SCHD ETF Faces Pre-Market Dip Amid Shift to Growth Stocks
The Schwab U.S. Dividend Equity ETF (SCHD) slipped 0.07% in pre-market trading, extending Tuesday's 0.44% decline to $27.00. Investors are rotating out of dividend-heavy funds ahead of the Federal Reserve's policy decision, favoring growth and tech exposures instead.
Despite near-term outflows—$31 million exited SCHD over five days—the ETF maintains a 1.66% year-to-date gain. Analysts remain bullish, with a $30.56 average price target implying 13.2% upside potential. Top holdings like Coterra Energy and Ovintiv show the highest projected returns, while Skyworks Solutions anchors the downside risks.