EXCLUSIVE: Tema American Reshoring ETF Outshines S&P 500 Without Owning Magnificent 7 Stocks — 'They Can No Longer Manufacture In China'
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jun 03 2024
0mins
Source: Benzinga
- Reshoring ETF Performance: The Tema American Reshoring ETF (RSHO) has outperformed the S&P 500 Index by 7 percentage points, achieving a 32% annual gain.
- Reasons for Reshoring: Factors like supply chain insecurity, trade wars, and deglobalization are prompting companies like Micron Technology, Apple, General Motors, and Boeing to bring manufacturing back to the U.S.
- Government Support: Bipartisan policies totaling $1.85 trillion are driving reshoring efforts, focusing on infrastructure investment and job creation.
- Fund Strategy: The RSHO ETF holds 31 companies, including reshoring firms, facilitators, and beneficiaries in the U.S. midcap space.
- Fund Management: Managed by Chris Semenuk, the fund saw $15 million in inflows last week, reaching an asset under management of $35 million, showcasing strong performance without holding high-profile stocks.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy BA?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on BA
Wall Street analysts forecast BA stock price to rise
16 Analyst Rating
14 Buy
1 Hold
1 Sell
Strong Buy
Current: 237.360
Low
150.00
Averages
269.14
High
298.00
Current: 237.360
Low
150.00
Averages
269.14
High
298.00
About BA
The Boeing Company is an aerospace company. Its segments include Commercial Airplanes (BCA), Defense, Space & Security (BDS), and Global Services (BGS). Its BCA segment develops, produces and markets commercial jet aircraft principally for the commercial airline industry worldwide. Its family of commercial jet aircraft in production includes the 737 narrow-body model and the 767, 777 and 787 wide-body models. Its BDS segment is engaged in the research, development, production and modification of manned and unmanned military aircraft and weapons systems for strike, surveillance and mobility. Its BGS segment provides services to its commercial and defense customers worldwide. It sustains aerospace platforms and systems with a range of products and services, including supply chain and logistics management, engineering, maintenance and modifications, upgrades and conversions, spare parts, pilot and maintenance training systems and services, technical and maintenance documents, and others.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
SES Reports Strong Q1 Results with Positive Outlook
- Significant Revenue Growth: SES reported Q1 revenue of €847 million ($996 million), reflecting an 80% year-on-year increase, indicating strong momentum in its aviation and European infrastructure sectors, which is expected to drive overall annual performance.
- New Contract Signings: The company secured €306 million in new business and contract renewals over the quarter, further solidifying its market position and laying the groundwork for future growth.
- Aviation Business Highlights: SES's aviation segment excelled, with CEO Adel Al-Saleh noting commitments for over 40 long-haul aircraft from Japan Airlines, showcasing robust demand in the aviation market.
- Infrastructure Agreement Extension: SES extended its EGNOS GEO-1 satellite service agreement with the European Union Space Programme Agency through 2030, ensuring high-precision navigation services for aviation and other critical users across Europe, reflecting the company's commitment to the EU's vision for sovereign space-based connectivity infrastructure.
See More
Trump's China Visit: Pursuing Trade and AI Dialogue
- Trade Negotiation Progress: Trump's visit to China aims to secure more trade agreements, particularly focusing on aerospace, with new Boeing (BA) orders expected, which could enhance the U.S.'s competitive edge in the global market.
- AI Communication Mechanism Establishment: The White House plans to announce new U.S.-China Boards of Trade and Investment to improve dialogue on artificial intelligence, marking the first formal discussions on high-stakes issues, despite uncertainties surrounding AI regulation.
- Iran Issue Impact: Trump's discussions may address China's disregard for U.S. sanctions on Iran, which could escalate tensions, even as he publicly emphasizes a friendly relationship, highlighting the complexity of U.S.-China dynamics.
- Tariff Policy Uncertainty: A recent ruling from the Court of International Trade could undermine Trump's efforts to impose a 10% tariff on global goods, weakening his negotiating leverage and adding a layer of tension to the upcoming discussions.
See More
US-China Trade Talks and Summit Agenda
- US-China Trade Talks: US Treasury Secretary Scott Bessent is set to meet with Chinese Vice Premier He Lifeng in South Korea from Tuesday to Wednesday, aiming to pave the way for the upcoming Trump-Xi summit, highlighting the urgency and complexity of trade relations between the two nations.
- Summit Agenda: Trump is expected to arrive in Beijing on Wednesday evening, with a bilateral meeting with Xi scheduled for the following morning, followed by a tour of the Temple of Heaven and a state banquet, underscoring the importance both leaders place on strengthening bilateral ties.
