SCHD ETF Performance: 10.39% Upside Potential and Moderate Buy Rating

The Schwab U.S. Dividend Equity ETF (SCHD) has risen 0.81% in the past five days and 0.78% year-to-date. TipRanks' analyst consensus rates SCHD as a Moderate Buy with a $30.07 average price target, implying a 10.39% upside. The ETF's Smart Score is seven, indicating a likely in-line performance with the market.

The Schwab U.S. Dividend Equity ETF (SCHD) has demonstrated robust performance in recent weeks, rising by 0.81% in the past five days and 0.78% year-to-date as of July 2, 2025. This strong performance comes amidst a broader market recovery, with SCHD mirroring the broader stock market's rebound [9].

Analyst sentiment is cautiously optimistic about SCHD's future prospects. TipRanks' analysts have rated SCHD as a Moderate Buy, with an average price target of $30.07, suggesting a potential 10.39% upside [16]. The ETF's Smart Score of seven indicates a likely in-line performance with the market, providing a measure of confidence in its ability to navigate market conditions [16].

Despite recent underperformance, SCHD's 10% annualized dividend growth and broad diversification continue to attract investors seeking income-focused strategies. The ETF's yield of 3% and long-term dividend growth potential remain compelling features, setting it apart from growth-focused funds [15]. However, the ETF has faced criticism for underperforming the S&P 500 and failing to act defensively during market corrections [17].

Investors should also consider the potential impact of market cycles on SCHD's performance. While growth stocks have outperformed dividend stocks in recent years, market cycles suggest that dividend investing can be a prudent strategy at certain stages of the bull market [17]. SCHD's quality-focused approach and strong risk-reward profile may position it well for the remainder of the year [17].

Looking ahead, SCHD's recent rally and analyst optimism suggest that the ETF may continue to perform well in the coming months. However, investors should remain vigilant and monitor the ETF's holdings and market conditions closely. Diversification and a long-term perspective are key considerations for investors seeking to build a robust dividend portfolio [1].

References:

[1] https://stockanalysis.com/etf/schd/
[2] https://www.barrons.com/articles/13-dividend-etfs-with-market-beating-yields-1662429288
[3] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[4] https://www.invezz.com/news/etf/top-catalysts-to-move-the-schd-and-jepi-etfs-this-week-1662429288
[5] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[6] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[7] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[8] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[9] https://www.invezz.com/news/etf/schd-etc-signals-major-bullish-shift-this-week-is-critical-1662429288
[10] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[11] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[12] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[13] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[14] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[15] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[16] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts
[17] https://www.seekingalpha.com/article/4282745-how-to-build-a-150000-portfolio-for-high-income-before-fed-rate-cuts