick Aug 03/21, Down 6%) Down with the market. High yield. In US banks, so he's very comfortable holding.
banks
Showing 1 to 15 of 33 entries

Covered Call US Banks ETF(ZWK-T) Rating

Ranking : 4 out of 5

Bullish - Buy Signals / Votes : 9

Neutral - Hold Signals / Votes : 1

Bearish - Sell Signals / Votes : 1

Total Signals / Votes : 11

Stockchase rating for Covered Call US Banks ETF is calculated according to the stock experts' signals. A high score means experts mostly recommend to buy the stock while a low score means experts mostly recommend to sell the stock.

Covered Call US Banks ETF(ZWK-T) Frequently Asked Questions

What is Covered Call US Banks ETF stock symbol?

Covered Call US Banks ETF is a Canadian stock, trading under the symbol ZWK-T on the Toronto Stock Exchange (ZWK-CT). It is usually referred to as TSX:ZWK or ZWK-T

Is Covered Call US Banks ETF a buy or a sell?

In the last year, 11 stock analysts published opinions about ZWK-T. 9 analysts recommended to BUY the stock. 1 analyst recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Covered Call US Banks ETF.

Is Covered Call US Banks ETF a good investment or a top pick?

Covered Call US Banks ETF was recommended as a Top Pick by on . Read the latest stock experts ratings for Covered Call US Banks ETF.

Why is Covered Call US Banks ETF stock dropping?

Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.

Is Covered Call US Banks ETF worth watching?

11 stock analysts on Stockchase covered Covered Call US Banks ETF In the last year. It is a trending stock that is worth watching.

What is Covered Call US Banks ETF stock price?

On 2024-03-01, Covered Call US Banks ETF (ZWK-T) stock closed at a price of $19.45.