- Key Issues: The summit will focus on the Iran-Hormuz crisis, with analysts suggesting that it is more about preventing escalation of tensions rather than establishing deep cooperation mechanisms, which is crucial for global economic stability.
- Future Outlook: Xi is anticipated to visit the US later this year, and the outcomes of this week's meeting will lay the groundwork for future high-level exchanges between the two countries, particularly in trade and geopolitical interactions that will continue to attract global attention.
See More
Trump's Meeting with Xi Jinping Faces Diminished Expectations
- Narrowed Trade Goals: Trump's upcoming meeting with Xi Jinping on May 14-15 focuses on limited deals concerning soybeans, beef, and Boeing jets, indicating that his aggressive trade stance has not yielded substantial results, which may negatively impact his support ahead of the midterm elections.
- Increased Economic Pressure: Since their last meeting, China has intensified economic pressure on the U.S., while Trump is preoccupied with court rulings against his tariffs, revealing his passive position in negotiations and potentially diminishing U.S. influence in the global economy.
- Grand Meeting Format: The summit will take place at the Great Hall of the People, with Trump accompanied by business leaders including Tesla's Elon Musk and Apple's Tim Cook, although the smaller delegation compared to 2017 reflects a decline in Trump's international clout.
- Uncertain Future Relations: Trump aims to leverage this meeting to seek cooperation with China on the Iran issue, but analysts suggest the likely outcome may be a
See More
Nasdaq 100 Hits Record High Amid Market Gains
- Nasdaq Performance: The Nasdaq 100 reached a new high on Monday, gaining approximately 17% over the past month, indicating a strong rebound in tech stocks and reinforcing investor confidence in the technology sector.
- S&P 500 Milestone: The S&P 500 index rose 8.7% in the past month, surpassing 7400 points for the first time, reflecting optimistic expectations for economic recovery and potentially attracting more capital into the stock market.
- Tech Stocks Lead: Apple and Nvidia surged 12% and 16% respectively over the past month, playing pivotal roles in the Cramer Charitable Trust, which highlights their significance in investment portfolios and further drives overall market gains.
- Inflation Data Watch: The April Consumer Price Index is set to be released on Tuesday, with the market expecting a month-over-month increase of 0.6% and a year-over-year rise of 3.7%, which will significantly impact market sentiment as investors closely monitor the reaction post-release.
See More
LOT Airlines Sues Boeing Over 737 MAX Safety Issues
- Safety Issues Revealed: LOT Polish Airlines selected the Boeing 737 MAX in 2016 to anchor its recovery plans, but its attorney argued in court that Boeing concealed safety problems, leading to significant financial losses after the global grounding in 2019.
- Legal Action Background: LOT filed a lawsuit against Boeing in 2021 seeking damages for revenue losses due to the MAX groundings, emphasizing the devastating financial harm caused by Boeing's lies and deception.
- MCAS System Controversy: Boeing misled the FAA about the MCAS system's flaws while marketing the 737 MAX, resulting in pilots not receiving necessary simulator training, which increased operational costs and affected LOT's leasing decisions.
- Severe Accident Consequences: The MCAS system was central to two crashes in 2018 and 2019 that killed 346 people, prompting Boeing to pay billions in compensation to victims' families, with LOT being the first airline to sue Boeing over the MAX crashes.
See More
SES Reports Strong Q1 Results with Positive Outlook
- Significant Revenue Growth: SES reported Q1 revenue of €847 million ($996 million), reflecting an 80% year-on-year increase, indicating strong momentum in its aviation and European infrastructure sectors, which is expected to drive overall annual performance.
- New Contract Signings: The company secured €306 million in new business and contract renewals over the quarter, further solidifying its market position and laying the groundwork for future growth.
- Aviation Business Highlights: SES's aviation segment excelled, with CEO Adel Al-Saleh noting commitments for over 40 long-haul aircraft from Japan Airlines, showcasing robust demand in the aviation market.
- Infrastructure Agreement Extension: SES extended its EGNOS GEO-1 satellite service agreement with the European Union Space Programme Agency through 2030, ensuring high-precision navigation services for aviation and other critical users across Europe, reflecting the company's commitment to the EU's vision for sovereign space-based connectivity infrastructure.
See More
Trump's China Visit: Pursuing Trade and AI Dialogue
- Trade Negotiation Progress: Trump's visit to China aims to secure more trade agreements, particularly focusing on aerospace, with new Boeing (BA) orders expected, which could enhance the U.S.'s competitive edge in the global market.
- AI Communication Mechanism Establishment: The White House plans to announce new U.S.-China Boards of Trade and Investment to improve dialogue on artificial intelligence, marking the first formal discussions on high-stakes issues, despite uncertainties surrounding AI regulation.
- Iran Issue Impact: Trump's discussions may address China's disregard for U.S. sanctions on Iran, which could escalate tensions, even as he publicly emphasizes a friendly relationship, highlighting the complexity of U.S.-China dynamics.
- Tariff Policy Uncertainty: A recent ruling from the Court of International Trade could undermine Trump's efforts to impose a 10% tariff on global goods, weakening his negotiating leverage and adding a layer of tension to the upcoming discussions.
See More
US-China Trade Talks and Summit Agenda
- US-China Trade Talks: US Treasury Secretary Scott Bessent is set to meet with Chinese Vice Premier He Lifeng in South Korea from Tuesday to Wednesday, aiming to pave the way for the upcoming Trump-Xi summit, highlighting the urgency and complexity of trade relations between the two nations.
- Summit Agenda: Trump is expected to arrive in Beijing on Wednesday evening, with a bilateral meeting with Xi scheduled for the following morning, followed by a tour of the Temple of Heaven and a state banquet, underscoring the importance both leaders place on strengthening bilateral ties.
- Key Issues: The summit will focus on the Iran-Hormuz crisis, with analysts suggesting that it is more about preventing escalation of tensions rather than establishing deep cooperation mechanisms, which is crucial for global economic stability.
- Future Outlook: Xi is anticipated to visit the US later this year, and the outcomes of this week's meeting will lay the groundwork for future high-level exchanges between the two countries, particularly in trade and geopolitical interactions that will continue to attract global attention.
See More
Trump's Meeting with Xi Jinping Faces Diminished Expectations
- Narrowed Trade Goals: Trump's upcoming meeting with Xi Jinping on May 14-15 focuses on limited deals concerning soybeans, beef, and Boeing jets, indicating that his aggressive trade stance has not yielded substantial results, which may negatively impact his support ahead of the midterm elections.
- Increased Economic Pressure: Since their last meeting, China has intensified economic pressure on the U.S., while Trump is preoccupied with court rulings against his tariffs, revealing his passive position in negotiations and potentially diminishing U.S. influence in the global economy.
- Grand Meeting Format: The summit will take place at the Great Hall of the People, with Trump accompanied by business leaders including Tesla's Elon Musk and Apple's Tim Cook, although the smaller delegation compared to 2017 reflects a decline in Trump's international clout.
- Uncertain Future Relations: Trump aims to leverage this meeting to seek cooperation with China on the Iran issue, but analysts suggest the likely outcome may be a
See More
Nasdaq 100 Hits Record High Amid Market Gains
- Nasdaq Performance: The Nasdaq 100 reached a new high on Monday, gaining approximately 17% over the past month, indicating a strong rebound in tech stocks and reinforcing investor confidence in the technology sector.
- S&P 500 Milestone: The S&P 500 index rose 8.7% in the past month, surpassing 7400 points for the first time, reflecting optimistic expectations for economic recovery and potentially attracting more capital into the stock market.
- Tech Stocks Lead: Apple and Nvidia surged 12% and 16% respectively over the past month, playing pivotal roles in the Cramer Charitable Trust, which highlights their significance in investment portfolios and further drives overall market gains.
- Inflation Data Watch: The April Consumer Price Index is set to be released on Tuesday, with the market expecting a month-over-month increase of 0.6% and a year-over-year rise of 3.7%, which will significantly impact market sentiment as investors closely monitor the reaction post-release.
See More
LOT Airlines Sues Boeing Over 737 MAX Safety Issues
- Safety Issues Revealed: LOT Polish Airlines selected the Boeing 737 MAX in 2016 to anchor its recovery plans, but its attorney argued in court that Boeing concealed safety problems, leading to significant financial losses after the global grounding in 2019.
- Legal Action Background: LOT filed a lawsuit against Boeing in 2021 seeking damages for revenue losses due to the MAX groundings, emphasizing the devastating financial harm caused by Boeing's lies and deception.
- MCAS System Controversy: Boeing misled the FAA about the MCAS system's flaws while marketing the 737 MAX, resulting in pilots not receiving necessary simulator training, which increased operational costs and affected LOT's leasing decisions.
- Severe Accident Consequences: The MCAS system was central to two crashes in 2018 and 2019 that killed 346 people, prompting Boeing to pay billions in compensation to victims' families, with LOT being the first airline to sue Boeing over the MAX crashes.
See More
